Each small business has its own needs when using QuickBooks. However, the program has certain preferences turned on and off as a default. Depending on your need, the following lists some preferences that need to be changed after creating your company file.
Accounting – Some tax preparers/CPAs like to use chart of account numbers. In this preference section you can tell the program to use account numbers.
Class tracking, a useful feature for real estate firms, non-profits, and companies wanting to analyze data in more depth turn on this feature in this section.
You can set a closing date with or without a password in the Accounting preferences area. By setting a closing date, you will be reminded to not record transactions in the previous year after giving your QuickBooks file to your tax accountant or to not mess up your sales tax reports after remitting payment to the applicable agency.
Checking – If you use online banking, this is the section to change how you view and record downloaded transactions. The default is Side-by-Side Mode but I always change it to Register Mode because of the limitations of the default selection.
Desktop View – By default, the computer program remembers all the screens and reports you have open. So if you had ten screens open when you closed QuickBooks, when you open the file again the same ten reports will open, sometimes taking a lot of time to open all the screens. To save time, change the preference to not save the desktop when closing the company file.
General – These preferences depend on how you input data into the program. You may or may not want to change them, but this is what I recommend. Make the program treat the enter key like a tab key. Turn off the annoying pop-up commercials. And automatically recall transactions.
Items & Inventory – If you want to use purchase orders and create inventory items, you have to turn it on in this section.
Jobs & Estimates – For those who want to be able to invoice a percentage of an estimate in multiple invoices, turn on progress invoicing.
Payments – Turn off using undeposited funds as a default. This will allow you to choose your checking account if you only have one customer receipt. Otherwise, you have to perform an additional step for each transaction that was deposited all by itself.
Reports & Graphs – By default, the reports are on an accrual basis. If you want the reports to be on a cash basis for the most part, change the preference here. You can always modify a report and toggle to the accrual basis temporarily if you need to.
Sales Tax – For companies that have to charge sales tax to customers, turn on the feature here.
Send Forms – In this section you can customize the verbiage of invoices, estimates, statements and more that you email to customers, vendors, and employees. If you are curious as to how creative you can be, use my services. I email invoices and you can see what I write in my emails.
Tax:1099 – This preference is turned on by default. However, you have to choose which chart of accounts will be used when generating 1099s and 1099 reports.
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