QuickBooks Classes to maintain accounts separately for divisions and branches
Maintaining the books of accounts is not an easy task especially when you have a very new business or a very large one. We certainly cannot work with all the accounting needs and maintaining them for their optimum use at once. And so the need for the technical help is served by the QuickBooks which certainly makes our accounting of businesses easier and faster.
This helps us in not only maintaining while transacting business daily but also in saving a lot of energy which otherwise would have taken a toll on us. With the help of some of the amazing features QuickBooks makes categorizing of transactions easier and helps us in differentiating the accounts of divisions, localities and even on the types of customers. This feature of QuickBooks is called Classes.
How do classes help in QuickBooks?
QuickBooks has this feature called classes to make categorizing of transactions easily. Classifying the transactions according to various divisions, branches etc. helps in analyzing the business data better and makes you understand the profit or loss made from different division too. When you make entries according to classes you will be able to view the accounts according to the whole company accounts as well as data divided into the divisions to learn the profitability, expense, types of customers etc. for each class. Thus making you analyze the business better, allocate the sources well and also make business strategies well.
How can the division/classes be made?
You can make classes according to corporate or commercial vs residential, according to divisions, branches etc. to know how much business does each make. Making the divisions with the help of classes is pretty simple and can help you generate Profit and Loss according to different classes after you have maintained the accounts accordingly. Choose the ‘Classes tracking of transaction’ from the ‘Company preferences’ to enable the feature. Then you have to go to the ‘Lists’ and create the ‘class lists’ where you can name the classes according to the type of classes you want. And then all you have to do is feed the accounts according to the classes to get the details separately.
How make a transaction entry with classes?
After you have enabled the Classes feature from Preferences and have created the Class list its time to maintain the daily transactions according to the lists created. While making the Invoice, you shall notice that there is a new section to choose Classes. So when you choose the name of your customer or vendor, you will be able to classify them according to these classes each time to make entries. Do the rest of the billing as usual and the transaction is sorted.
Classes feature will help you generate Profit & Loss, Income & Expense and other valuable details according to classes to help you administer each branch, division or type of customer in best way. QuickBooks simplifies the process of maintaining accounts while helping you analyze data to make the most of your time and efforts while accounting.