Welcome to QuickBooks Online for Nonprofits.
My name is Ufuoma Ogaga, I am the founder and owner ...
of Goshen Bookkeeping & Consulting.
I specialize in serving non-profit businesses ...
nationwide helping them to increase profitability one ...
mission at a time.
In today's session, we're going to focus on ...
creating a budget inside of QuickBooks Online.
Let's get started.
There are three different ways to create a budget ...
inside of QuickBooks Online.
I'm going to show you the first way,
which is to create a generic budget without having to ...
subdivide by class or customer.
To do so you're going to go to the gear icon.
Under the tools column, you will click on budgeting.
If you've not created a budget inside of QuickBooks this ...
screen will show up. It is a blank screen and it will ...
ask you to add your first budget.
When you click on Add budget,
it is going to ask you give your budget a name.
So what I'm going to create this as fiscal year
2019.
No subdivision.
Once you enter your budget name,
you going to select your fiscal year that you're creating for ...
this budget. This is actually 2019 so I am ...
going to select 2019.
The system will ask you do you want to create your ...
budget either on a monthly basis or a quarterly basis or ...
yearly basis. Most nonprofit organizations ...
tend to do their budgets on a yearly basis so I will choose yearly.
Now the next option the system will ask you for is do ...
you want to pre-fill
this current budget with actual data from the prior fiscal year.
So if your nonprofit is based on a calendar year or if it's ...
based on a fiscal year
like June 30th ending fiscal year,
you have an option of selecting to use the actual ...
data from prior fiscal year as the budget for your current ...
year and then edit a different account numbers for the ...
different account lines that you want.
In our demo I'm going to use the data from 2018.
The subdivide function we're going to leave this as do not ...
subdivide. I will show you the other two ...
methods to use the subdivide function.
So we're going leave this as do not subdivide.
And as you can see when I chose use actual data from ...
2018, all of my data
showed up inside of this budget preview screen.
So I'm going to click on
Create a budget.
Let's say you want to change an amount or maybe you ...
really are not going to spend that amount you're not going ...
to receive that amount of income in and let's say we ...
want to change it so you can just change the amounts ...
here that's if you don't have any discounts.
That this is a sample company file that I'm using so ...
your income and expense accounts will look different ...
from what you're seeing on my screen.
Since I am using this as a sample,
everything just has all the numbers that I need.
One thing that I will mention in this area if you are ...
nonprofit organization that does your budget on an ...
annual basis and you don't take the time to do your ...
budget on a monthly basis which is what I typically ...
recommend for nonprofits. QuickBooks Online will ...
decide to take you annual amount and evenly spread ...
that amounts and divide it for all 12 months.
If you don't want that to happen what I usually ...
recommend is clicking on the gear icon at the side and ...
switching to view by months instead of view by year and ...
as you can see when you click on view by months,
QuickBooks automatically divides the $3000 by 12 to ...
spread it across all 12 months.
If your income and your expenses are not fixed and ...
changes every single month, you probably don't want to do ...
this. So what you want to do is ...
take the annual amounts of your budget if you are not ...
going to take the time to
come up with the actual income and expenses each ...
month. What you want to do is take ...
that annual amount and put it in the first month of your ...
fiscal year so if your fiscal year is a calendar year and ...
your fiscal year pretty much ends December 31st.
The first year in your fiscal year is going to be January ...
so you need to put the 3,000 in the month of January.
And then
zero out the remaining months and every report that ...
you wanted such as your budget and actual report ...
inside of QuickBooks you will want to include the month of ...
January in that report that way you always see your real ...
annual budget versus your 1-month budget.
So this is one quick tip that I have for nonprofit organizations.
So, once you've gone through all ...
the process of entering your income and your expenses all ...
across the board, you're going to click the ...
green button here that says save and close.
I am going to click on that save and close.
And once you do that,
the system is going to bring you to the screen that shows ...
the budget we just created.
One thing that I do recommend for my nonprofits ...
once they have created their budget is to go on the action ...
column. Click the drop-down icon ...
right next to the edit piece.
and click Run Budget Overview report.
So when you run your budget overview report is going to ...
show you all of your budget income and expenses ...
account that you entered into the system here.
It is going to show that to you.
Customize this report so if you want to say,
okay, I want negative amounts to ...
be in parenthesis and and in red.
And, I want to show it without cents,
you can do that as well.
Once you edit this, I usually recommend ...
renaming it to say 2019 budget with no subdivision.
Once you edit your budget reports however you wanted to show,
and clicking save.
If you are using if you have multiple team members as ...
accessing your QuickBooks file,
I usually recommend saving and sharing it with everybody ...
that has access to your QuickBooks Online file.
This is a sample file that I'm using so it's not going to let ...
me choose to all option. I'm going to choose none and ...
if you have like groups you can do different groups of ...
report. So you can give this a group ...
name. I'm going to leave that blank ...
becuase I don't really need that so we're going to click save.
What that does it saves the reports so every time I want ...
to see okay and if a board member of your staff member ...
asks what is our budget for this year all,
I do is come to my custom report section.
You could go to the reports tab at the left-hand ...
navigation bar and then click custom reports.
You'll see the report that we just created today.
So that is really how you can create a general budget ...
inside of QuickBooks online without having to use a ...
subdivision function. In the next step,
I'm going to show you how to create a budget by customer.