QB Power Hour Podcast

The Open Tab : Your Space for Questions, Updates, and Clarity [05.12.26]

• Dan DeLong

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This isn’t your typical webinar, it’s an open floor.
Each session is driven by what’s happening right now in the Facebook group, plus any QuickBooks or Intuit updates worth your attention.

We’ll keep it loose, practical, and interactive:

Answering real questions from real users

Breaking down QB changes (only if they matter)

Giving you clarity you can actually use

Show up with questions. Leave with answers.

QB Power Hour is a free, biweekly webinar series for accountants, ProAdvisors, CPAs, bookkeepers and QuickBooks consultants presented by Dan DeLong and Sharring Fuller who are very passionate about the industry, QuickBooks and apps that integrate with QuickBooks.

Connect with Sharrin's Clone and Conquer Hub: https://snip.ly/SharrinQBPH
Get QuickAnswer with Dan's School of Bookkeeping Community: https://snip.ly/QuickAnswers

Watch or listen to all of the QB Power Hours at https://www.qbpowerhour.com/blog

Register for upcoming webinars at https://www.qbpowerhour.com/ 

Dan DeLong

welcome to another QB Power Hour. This this week is the open tab, which is all about Intuit updates and yammerings back and forth between, Sharrin and myself. My name is Dan DeLong, owner of Danwidth and School of Bookkeeping, worked at Intuit for nearly 18 years, doing the co-hosting today. And Sharrin, back from her whirlwind tour of where have you been? You're muted.

Sharrin Fuller

Sometimes I feel me being muted might be better for the wellbeing- of the universe. But I just got back from Marietta at a small business conference where I was the opening keynote. I'm gonna say that- 500 times 'cause I am really proud of it. I will post that video soon. As you should be. Or if you're in my community, I've actually... They did a whole professional thing. They're posting it. And then I was at GrowCon- GrowCon is amazing. If anybody has not been, you need to go. I'm just telling you. I had... I spoke there too, but aside from that, there... it is a really good conference. It's different than the rest, so I Sharrin approved. And now I'm back getting community stuff ready, because tomorrow I leave for Mexico for six days, and then I go ba- straight to San Diego for Firm Growth Forum, where I'm on a panel. So-

Dan DeLong

Wow

Sharrin Fuller

just a little bit of a break, a little bit.

Dan DeLong

Do you even know what time it is? It you've gotta have time zone fatigue.

Sharrin Fuller

And I was home last week for about three days, and my husband got up and just left the house, and I was sitting in my office and I text him, I go, "Hey, where'd you go?" And he goes, "Oh my God, I completely forgot you were even home. I'm so used to you not being here." Wow. So I think I'm gonna get him a surrogate wife or something while I'm out. I feel bad. Just to do sports stuff with. Nothing else.

Dan DeLong

Yeah, you gotta dress up with- Anyhow dress up in

Sharrin Fuller

a- He just made... He heard that- a different wife he goes, "What?" Oh, and we're in the middle of hockey playoffs. So I have a lot going on in life right now.

Dan DeLong

Yes, as my, It's insane as my Philadelphia Flyers got swept

Sharrin Fuller

Yeah, that was sad. I can't talk. We're two... What are we, 2-2 in the Ducks and- Yeah yeah, we're trying to decide, are we gonna go out on a catamaran on Thursday or are we gonna actually watch the game? So- it's a hard, it's a hard one. I don't know.

Dan DeLong

All right.

Sharrin Fuller

All right. Back to work, guys. Back to work.

Dan DeLong

For those of

Sharrin Fuller

you that are

Dan DeLong

just- Go Ducks!

Sharrin Fuller

You Donna offer this right now with this Duck crap. What is this? We ain't d- we ain't doing this, Donna.

Dan DeLong

Some Southern Californians-

Sharrin Fuller

Ugh

Dan DeLong

put- throwing in their, local cheer. For those of you join- joining us for the first time some updates on our webinar series. We have switched to a individual registration so that you can add them to your calendar, you can plan out farther. We do have on the qbpowerhour.com website those registrations up until, I think, mid-June somewhere. So you can go in and see what topics we're planning instead of the, two-week shuffle as we had been doing on the recurring series before that.

Sharrin Fuller

So

Audio Only - All Participants

much

Dan DeLong

work. But we have... Yeah. But we have- Not for me. Yeah.

Sharrin Fuller

Clearly.

Dan DeLong

Some- Ugh at some point we are gonna get Sharrin involved in creating some of these slides.

Sharrin Fuller

I have c- in July. I'm in July. I've got a couple- That's right in July and August I will host,

Dan DeLong

exactly. So we have our, our recurring themes of the open tab and take it to the limit and beyond bookkeeping, niche nuances, is the grass greener? So we're trying to categorize or consolidate some of these topics into like-minded. We are also kicking around some ideas of, each- QB Power Hour having a s- a segment or a section inside like we have been doing with Intuit News for each one. We've been thinking of some of those ideas as well inside of each each webinar. So stay tuned for that. And I've lost my mouse. There it is. Okay. So the agenda today, we are... Oh, I didn't update the agenda slide. Dan. That's what I'm looking at. Womp.

Sharrin Fuller

Dan honestly, the fact that we even try to have an agenda here is great.

Dan DeLong

Yeah.

Sharrin Fuller

I love it. So we- I love your, effort.

Dan DeLong

So it's a hidden agenda today. All right. No, it's it's actually correct with the exception of the topic for the Intuit News. We talked about that last, time. So it'll be a surprise what we're gonna be talking about in the Intuit News segment. But we are gonna be focusing on a couple major areas, for the most part. And it will be around the enhanced inventory receiving because I have been on a soapbox about this new feature and function. I was talking about it a little bit on the un- unofficial QuickBooks Accountants podcast with Alicia Katz Pollock. I've written a blog. And so I wanna make sure that people have everything that they need, especially for the accountants in the room that might might be surprised if a client inadvertently- No. Oh turns it on and, wondering that if if it's broken or not broken, then, and it's... or if it's working as designed, or if it's designed poorly. So we wanna talk through that as far as the enhanced inventory receiving with the item receipts. And then we'll we'll talk about some of the desktop migration enhancements. Intuit has started to socialize that moving to QuickBooks Online is an upgrade which is a, That's a that's a stretch, I think. Especially if you're using- Oh QuickBooks. If you're using QuickBooks Desktop and using the functions and features of QuickBooks Desktop you might find that some of these things are,

Sharrin Fuller

It used to be- Yeah I don't know. I d- I used to only know Desktop. I was d- I was Desktop, and going to Online, I'm like, "What is this crap?" And then you use Online for so long, I go to Desktop and I'm like, "I forgot how to use Desktop." But Desktop does so much more. But don't get used to it, folks. It's going away. You all can stomp your feet and sand all you want, it's going away. So everybody's mad at me- It is for saying that, but watch.

Dan DeLong

It's- Watch It's not if, but

Sharrin Fuller

when I've been saying it for five years. And they never will.

Dan DeLong

It's not if but when- All right, go ahead but we don't know. It's- we don't know- Yeah specifics, right? But,

Sharrin Fuller

They're waiting to see how much we freak out. Honestly, I'm a cloud girl but...

Dan DeLong

And then we'll talk about some of the, the, Facebook groups common posts that we've seen over the, in the, over the last month or so. So Sharrin, our first poll question. Today- Yes launch.

Sharrin Fuller

I'm launching

Dan DeLong

it. That look of surprise as you go, "Oh."

Sharrin Fuller

I need the presenta- where'd it go? I need the thing on the other side that tells me what the next slide is. Oh, yeah. Or I could just have it open. It's not like I don't have access to all of this.

Dan DeLong

There we go.

Sharrin Fuller

Full immersion. I don't like to come prepared because I feel like that's your thing,

Dan DeLong

that's right. It's the Odd Couple in us, right? And I'm, I'm-

Sharrin Fuller

Yeah

Dan DeLong

I'm the Felix and you're the Oscar

Sharrin Fuller

I'll take it right now. All

Dan DeLong

right. Which is not fair, right? I should be the Oscar because you can see by my hat,

Sharrin Fuller

No,

Dan DeLong

dude

Sharrin Fuller

I am legit the Felix in every aspect of my life except for when I travel. We've seen pictures of my hotel room. And this webinar series. Other than that, I'm the Felix, so- There we go I'm excited to not be.

Dan DeLong

All right. Yes, this is what we were going to talk about. The ProAdvisor recertification, which is probably why we are a little bit dipping on the on the atten- on the live attendance today. The, because I did get some notification that our session is com- is conflicting with a QuickBooks recertification webinar at the same time. For those of you that are watching, for watching the re- the replay afterwards welcome. And we hope you passed your certification. But that is the recertification is, expiring June 30th. If you don't take the certific- the recertification, this is an annual thing then you end up having to take the entire exam, which is instead of two modules of 10-ish questions you have to take eight, nine, 10. I don't even remember how many sections of the- regular certification exam there are. There are also in the ProAdvisor training, there's other foundational training that's in there. QuickBooks level two which was the advanced certification. And client advisory services foundation training, Intuit bookkeeping certification, and Intuit enterprise suite certification. None of those are required. As, a matter of fact, I don't think any of them are required. It used to be a requirement.

Sharrin Fuller

Oh, Dan, it's lip service now. This whole certification thing, I was g- not going to say anything. I was waiting for you to ask so I could go on. Oh, no, you- But, no.

Dan DeLong

I was,

Sharrin Fuller

just not getting it. I, it, the whole certification thing to me is just yeah, we're just feeding the masses some bread crumbs to keep them happy. I don't think the certification means crap because I think the whole partner channel's going to go away. I think the whole accounting piece that they do for us is going to go away. I think it's going to go away before they get rid of desktop, personally, in my opinion. Yeah. Should we take bets?

Dan DeLong

The, it- at Intuit Connect they were going to s- they, they were talking about in May, so here we are in May talking about the, again they, always love this word of reimagining things.

Sharrin Fuller

Yeah.

Dan DeLong

They were going to talk about what the reimagined QuickBooks ProAdvisor- The reimagined is

Sharrin Fuller

Quick-

Dan DeLong

ProAdvisor cert- They want

Sharrin Fuller

to be like... Yeah, sorry

Dan DeLong

whatever the PreAdvi- There you go ProAdvisor is they're going to start socializing that pretty soon. I know- Yeah Insightful Accountant had Jocelyn on or Jacqueline, sorry on there talking about that. I did not attend that, so I don't know the specifics about anything that anybody said there. I

Sharrin Fuller

don't attend anything they do anymore because it's just na, na, na. Ted leaving tells us everything. Ted, who has been face of Intuit, that man wasn't like... That man jumped ship. He saw what was in the wor- He saw, And this is my opinion. This is not- Yeah I do not know Ted and I aren't friends. He saw the writing on the wall. He saw the next year and said I'm out. I'm not going to these conferences and letting these accountants like Sharrin walk up to me and verbally abuse me. I'm not doing it. I'm not being the face of this anymore," and he jumped ship. So be prepared. That's all. That's all I have to say.

Dan DeLong

Do you, think he left on his own? He saw it-

Sharrin Fuller

Absolutely and then left?

Dan DeLong

Or, was

Sharrin Fuller

he- Absolutely. I- I think I, absolutely... They probably said, "This is what it i-," in my opinion. Yeah. I don't care. This is my opinion. The, views expressed by Sharrin- I think he saw that he's been- are not

Dan DeLong

necessarily

Sharrin Fuller

he has been very committed to this, right? He has been very- him and Jess McCracken are very committed to this partner channel. It's their life, and I guarantee you Ted w- was let in on whatever their new thing is, and Ted was like nope, I can't be a part of that." "I'm going to go do something else with someone better. Sorry, bye." see? Do- Donna agrees See?

Dan DeLong

And if

Sharrin Fuller

Donna

Dan DeLong

agrees, then-

Sharrin Fuller

If Do- Donna worked at Intuit for a while until she was on this show,

Dan DeLong

and then... Okay. So close that chapter- Sorry, Donna of what, what burned Sharrin's s'mores.

Sharrin Fuller

Sharrin's s'mores are burnt.

Dan DeLong

That's right. So enhanced inventory receiving. I wanna talk a little bit about this topic. We had mentioned this a little bit before on the last open tab, where we were talking about item receipts being available inside of QuickBooks Online now, right? So the situation or the, circumstance where this bubbles up to the surface is that the reality of managing your inventory is gonna be... Could, potentially have two options, and one of those options is you've received the merchandise separate from the time that you've received the bill or paid for said merchandise, right? In QuickBooks Desktop, they used this terminology of an item receipt which evolved into this option of enhanced inventory receiving, which was a feature or function that you could specify. Because in reality, QuickBooks Desktop, an item receipt was a bill that you couldn't pay, right? So it affected- Yeah, yep the exact same accounts fundamentally, right? An item receipt affected accounts pay- the accounts payable balance for the vendor, but when you went to pay bills, you couldn't actually pay said item receipt because it wasn't a bill to pay. You had to put a check mark on the bill received inside of Desktop, and that turned it into a bill. The problem with that is that it turned it into a bill on the date of the item receipt, which is now not the same thing in reality, right? You always wanna try to match the QuickBooks reality to what actually happened in reality. And in reality, when you've received merchandise in January, you wanna receive the merchandise in January. When you receive the bill in, February, you wanna receive the, bill in February, right? So that's now two different events, and the check mark of bill received did not allow for that. So what ended up happening is that they added inside of QuickBooks Desktop this option called Enhanced Inventory Receiving, which then, separated those two- Transactions on item receipt and receiving a bill against said item receipt into two separate events. So that way you could keep your... It was like the Mc- the McDLT of of QuickBooks. It allowed you to keep the hot side hot and the cold side cold. So if you have any idea of what I'm referencing, that shows your age. But it allowed you to keep those two events separate. and and then, But the way or the mechanism that it allowed for that to happen is that all of your inventory receiving had to occur on item receipts, regardless of whether you've got the bill at the same time that you've received the items, right? So that is, And then the the account that it ended up using is this account called Inventory Offset. So instead of going through accounts payable, like a bill and item receipt were doing, the item receipt would post against inventory offset, and then the bill would offset to inventory offset, and that was the clearing account essentially that tho- those two events would flow through. And that allowed you to in the bill put in any changes or things that actually were billed differently, or if there were additional charges or things that they were charging for to receive against those item rece-- or to offset against those item receipts, right? So in QuickBooks Online, they have given you that choice into, QuickBooks Online, right? So when you go to Settings, Sales, Products and Services, you have this choice of selecting what transaction equates or what transaction will be your in-inventory receiving method, right? Bills and expenses or item receipts. You have, that choice, right? The challenge is, that when you select that option to be item receipts, it permanently changes that setting, and that desktop was the exact same way. When you en- when you enabled enhanced inventory receiving it... All of your receiving had to occur through item receipts, even if you wanted to have a single transaction. But you have to now use item receipts because, and this is where I think accountants and bookkeepers are, going to get surprised I think is the the politest way to say this. So when you... And I'll show it in a, demonstration in a short- shortly That when you have this set to item receipts being the source of truth for receiving inventory, when you enter a bill and put items on it, it will not affect the right accounts because it's expecting the item receipt to do that for you. So we have an item receipt blog on schoolbookkeeping.com where we just talk about this whole process. I do put the podcast when I talked about it with Alicia Cass Pollock on that blog, so you can listen to the blog there, or you can listen to the podcast there on the blog. And of course read all about it if you want to. And now, so let's do a little demonstration. Okay. So here in QuickBooks Online, this is the sales rep-

Sharrin Fuller

Demo time. Thanks for the song.

Dan DeLong

Everybody wake

Sharrin Fuller

up, it's demo time. Oh my God, let's record that.

Dan DeLong

That's right. Let's have a little jingle.

Sharrin Fuller

I got sidetracked because Vegas just blocked Cassidy from being able to interview with Edmonton as their head h- hockey coach- Oh and I am in a whole different world here right now. I just want everybody to know, hockey first. All right. Go ahead, Dan. Let's demo this.

Dan DeLong

All right. So in sales in your preferences or account and settings, you go into sales, and then under products and services you'll have this inventory receiving method. Your, it does have that new flag in front of it. You can see in my case, it's grayed out. I can't change it. It even tells me right below that, "This setting can't be changed," because I went past that point of no return of turning on item receipts as my inventory receiving method. So normally you would just go into your item receipts, which... Now, where are they? Now I couldn't find them. I d- I've fumbled around with this before. And where are they hiding?

Sharrin Fuller

Dan, I wanna- I missed- restart on this demo.

Dan DeLong

Yeah.

Sharrin Fuller

I already don't like whatever product we're looking at right now. I hate

Dan DeLong

it. It should be in here in the, under the

Sharrin Fuller

vendors

Dan DeLong

section.

Sharrin Fuller

Mimbusa! Honestly, it was probably there last night, and you woke up and it's gone. Oh, yeah. I am telling you that. How many times have I messaged you, I'm like, "Dan, where'd it go? Where'd it go?" I know. Even Claude don't know.

Dan DeLong

Wherever it is- Is it in Google? You end up... Somebody help me out. But what I really wanted to demo here is I'm gonna, I'm gonna receive some inventory items with a bill. Now that setting is turned on. All right, so I've got some really expensive Beach Mint gum here, $5 for a 10 count. 3 Musketeers king size for six bucks, which somehow- Oh my gosh has a description of

Sharrin Fuller

like- That is how much they are now. Does anybody here remember when candy bars were 39 cents at Walmart, and the king size were, like, 89? I went to 7-Eleven the other day, $4.59 for a king size PayDay. $4.59 for nuts and sugar. Insanity. Insanity. All right, finish. I just had to make sure that I was- not alone in this.

Dan DeLong

And they're small.

Sharrin Fuller

No, nobody cares.

Dan DeLong

And they're

Sharrin Fuller

small. Yeah, the king size are not king anymore. They're like normal. It's m- I just stock up on Halloween. They're barely- I'm like, I'm going trick-or-treating and saving candy for the year because I can't afford candy bars anymore. This is just crap.

Dan DeLong

They're barely prince size.

Sharrin Fuller

And I can't drive to get candy bars. I walk around my neighborhood and steal candy from my neighbors. Yeah. That's what I'm doing this year from now on. A nickel, Charity. All right. Goddamn don't, age yourself here.

Dan DeLong

Thank you. Charity she, mentioned if you put the s- term in the search bar Yes item receipts up, up at the top, that will that will bring up the actual way to get to it. And then of course you could bookmark it or, what have you if regardless of where they might move the option later. Yeah. Which I should've realized that before.

Sharrin Fuller

When we started. You know what? I love it because when you do demos like this and it moves, and Dan you're the, expert. When everybody, anybody- Yeah asks anything about QuickBooks, I'm like, "Go to Dan." I love, and I'm sure everybody else loves seeing this, that you as the expert are even like, "What the..." It makes you feel better. Weird. And then it also- sees how Dan fixed it, so I think it's a good thing. I hope it was planned. If not, pretend it was 'cause that was brilliant. Keep going.

Dan DeLong

There we go. So we have some inventory items in here that as I selected my vendor named Vendor it, prompted with, "Do you want to refill pre-fill from the last one?" Which I said yes instead of no, so it just brought over a whole bunch of inventory items. I'm gonna save it, and then we're gonna take a look at the, transaction journal under the hood, which under more and clicking transaction journal. Waiting. A little bit more waiting. Okay, so you see that the inventory items themselves are offsetting instead of accounts pay- or inventory asset we are looking at every inventory item that's on there is inventory offset. So even though I went straight to a bill and I said- I, here's I'm, receiving this bill with these, this merchandise. It is posting to inventory asset. It is not posting to- The inventory asset account that you have specified on the items, which one would expect to see, right? So we have seen,

Sharrin Fuller

So Dan, I am- Yeah paying half attention in my normal way- because I have seven screens open.

Dan DeLong

That's

Sharrin Fuller

25%- It's not supposed to do that more

Dan DeLong

than usual.

Sharrin Fuller

I know. It's not supposed to do that, right?

Dan DeLong

It's

Sharrin Fuller

under

Dan DeLong

normal.

Sharrin Fuller

That's, it's extra steps. Under nor- So now I'm gonna have to go into my balance sheet and I'm gonna have to make a journal entry-

Dan DeLong

No

Sharrin Fuller

to adjust out... No? Okay, you're gonna keep showing me. No, you- Okay you

Dan DeLong

don't have to, right? You just need to make sure that these transactions that are, that you're following the proper workflow

Sharrin Fuller

of- Okay. So what I'm say- Of- What I'm thinking here is somehow the dis- the actual item set up or whatever was actually set up in the, the- No Like a product. Okay, I haven't used inventory in QuickBooks in 10 years, so I swear to God, I have, I know QuickBooks. I do not... Inventory, I have not used in so long,

Dan DeLong

but as Jan is asking in the, question, how do you fix this inventory

Sharrin Fuller

option? Yeah, that's what I'm asking, Jan. That's what I was trying to ask without asking it, so thanks, Jan. I'm gonna go ahead and click answer live. Absolutely. There

Dan DeLong

you go. Yeah. Now, we now what we could normally do is is just use this to copy what would be great and maybe Tool has an option or while they're, while we're waiting for Intuit to actually have the option to copy to item receipt would be the perfect option because you have the same thing, just not in the in, a, in an item

Sharrin Fuller

receipt. Dan, if you don't update your Speechify or click out of that- I'm gonna go crazy. Thank you. Sorry. Oh my God, make it go away. My OCD can't take it. Okay, thank you. Sorry. All right. All right. Keep going. I'm interested in this. So- You see me, I'm not even caring if people are looking in, I'm paying attention, because I'm really, interested.

Dan DeLong

So let's create a new, item receipt. Let's go back here, new item receipt.

Sharrin Fuller

You're gonna show us how to do it right.

Dan DeLong

Vendor.

Sharrin Fuller

Not the Canadian vendor, eh? We don't have- maple syrup set up, just because- And now the challenge is- I love Canadians. I've been accused of not liking Canada. I love Canada.

Dan DeLong

And, what we're finding here is that as soon as I put this on an, item receipt, I don't get the prompt like I do for every other transaction type that says, "Hey, would you like to use the last item number?" But

Sharrin Fuller

Dan, this feature is now 7.95 more a month on your subscription, just so you know- That's right because we created an upgrade for you.

Dan DeLong

So I'm gonna select what I think were the c- the most- That was a snort Common ones.

Sharrin Fuller

I think

Dan DeLong

I'm

Sharrin Fuller

hilarious

Dan DeLong

I'm just choosing some items here.

Sharrin Fuller

Water Malone?

Dan DeLong

Watermelone. What-

Sharrin Fuller

This is Canadian.

Dan DeLong

Oh, I got to put in- Hey I got to wait, speechify. So let's put in... And I'm just gonna go down the list here and just choose-

Sharrin Fuller

Honestly, Dan, this is just really wo- seeing all these candy bars is just really pissing me off- that I paid $4.59 for a PayDay, 'cause I did, I'm not gonna lie. I did pay for it. Yeah. I really wanted that damn candy bar.

Dan DeLong

So now when I save this so now I can look at the transaction journal. As we had seen, every inventory item in a bill was pointing to inventory offset, so is every item receipt, but it's, So

Sharrin Fuller

it's du- doubled now then is what we're seeing? I just- Is it's doubled?

Dan DeLong

It's doubled, it's doubled. Okay. It's it's doubled, but it's, the debits versus the credits, right? So-

Sharrin Fuller

Okay

Dan DeLong

this, the bill, so let's just customize this and add.

Sharrin Fuller

Oh, no, I see the debit/credit, but what about the other one trans? Yeah. So I know you just entered the other- Yes transaction. You're gonna remove one. So what you're showing us here... Oh, okay. Derp, I see this. So the other one came, it's an inventory offset, right? Oh, it's, now you just came and you credit out the inventory offset and moved it back to a debit. So essentially it's ju- almost a journal entry, but it, this is double entry, right? We, why did we have to do this twice? So I feel like you just had to do one thing, one thing two times, which is, honestly, why would I not just use Xero, which is every t- thing I have to do in there you have to do twice.

Dan DeLong

This is allowing you to separate your, the receiving of the item-

Sharrin Fuller

Okay

Dan DeLong

different from the

Sharrin Fuller

receipt of the bill. It's just so different than what I'm used to, right? Yeah. I just remember before I'd have a, PO or a sales order. Yeah. And then you'd receive against a sales order. When you received it, then you'd push it to a bill and you reconcile against your bill. It was really that simple. It seems like they took a very simple process and pushed it into whatever the hell they're doing here. Well- Am I wrong?

Dan DeLong

If you're doing this on the same day, it is not-

Sharrin Fuller

Jan does not want me to talk anymore, by the way. Go ahead. I'll be quiet.

Dan DeLong

So the, reason for having it is that you want to be able to separate the two events the way that you, the way that the reality of, receiving in a different time period as getting the bill. Now, here we are in this demo. We're doing it all on the same day. To your point, why would I, why am I doing this today? Since you wouldn't be doing this today because you didn't receive the bill today. You would be receiving the bill or entering the bill when the bill came, whenever that came, which could be a month from now, it could be two months from now. It could be next week. Or you might have had to pre-pay for your inventory, in which case you would put in the items that you ordered on a credit card transaction or an expense- And that is gonna go to inventory offset when you've actually received it, the shipping, however long that's gonna take. That's when you want your inventory to your quantities to actually take place. Now let's change the date of the of the item receipt to last month. So we'll do this on April 12th. So we have that, and we will do this... Let's take a look. Oh, Intuit Intelligence didn't mean to ask you anything. So it's April 12th for the item receipt, and we have today, May 12th, for the bill. Now, I know we don't pro- we probably don't have the exact same items on there, but let's take a look at this Laffy Taffy assorted jars item, right? Go into our products and services. Let's see.

Sharrin Fuller

While you're not talking for two seconds- Yeah I just realized I'm responding to Charity in here. The last time I used QuickBooks Inventory was on desktop. Ah. So in fact, QuickBooks Online did not even have an inventory module, so I always used desktop. And then when I started having clients with inventory, we used to plug in. So that is why I'm like, what are we doing here? In desktop, it was It was easy. It was the right way. So this just seems, again, like a lot of steps.

Dan DeLong

It's an extra step, yes. Oh, that was... Dang that speech if I... I, gotta just to see. I know. I'm in the wrong Chrome browser. So let's go into here. Oh, no. Stopped. I can't get away. That went... Ah, my goodness. I can't scroll. All right. I can't get these this guy out of the way.

Sharrin Fuller

I hate that. My Grammarly does that, too. N- T- Ch- turn off for this session. Cli- click on that down. Click, where it went. I have to do this with my Grammarly. Yes for this session. Yes for this session. Go up.

Dan DeLong

There we

Sharrin Fuller

go. Now it'll go away.

Dan DeLong

Thank

Sharrin Fuller

you. And then click that up. Click that X out, or I'm gonna go crazy. Thank you. Get rid of it. All

Dan DeLong

right. So you see the this particular item the, actual quantity is being impacted on the item receipt not, the bill, right? So the all accounting as far as the, receiving of the, item is being impacted on the, date of the item receipt when you have that preference set to item receipts. So- The, where this gets people into a quandary is that if somebody has turned this on and they go right in to enter a bill, then- they're gonna have things posting to the wrong asset account- which will be inventory asset- inventory offset- not inventory asset. So the quantities are not gonna be right. And subsequently, if the qua- the cost of the item has changed, then the cost of goods sold entries are gonna be wrong because-

Sharrin Fuller

Question

Dan DeLong

it hasn't been received yet. Yes?

Sharrin Fuller

So if something's posted at inventory offset, is that account, is that amount still available in my inventory or no? Is it, taking down my... So I had 100, I post 10 to inventory offset, is now 90 available, or is it still holding 100 until I move it out of the inventory asset?

Dan DeLong

It is not in your inventory. The quantity and is in, is not in your inventory, even from the bills perspective until you have recorded an item receipt if you are using- Okay this option, right?

Sharrin Fuller

So this- I don't think I'm dumb, but this just seems like a lot. I'm just... I'm having... I'm just glad I don't deal with inventory, so in QuickBooks Online. When, you, when you- what's a good solution to not use QuickBooks? It's, Sync it? Is that what they do?

Dan DeLong

If you are... You're gonna be doing a lot of extra work if you're using an inventory management solution as, well, right? This is, The purpose of this is when you need to separate those two events into two events, and that's the use case for turning it on to item receipts. You can still use item receipts without it turning on turning on this option, and then you're back to bills, right? But your item receipts are not gonna impact the quantity on hand. So it ends up getting like this six of one, or Which option is, better? It depends, right? It depends on if you need that, right? So if you do need to separate those two events into two separate transactions, this works great for that. Now, just keeping in mind that if somebody enters a check, expense, or a bill and puts inventory items on it, that needs to have an item r- an equal and opposite item receipt, which means it, if it's Is because it's gonna be posting to this mysterious account called inventory assets- As far as what you have on hand, and it's gonna be the wrong way. It's gonna be the debit versus the credit, or the credit versus the debit. So it'll show that you have less on hand as far as the value of your inventory, because you've got this negative amount sitting in inventory offsets- which the item receipt- Can I ask

Sharrin Fuller

you, I have a co- Yeah. Oh, sorry.

Dan DeLong

No,

Sharrin Fuller

go ahead. I have a couple questions that that, that are coming in that I can't answer, obviously.

Dan DeLong

Yeah.

Sharrin Fuller

From Jan, "I have a client that we set the inventory receiving to bills and expenses, not item receipt. Where does it post then?" It's just posting to whatever your service is set up as, right? Yes. So that's what I assume. And it- So if you have a product

Dan DeLong

set

Sharrin Fuller

up

Dan DeLong

and it's

Sharrin Fuller

gonna

Dan DeLong

be, and it's gonna be posting based off of that bill or expense. Yep. So that- Okay that's gonna be the transactional source of truth for receiving, and, the, posting of those items to wherever they're, the items are, posting to.

Sharrin Fuller

See, I never used item receipts for this reason. It just seemed like a lot. And then this, I think I happen to know the answer, but I'm gonna let you answer. When you go to enter the bill, does it remind you have item receipts, and can you pick yours?

Dan DeLong

Yes, and that was, So let me go back and enter in a bill. Not a pay bill. I put in its vendor again. We have the drawer.

Sharrin Fuller

Yeah, it should pop up. Yep. Oh,

Dan DeLong

apparently

Sharrin Fuller

that session- Just like expenses. Hey, you have a... Yeah, awesome.

Dan DeLong

Yeah, they show up here, and then you can add them. Yeah. Add the items

Sharrin Fuller

you can enter. So this I do I do think, I do want to commend again, I'm as, I... There is some things that Intuit does I like. I do like their auto-fill feature, and I do like this whole piece. This has made... I actually stopped using third-party bills because of this for a while, 'cause I'm like, why would I? Another, can you go back and tie an item receipt to the bill? Yeah. You should be able to. If you connect it to a bill, you should be able to click into anything and it should tie it. Everything ties back via link, correct?

Dan DeLong

Yeah what I would suggest doing is if you do have an item receipt-

Sharrin Fuller

That was from Barb.

Dan DeLong

Yeah. If you do have an item receipt already, and you, somebody entered in a bill erroneously, just deleting the bill and then re-entering a bill, and then it will then-

Sharrin Fuller

Retie

Dan DeLong

into

Sharrin Fuller

the expense

Dan DeLong

give you this option. Yeah. But I don't think you can go after the fact and, retie it to the from an

Sharrin Fuller

existing transaction. It'll remind you. It's already here. Yeah, It'll, or it's already connected to something else, like when you try to re-undo a deposit and they're like, "No, it's connected." One last one. Charity wants to know when this feature began, as she has a client using QuickBooks Inventory, this feature.

Dan DeLong

This feature when we last talked about it on the open tab, I think was the, our first one in, March, and I think that was part of the inventory enhancements when we were talking about sales orders and item receipts and those types of things moving average costs, the MAC options for weighted average as opposed to FIFO. So if you're not seeing this option in an existing client it's, typical for these types of things to start with new customers or new clients new to QuickBooks and to work them way... mer- work their way into existing subscriptions with whatever has been deemed as the most complicated data being last, right? If your client already has a, s- a significant inventory usage inside of QuickBooks Online chances are they may not even see this. And if they don't, then they may not see it for a while, while your other ones that might never need it they have this option all the way. But it's because that's typically the way that new features are, rolled out. New, new cl- new clients get it first, and then increasingly more complicated data sets because for, to their credit they don't wanna explode your

Sharrin Fuller

data.

Dan DeLong

Yeah.

Sharrin Fuller

You... They try not to. They roll it out to us, and usually they throw it in beta and let us opt in, right? Which is, Yeah also a good thing. You know what I wish, a feature I wish Intuit would put in, is if you are an accountant, that you can turn off allowing your clients to opt in to thing. You're like, "Hey, they've already gone through it. Do not let them click in advance. Do not let them turn these things on. Do not let them use this. Stop it." I feel, back in the day, I felt like we had some of that control. I say we, I don't have clients anymore. I have one that I'm a CFO for. But but don't you feel like that... I feel like we used to be able to do it back in the day, and now in days, and clients, of course, with all the AI out there, they're like, "Oh, I can do all this now. I can just look your job up." So they're in there playing around or, QuickBooks calls them up. I'd wanna be able to be like, "No." Yeah. "Out of bounds. Get out of here. Mine." Yes. I just think that would be a good feature.

Dan DeLong

Yeah. I would I would, think about maybe putting in a Zap or something like that when settings are changed, right? To automatically send- Ooh. Send them an email- I bet that's one that Make or some of those Zap- Or send you an alert. I'm

Sharrin Fuller

gonna look into that.

Dan DeLong

Yeah. Or maybe it up- automatically updates your client's engagement letter to if you mess with the settings, it'll cost you.

Sharrin Fuller

Yeah. I bet you can... I don't think Zap will do that, but I bet you can write it in Make.

Dan DeLong

Yeah, something like that. Now we do have some- I'm gonna

Sharrin Fuller

try

Dan DeLong

it Inventory resources- And sell it over at School of Bookkeeping. We have an Inventory Fundamentals course where we talk about what you can track in QuickBooks Online, what can you track in QuickBooks Desktop. And we have a workshop comparison of qui- advanced inventory with QuickBooks Desktop Enterprise versus Katana. And then we also have an E-commerce Fundamentals course as well, where we talk about some of the inventory concerns for those types of industries. So next polling question: Of your clients with inventory, what percentage use QBO for inventory management? Because, there, there is a finite area of workflows that QuickBooks Online will, manage, and it really falls under the category of a reseller of hard goods, meaning I buy stuff and I sell that same stuff. I don't do anything to that stuff between the time that I buy it and I sell it. And I don't need to know where it is, how much is on hand, how much might be promised for other clients. I don't build it into other things. So the reseller of goods is, the sweet spot for, QuickBooks Online for as far as inventory management is concerned. When you have more specific needs, like I buy in one quantity and I sell in others, or I need to know... I have some traceability I'm in pharmaceuticals or food or electronics where I want to trace when I bought something and who I sold it to in case there's a problem with said product, that's not where QuickBooks Online's inventory management spot shines. I guess that's the nicest way to put it. So that was a lot

Sharrin Fuller

That was a lot.

Dan DeLong

For one topic.

Sharrin Fuller

Oh, are we're onto the next one? Anyhow. Yeah, it was a lot, but I feel like I think it's important. I don't know. I learned something there. Yeah. Like I said, I don't ever use... I just, I remember the last time I used inventory was desktop. Yeah.

Dan DeLong

Well-

Sharrin Fuller

So of course it doesn't work that way. Of course desktop was easier.

Dan DeLong

But, now that we've talked about it, at least for the 101 participants that are, here I don't want to see anybody posting in our Facebook group about "QuickBooks is broken because a bill, I posted a bill, and it's going to this inventory offset account," right? So now we know that it's working as designed, it's just not working the way that you would expect it to, and that's because this feature, this this setting is turned on, and that's something that is a setting- That cannot be undone, right? So once you cross over that threshold and change to item receipts as your source of truth for inventory receiving, all of your inventory receiving has to be done through an item receipt, which is this is one of those things that customers can change it, but should they, right? So you just wanna understand the ramifications of, turning it on and what that means, right? So inventory offset is not a broken account. It's just a used account when this feature is turned on for inventory item receipts. There we go. So let's talk a little bit about desktop migration changes because as Intuit is e- exceedingly pushing, putting the pressure on desktop customers to move to QuickBooks Online, they are also s- putting a lot of effort into the desktop migration process when you move from QuickBooks Desktop to QuickBooks Online inside the product, right? This is not talking about migration through SaaSand or some other service. This is just inside of QuickBooks. You're in the company file. You and you're using the option to export to QuickBooks Online, right? So now more data is an option, right? So it used to be when I worked there, it was like 150,000 targets, which is basically the definition of what a target is, it's a transaction split, right? So you have a check with a five different line items on it. It's got five targets, right? So that's the splits of the check are the targets. So 4 million is a lot of data, right? If you've got a lot of transactions with a lot of line items on them 4 million is, a significant amount of, data. So- removing the obstacle of I can't move to QuickBooks Online because I've got too much data to move. Now there's 4 million targets to work with. Does it work every time with four 3.7 million? That's gonna take a long time to actually process, so we don't know, right? We don't... The most that I've done is like 2.5 million, and it took a day or day and a half to actually process, but it did work, right? But now something that we have talked about before in the past where, you can Move payroll a little bit more succinctly, and you can move attachments now with with the Desktop migration process. There's now a new wizard, a migration wizard that comes in and checks a couple things. Some of the things that we've seen in the past where have been a, huge challenge after or post-conversion. Unbilled charges is a huge,

Sharrin Fuller

Yeah potential problem. That one doesn't come over, right?

Dan DeLong

The challenge, and we'll talk, we'll get it, get into it a little deeper. When you have a time or expense that's a, that's associated with a project or a job inside of Desktop, and you haven't billed for it or and you aren't those come back up to the surface. So this can come in a lot of ways. But also inactive customers, inactive vendors, and inactive accounts gives you the opportunity to make them inactive. Inactive meaning that they haven't been used in the last 10 years according, or two years, according to the file checkup that it does. And then it also gives you some better indication of what you should be doing to maintain your file post-conversion or pre-conversion, right? So verifying your company data because GIGO, garbage in, garbage out. If you've got data that's damaged the chance of that moving over is diminished by by the fact that it's got some damage to the data, right? Never know what, what's, gonna occur. You also do have a little bit more flexibility with what you actually bring over 'cause now there is an option. You can always bring over just lists and balances before but now when you choose that option of lists and balances, you can choose the specific lists that you wanna bring over, right? So this gives you a good opportunity to basically create a, shell company for, your customers, or if you have just a chart of accounts that you wanna use from Desktop, you can use that as a starter company. You also do have the, chart of accounts templates as an option or feature just in QuickBooks Online Accountant or Intuit Accountant Suite, excuse me- As well. All right. So unbilled purchases or expenses. These are expenses that are marked billable, but they were never billed inside- of QuickBooks, right? So it's a commonly missed workflow, right? They're check marked by default in Desktop, so as soon as you put an expense on a Transaction and mark it to a customer. I-in Desktop, it puts a check mark that it's billable and that puts it in this on-deck circle of waiting to be billed back to the customer, right? So your contractors who do just a, lot of time and materials and expenses and with markup that works great for them because then they can put that back onto an invoice, bill it back to the customer. That closes the whole loop of that workflow. But a lot of people my experience talking to, to, to people didn't even realize that was an option, right? As soon as you bring up an invoice and that window pops up and says, "Hey, you've got time and expenses or time costs to add," they just X out of that or move, forward and then just create their invoice. Maybe they wanna create it from the estimate instead of the, time and materials, right? So they wanna skip out of that. So they leave a lot of these unbilled expenses just sitting there because they can, right? So they're not intended to be used by the company. And so what happens is that all of those unbilled purchases, they come over and it's now a-an issue because on the Sales Overview tab, there is this section for unbilled income. And this is a real screenshot from a real customer because they have nine point nine million dollars in unbilled income. But when we look at it, it's got transactions dating ten years ago. Because they were the two point five million Target customer that, that was moved over, right? So this ends up being a, challenge or it's a nuisance, right? You can only tell a customer just ignore that." Because they may actually, now that they know that they can do that, they might wanna use that. But if they've got this h- large number of nine point nine million dollars sitting in unbilled income, they really can't make much decisions off of that because it's filled with legacy or historical data that doesn't make any sense, right? So what this does actually in this option during the migration, it will list, "Hey, you've got-" $9.9 million in unbilled charges, and it will do that as part of the migration wizard to mark them not billable, right? So that $9.9 million of unbilled charges will go away because that's what you really need to do, is correct it in Desktop before it comes over into, QuickBooks Online. So in one fell swoop, you can mark all of those unbilled charges. There will be a... Did I have a screenshot with it? No, I did not. Sorry. There is a screenshot of or the, the-- in the screen itself, it will list all four of these things, unbilled charges and customers and vendors and accounts, and you can expand on them. You can see the individual ones. You can check off the ones that you want or you can skip the whole section of that at that point in time. So it does give you some insight into do it. It's not like an all or nothing type of thing which is, actually they've actually tho-thought this through, right? So to be able to do that. Now the biggest "Oh, yeah, but," to all of this is that if they're using Payroll in QuickBooks Desktop and they are using job costing on said payroll that's gonna pose a different challenge, right? So that customer this is all based off of the use case of that customer with two point five million targets. They have $9.9 million in unbilled charges, and they were using QuickBooks Payroll and putting their job costing on those paychecks. Paychecks, by default, don't come over as paychecks during the conversion. It only brings over the current year's payroll data as, year to date so that you can move forward from the date of conversion moving forward. Historical paychecks, they come over as regular checks. That ends up causing a challenge now with the unbilled revenue because in order to maintain the job costing of the expenses versus the the costs and the income of those jobs, to maintain the stability of those reports, it brings over the checks the paychecks as checks split out by account, by, by expense account. And those that are posted to a job or a project, they get marked as billable. So as you can see here on the, screenshot, those job costed expenses get marked as billable at that point inside of QuickBooks. Online. So even though you've cleaned up the unbilled expenses or the actual unbilled expenses, the conversion ends up causing more challenges because the way that paychecks get treated as regular checks, and if they're using job costing, right? Now, this can be corrected with tools, and we talked about this your options with handling unbilled purchases on a Workshop Wednesday that we did, right? So you have this option of using Desktop or Saasant to clear the billable flag in the, in Desktop, and then use... Or you can use the Manage. Now, for this particular issue of paychecks you can, you should be able to use the QuickBooks, the QBO tools to be able to manage that. There's a Manage Billable Expenses tool, hidden tool inside of QuickBooks where you can mark those as unbillable at that point. Or you can use Saasant or Saasant. I'm not quite sure of the emphasis.

Sharrin Fuller

I say Saas-ant, but, saas-ant. I also say niche.

Dan DeLong

Yes. You can see those in those options. There's a replay there. And on our next QB Power Hour, we're gonna be talking about making bulk edits in QuickBooks, where you can use some of these tools inside of, QuickBooks. We'll talk about Right Tool. We'll talk about Sasa- Saasant Spreadsheet Sync what's a- what's available in the product with- and what's available outside of that as a, an accountant toolbox. And then here's the last thing I want to talk about with the inactivating unused list elements. It does give you this screen where it's, it looks at customers that are older than, that haven't been used in the last two years or c- vendors that haven't been used or accounts that haven't been used in the last two years. You might want to make them inactive and it does that in bulk. And it can be skipped. And more importantly, it force, it creates a backup when you do any of these things before sending it over to QuickBooks, right? So it'll be in the condition the raw condition of the, company file at that point in time. So before you even move it over, you can restore that backup automatically, right? So any thoughts on that Sharrin? I'm- I know we're gonna- we're coming up on the, top of our hour here.

Sharrin Fuller

No, I inactivate like a mother effer, but I, am I, use a lot. So I When I open up my chart of accounts, I don't like seeing anything active. I'm, like, I'm a little bit OCD, so my P&Ls are always gorgeous. So I- Man I bulk inactivate so much. And no- nothing drives me nuts more than the accounts that they're like, "You can't get ac- inactivate this. This is required." I'm like, "I don't use it. Stop leaving inventory in my balance sheet. We're not an inventory company." ah, stop me... Ugh. So there, there are some few things that drive me nuts, but anyhow. I like this stuff. I know this stuff.

Dan DeLong

Yeah, this is

Sharrin Fuller

a welcome- Is there another poll question? There was, but- There is did we not get

Dan DeLong

there? There is. There

Sharrin Fuller

it is. Yeah. Somebody asked. I'll launch it real quick. Yeah.

Dan DeLong

Yeah, you can go ahead and launch the, last poll question, which is- I'll launch it Our usual one. Just wanted to talk a little bit about the the Facebook group that we have. Oops. I'm trying to get to the right one. We're threatening 18,000 members in the QB power users group. We typically have about 20 posts or questions a day in there. And I was just looking at the engagement reports. We are about 18 or 8,000 active in a month which is, really cool, so I appreciate all of the people helping people. I have- it- it's really cool to see people being able to respond to each other. There is an Intuit presence there, but it's not designed as a way to circumvent their normal options, right? Because they can't track, and there's we're limited to the Facebook analytics, which is just whatever Mark Zuckerberg makes available for us to do. We're not- Which

Sharrin Fuller

depends on who's in presidency at the time, on which way he's gonna lean on that. Ooh, should have muted myself.

Dan DeLong

Finger, yeah. But we appreciate the people who give back as much as they take when it comes to asking questions and providing help to each other. Some of the more common ones that we more popular ones is we're talking about non-Intuit or QuickBooks products or Q- QuickBooks Payroll versus Gusto or ADP, have a, what's the word I'm looking for, Sharrin? I

Sharrin Fuller

don't know.

Dan DeLong

Objective. There. There you go. We have an objective conversation, not slanted one way or the other, because if you go into the forum the, community, the QuickBooks community everyone in all the moderators in there will be slanted one way or the other, right?

Sharrin Fuller

I'm slanted one way- but it's not, it's-

Dan DeLong

You're

Sharrin Fuller

more tilted I'm on the pessimist side. My glass is just a glass. The liquid in it's gonna get drank or thrown out one way or the other, I

Dan DeLong

used to have a shirt that said, It looked like a glass was half full beverage, and the writing was, "Optimists are half full of

Sharrin Fuller

it." I'm a realist. It's glass.

Dan DeLong

That's right. It's a glass. Yeah. So these are some of the more, more popular posts that we've, we have in there. You can... Welcome to join the Facebook group if you aren't already. And and hopefully the search works you're limited to how the search works based in Facebook. But you won't have to wait too long to, find a, an engaging post to, to comment on. So we did ask the last poll question. Good. And next time on the, QuickBooks Power Hour, we're, are gonna be talking about making bulk edits in QuickBooks. Do need to register individually, so go ahead and do that now before you forget, because that is the way that I would operate, is I would either do it on the last day or the first day, nowhere in between. Sharrin, any final thoughts for today?

Sharrin Fuller

Good job, Dan. Thank- No, I said a lot. I said a lot- Yeah already.

Dan DeLong

All righty. Thanks you all for joining us

Sharrin Fuller

today. I hope I get to see everybody at Firm Growth Forum. How about that? Wait, I have a... I will be doing the... I'll be at Firm Growth, right? No, it's the week after. I was trying to think when I'm on here. So next week's... I'll hopefully see everybody at San Diego for Firm Growth Forum.

Dan DeLong

There we go.

Sharrin Fuller

There we go. Sandy's gonna be there, and I saw that James is as well.

Dan DeLong

All right. We'll see you in a couple weeks on the QB Power Hour, and hope everybody has a great week, everyone.