Creating Estimates for Customers or Jobs in QuickBooks

Posted by on Mar 15, 2011 in Customers Module | 0 comments

Estimates maybe products or a description of work that you propose to sell to a current or possible Customer. You can create multiple estimates for a Customer or Customer:Jobs, and if a Customer accepts the estimate, you can turn it into an invoice.

Once you start billing and have actual costs and revenue, you can compare that to your estimated costs and revenue. Since estimates are non-posting transactions, they will not affect your financial reports or income and expense balances. You will be able to create invoices from your estimates, either by transferring the entire estimate to an invoice or by allowing you to choose a percentage or selected items, to invoice from the estimate.

If you bill for only a percentage of the estimate or selected items on an estimate, you will be doing progress invoicing. This is common in the construction industry.

To make sure the you are ready to create estimates and progressing billing, you need to go to – your Menu Bar/Edit/Preferences/Jobs & Estimates/Company Preferences/Yes for “Do You Create Estimates”/Yes for “Do You Do Progress Billing/OK to save your selections and close Preferences.
To create this estimate I am going to us the Sample Co. in QuickBooks. From the Home page choose Customer Centre and then I will use Jason Cioran/New Transactions/Estimates.

You will notice that the Estimates screen looks very similar to the Invoice screen as far as the main fields go. Make sure that the Template field is the Custom Estimate. I am going to use Mini Stanley Cup for the Item, 50 as Qty, the Rate is already filled in as 40, Markup is 84.62%, Classis One Time Project and QuickBooks has calculated the rest of the amounts based on Quantity, Rate and Markup.I will mark the To be e-mailed box, print a copy for my record and Save & Close.

In the next segment I will deal with multiple estimates and creating an invoice from an estimate.


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