In a previous article, we told you about several innovations announced at “QuickBooks Connect 2022” to QuickBooks Online-Advanced for the mid-market. We also let you know we’d update you on those innovations in greater detail as more information became available.
Our goal is to bring you up to speed about one of the recent improvements to QBO-Advanced project tracking that provides enhanced features and reporting to measure profitability.
As of this past month, there is no need to manually calculate project profitability when using QuickBooks Online Advanced. QBO-Advanced subscribers now can automatically gauge project performance and profitability using new project centered features and reports.
Project-based businesses have needed a way to organize their project income, expenses and labor costs so they could produce accurate project plans, determine profitability at the project level and make intelligent business decisions.
For example, if projects are coming in over budget, are they being under-estimated at the start or are project costs simply out of control?
QuickBooks Online Advanced launched updates in November, including a new project estimate form and an estimate vs actuals report designed to help users meet these requirements.
The new Project Estimate form allows users to include total costs to the business along with a markup to the customer. The new mark-up functionality on the Project Estimate form (shown in the red box in the illustration below) allows the user to calculate customer rates based on known (or planned) markup %.
The new Project Estimate vs Actual Report allows QBO-Advanced users to track actual performance against the initial estimate while the project is in progress and after it is complete.
The new report allows users to gauge project performance and profitability relative to the planned costs directly within QuickBooks. This eliminates the need to export your accounting data into another reporting solution or spreadsheet so you can work on it manually to determine your project profitability.
Even if you haven’t seen this new feature, if your clients are using QuickBooks Online Advanced, they have it. It was rolled out to all QBO-Advanced users on Nov. 4; however, it is available only for QuickBooks Online Advanced, no other QBO product versions have it.
It also is available to QuickBooks Online Accountant ProAdvisors in their QBO-Advanced My Books file for their own company books.
For more details, and to see the feature in action, check out this official Intuit QuickBooks Online Advanced YouTube.
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December 20, 2022