Hey, it's Candus and in today's QuickBooks tips and tricks,
we are gonna talk about classes.
So classes are typically used
if you have rental properties or multiple locations.
Or for example, recently, I was working with a nonprofit,
and they had
an operating account and a fundraising accounts.
And so she mixed it all together, and then at the end of year when she went to pull her
profit and loss,
so she could do her reports.
Everything was commingled and so I said, you know, if you set up classes,
it would actually pull your profit and loss where each column
shows up.
So let's go get my computer, I'm gonna teach you how to set up classes.
The first step I want to show you is
actually how, what the report is gonna look like I mentioned it
in the video, but I want to show you what it looks like.
So you go to reports,
company and financial, profit and loss by class.
And then you'll know if you even need this or not based on what it looks like.
So what you'll see,
I'm gonna go up and hit collapse right here.
So it makes it easier to read.
You can see each of these appear on the top
is a, what's considered a class. So in this example,
this is a sample file that QuickBooks makes.
And this is a design,
landscaping, maintenance overhead and then what's considered unclassified,
meaning it hasn't been put into a class,
and total.
So what I recommend that you do is you just check and see, well, what do you need
separate columns to show you,
for example, you'll see total income and it's broke down into each category,
and then at the end, it's totaled.
And then at the very bottom, you get net income,
landscaping, maintenance, whatever you can make these
look property addresses.
So it could be 1234, Main Street,
567, A Street, whatever you want to be.
And the way you would do that is you can go up first, to make sure that
you have classes set up within QuickBooks, you're gonna go under edit, preferences,
you're gonna go up to accounting,
click on company preferences
and you will see that it says use
class tracking for transactions,
transactions, you gonna want to check that.
And then right below it, it says
prompt to assign classes. What that means is,
if you check that,
you will not have click OK.
You will not have the unclassified as often,
because QuickBooks will actually remind you
to choose classes.
Now since we are almost to the month of September, when I'm recording this,
you're gonna want to make sure
that the period of time, you don't want to
choose to do classes mid year,
you'll want to go back and redo each transaction
to
set your classes up.
Let me show you what that looks like.
So I'm gonna go ahead and click the little x.
If you're in using enter bills,
where you're gonna select the class
is going to be over here.
On the right,
you'd select which class,
and you can do it by each individual expense.
So say you're entering one bill for multiple locations, you choose the expense category,
the dollar amount that goes there, and then the class you want it to go to.
If you're in creating an invoice,
there are gonna be a couple places you want to select the classes up at the top,
gonna choose the class, and then you can actually choose a class
by each individual item.
And if you're inside doing record deposit,
you're gonna want to make sure you select your class over here on the side,
as well as
when you're in using your, write checks.
The classes are gonna be over here on the side.
Now one little tricky spot is when you're in
writing using the check register,
you want to make sure you'll notice
classes don't show up in here, what you're gonna do is click on splits.
And then your classes are gonna be over here on the right.
So if you want to go in and make any adjustments to your classes, you go under lists.
class list,
it will show you all your classes.
If you want to add one, you can just go down here to the bottom and click new
Ctrl+N is a shortcut key.
And you can just add whatever
class you want. So let's just say we want to add
1234 Main Street.
Now it shows up,
I can close that.
Let's create a check for it.
So you would put in which bank account just like normal, all this is normal.
You can click where you want it to go.
Oops,
put your $12 in,
say bank service charges here.
And then you're gonna want to click your class
and you could put it towards 1234 Main Street if that's where it goes.
And you click Save and Close.
And it's that simple and easy. It'll take a little extra time but will make
your reports way easier to read in the future, which
I'm all about learning how to manage
QuickBooks so you can manage and grow your business.
Click on by class.
And now you'll notice here's your 1234 Main Street.
I'm gonna click collapse again so it's easier to read.
Here is your bank service charges.
Once you had any income in
it would actually give you your own
separate
profit and loss for that one location. Now here's a little trick.
If you go under customize reports,
and you go under
filters,
you can actually go down by class
and select which class, you want to show up,
click OK.
And it will give you a P&L only with that class in it.
You go back up to customize.
You can change your header and footer to say which class it's for if you want.
And then you can go back over to your classes, and you can decide
multiple classes, just one or the other.
And what it will do is you can actually pull a P&L just by that.
And then if you want everything to show up,
we'll remove this.
I clicked the wrong button, that's okay, filters.
We want
the classes removed.
That's the cool thing about QuickBooks. You can fix anything
go back under classes, if you click total only.
Only it'll show the total.
Go back down to classes
here,
and it shows you them again.
So I hope this tip has been beneficial.
If you have any questions about how to use the classes,
please leave a comment below.
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Talk to you guys next week.
Take care, bye-bye.