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K
ktaylor1
December 11, 2018
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Currently when I run the estimates vs actuals report, the est cost shows as the est revenue. How do I enter the job to change that information. The revenue is accurate

  • December 11, 2018
  • 5 replies
  • 0 views

I am sure we are missing a step here, but I need to be able to see how much we estimate the project to cost.  To summarize, the report shows the estimated cost and the estimated revenue to be the same numbers, and this is not helping me.

    Best answer by qbteachmt

    "the est cost shows as the est revenue. How do I enter the job to change that information"

    Your Items need to be Two Sided; are they?

    Est Cost come from the Cost side; Est Rev comes from the Sales side. This is how you teach the program that you need to separate Expense and Income activities for that same item.

    Items are something you make, do, sell, charge, buy, or buy and sell. They link to Accounts and control the flow of data, and you use the item on purchase transactions to avoid micro-managing the chart of accounts.

    Once you edit an item and Change it to be Two Sided, you Save the change and QB offers to move existing data for you. Let it do this. That won't change your financial reporting Net; it will separate expense and income.

    Please see my attachments.

    5 replies

    qbteachmt
    qbteachmtAnswer
    December 11, 2018

    "the est cost shows as the est revenue. How do I enter the job to change that information"

    Your Items need to be Two Sided; are they?

    Est Cost come from the Cost side; Est Rev comes from the Sales side. This is how you teach the program that you need to separate Expense and Income activities for that same item.

    Items are something you make, do, sell, charge, buy, or buy and sell. They link to Accounts and control the flow of data, and you use the item on purchase transactions to avoid micro-managing the chart of accounts.

    Once you edit an item and Change it to be Two Sided, you Save the change and QB offers to move existing data for you. Let it do this. That won't change your financial reporting Net; it will separate expense and income.

    Please see my attachments.

    K
    ktaylor1Author
    December 11, 2018
    Thank you so much.  I have 1 follow up question.  Recently, our company President changed some things in the item list, we no longer have actual inventory and everything is ordered as a non inventory part and that material is charged against Job Materials in the general ledger.  Since all purchases are ordered as job material (nothing is set up individually), obviously the cost of everything is different.  Can we enter 0.00 as the cost in the item list?  When I run the reports, will it populate with the amount from the AP invoice received?
    qbteachmt
    qbteachmt
    December 11, 2018

    "we no longer have actual inventory"

    That's fine. As long as all inventory items are 0 value and 0 quantity on hand, you can stop using them and make them all Inactive.

    "and everything is ordered as a non inventory part and that material is charged against Job Materials in the general ledger."

    You did not Answer the Question: Are they Two Sided?

    "Since all purchases are ordered as job material (nothing is set up individually), obviously the cost of everything is different.  Can we enter 0.00 as the cost in the item list?"

    Yes, that is fine, but that means there is no Estimated cost for Estimates Vs Actuals. Instead, you would at least not have one generic "Materials" item or one generic Service Items, but a few, similar to what I showed.

    "When I run the reports, will it populate with the amount from the AP invoice received?"

    That would show in your Actuals reporting. AP is part of Actual Purchases: bills, credit card charges, checks to Buy Stuff.


    J
    JP512
    July 26, 2019

    I am having the same issue in that the Est. Cost and Est. Revenue are the same amount.  Both are coming from the Customer Sales Estimate, which is correct for the Est. Revenue amount, but not the Est. Cost amount.  Where should the Est. Cost amount be pulling its data from?  I only have service items, and they are all 2-sided with an income and COGS account.  At this time, I do not have any estimated costs, except for purchase orders.  Is that what the estimated cost should be?

    HELP from JP512!

     

    S
    ShiellaGraceA
    July 26, 2019

    Hi JP512,

     

    For a service item, yes, QuickBooks will get the cost from your purchase orders. Unlike the inventory item, you'll need to create an invoice to generate an average cost.

     

    Feel free to read this article for more information: Understand reports.

     

    You can also visit our page for future reference: Reports.

     

    If you have additional questions, please don't hesitate to swing by anytime.

    J
    JP512
    July 30, 2019

    In multiple reports, the Est. Cost amount is being taken from the Sales Estimate, not the Purchase Order.  Could it have something to do with the account that the Estimate vs the PO is using?  The Estimate is posting to account 90000 Estimates and the PO is posting to account 90100 Purchase Orders.  Could the Est. Cost column be hard coded to only look at what is posted in account 90000 Estimates?  How could I change which account the report picks the info from?

     

    P
    pennees
    February 27, 2020

    I have followed this thread. I have two-sided items. In our firm we use items for income and different items for cost when entering the information for the job estimates. Each income item and each cost item will differ for each job. I leave the amounts at zero at the item level. The items for cost force me to put in a revenue account, and I need to leave the revenue blank.

    When entering the estimate, I don't know where to enter the item cost amount.

    The cost item amount shows in both the estimated cost and the estimated revenue.

    Is there anyone who can give me clear direction on this?

    Thanks

     

     

    MaryLurleenM
    MaryLurleenM
    February 27, 2020

    Hello there, pennees,

     

    The system will not allow you to save an item without selecting an income account.

     

    When you create sales transactions such as estimates, you'll want to use the item for sale. You don't need to add the item for revenue to avoid duplication. Item for revenue will be used when you create expense transactions, such as replenishing or purchasing items from your vendors.

     

    Check out these articles for future reference:

    Let me know if you need further assistance about this, I'll be right here to help.

    P
    pennees
    February 28, 2020

    thanks for the attempt at response. However, within my question, I explained that, on the estimate, each item for cost will have a different value assigned based on the customer proposal. The revenue amounts will also be different. We don't use inventory or purchase orders in QuickBooks for our products.

    My question addressed how do I record the full estimated costs and full estimated revenue on the QuickBooks Estimate document.

    Costs of products are not directly associated with the revenue charged to the customer.

    We would like to use QuickBooks estimates to build estimates revenues and costs for each customer/job.

    M
    Mich1959
    January 19, 2021

    Hello,

     

    HELP! I have been reading all of your posts and I just cannot understand what i need to do. 

    1. I set up a new estimate for customer on the cost side.

    2. I cannot find where I enter an estimate for the revenue. 

    3. when i run my job profitability report, it shows the estimated cost and revenue as the same figure.

    4.where is the job profitability picking up the revenue figure from and how do I correct this.

    5. can you please give me the answer step by step?

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