MBE QuickBooks Tips
What’s a Vendor Bill?
A vendor bill in QuickBooks Online (QBO) refers to the invoice that a vendor sends you. A vendor is a person or a company that sells products and services to your company.
Why Should You Enter Vendor Bills in QuickBooks Online?
You should enter vendor bills in QuickBooks Online in order to:
- Track what you owe to vendors – you’ll be able to see all of the bills that you owe to your vendors from one window. This will help you to manage your cash flow and track due dates.
- Prevent the possibility of paying a vendor twice by mistake – by entering the bills in QBO, you’ll be able to track the specific bills that you paid. This way, you will avoid accidentally paying a bill twice.
- Pay a vendor with one check for multiple bills – If you need to pay a vendor for more than one vendor bill, QBO does the math for you and tells how exactly how much to pay that vendor. This saves you time and you won’t have to write more than one check to that vendor.
- Print checks in QBO – Entering bills makes it easy to pay bills and print checks with just a few clicks.
Entering a Bill in QuickBooks Online:
- Open ‘Bills’. Go to the Plus Sign Menu and under Vendors choose ‘Bill’.
- Enter the Vendor. Choose the vendor who sent you this bill. If you need to enter a new vendor, you can do that here.
- Enter the Terms. Enter the Terms of this bill. If there are no terms noted on the bill, in most cases, you can assume ‘Net 30’. You can also add a new term here. Select the down arrow, select add new.
- Enter the Bill Date. This is the date of the invoice.
- The Due Date will automatically populate based on the bill date and the terms entered. Make sure this matches the due date on the invoice.
- Enter the Bill number. This is the invoice number.
- Choose an Account. Choose an account from the drop down list. This is your chart of accounts. There may be multiple accounts entered depending on the invoice.
- Enter a Description, if needed.
- Enter the Amount. Enter the amount of the invoice, or the amount of each account per the invoice.
Paying a Bill in QuickBooks Online:
- Open ‘Pay Bills’. Go to the Plus Sign Menu and under Vendors choose ‘Pay Bill’.
- Select Payment Account. This is the bank account that the checks will print from.
- Enter Payment Date. Enter the date you are printing the check.
- Enter the Starting Check Number. Enter the next check number in your check sequence.
- Select Invoices to Pay. On the left hand side of the screen, select the invoices you would like to pay.
- Select Save and Print. The bill is now marked as paid and you will need to print the check.
- Select Preview and Print.
- Select Print.
- Confirm check printing. A pop up box will appear asking if your checks printed ok. If some or all of the checks need to be re-printed, you can select that option here.
- Don’t forget to sign your checks!