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SaulA
February 15, 2020
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Inactive Estimates are not hidden when filtering for only Open Estimates. What does "Mark as Inactive" do? What does QuickBooks see as an "Open" vs "closed" Estimate?

  • February 15, 2020
  • 4 replies
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Original commenter did not share additional details
    Best answer by SaulA

    Hi bdeaton!

     

    I understand that you want the Estimate to work as the Sales Order (SO). Allow me to join this post so I can help you.

     

    Currently, it won't close the estimate though it was converted to SO. Also, you'll need to manually edit the line items on the SO if you need to update something. You'll want to delete it once converted to SO so it won't still reflect on your Open Estimates report.

     

    Also, I'd encourage you to send feedback about this to our developers. Let them know of the improvements you want to be implemented regarding estimates.

    1. Go to Help at the top menu bar and select Send Feedback Online.
    2. Click on Product Suggestion. Enter the details needed.
    3. Once done, select Send Feedback.

     

    Also, you'll want to check this link: Get started with customer transaction workflows in QuickBooks Desktop. This will show more details on how to track customer transactions.

     

    I'll be here if you have other concerns. Take care!


    Alex, no one wants Estimates to work like Sales Orders. We want Estimates to work as part of the normal business workflow that starts with an Estimate, which turns into (one or more) Sales Order, which turns into (one or more) Invoice.

     

    When we create a Sales Order from an Estimate, we want the Estimate to close those line items that have been converted to a Sales Order, closing the entire Estimate if the entire Estimate is made into a Sales Order.

     

    As QBE works now, Estimates NEVER close. Even marking them "inactive" does not close the Estimate. So no one can ever know what their actual pipeline of business looks like at the top end of the funnel at any given time.

     

    We do not want to delete Estimates as they are an essential part of the sales pipeline. Being able to look at past estimates is important when quoting current business. 

     

    Why after all of these years hasn't QuickBooks implemented properly the very normal, very common business flow of Estimate -> Sales Order -> Invoice?

     

    So frustrating.

    4 replies

    KlentB
    KlentB
    February 15, 2020

    I'm here to clear things out for you, SaulA.

     

    When we create multiple estimates to your customers and they've accepted one of them, we might want to make the unaccepted estimates inactive. When we deactivate it, QuickBooks keeps a record of it but doesn't use the estimate numbers in reports. 

     

    Deactivating an estimate means we're not using it anymore because the customer didn't accept it. Technically, this estimate is still open but it's inactive that's why it will show when you filter the Estimate Report to Open Estimates. QuickBooks will only recognize an estimate as closed if you've linked it to an invoice.

     

    If you want to get rid of these transactions, we'll have close or delete them. Since these are non-posting transactions, eliminating them won't affect your books.

     

    Here's how to delete an estimate:

    1. On that report, double-click the inactive estimate.
    2. Click the Delete icon on the upper left portion of the window.
    3. Hit Save & Close.
    4. Once done, you can Refresh that report to view the changes.

    Check out this article that will guide you in splitting an estimate into as many invoices as you need: Set up and send progress invoices in QuickBooks Desktop. It also contains information that will help you track how much you invoice for each estimate.

     

    Don't hesitate to visit us again with all of your QuickBooks-related concerns and questions. The Community is always here to help you succeed.

    S
    SaulAAuthor
    February 16, 2020

    Thank you. Now I know what QuickBooks considers to be open and closed estimates. That leads to a two part question follow up:

     

    First, you stated, "QuickBooks will only recognize an estimate as closed if you've linked it to an invoice." I see that happening if you create an invoice directly from an estimate. However, that should never happen in our business. We create a Sales Order from an estimate, and later create an Invoice from the Sales Order. (This is apparently what has led to our having so many open estimates for which sales have long been invoiced, which was the source of my original question.) How does one link an invoice to an estimate?

     

    Second, we don't want to delete estimates just because they did not lead to a sale. We want them as part of the customer record, so that when we develop future quotations we have the full history on which to draw. We know to mark these as inactive, but since QuickBooks insists they are open, even though marked inactive, they fill the Estimates Transaction screen with clutter. There doesn't appear to be a way to filter this screen for Active Estimates only. How can we look at just those estimates that are active in the system until we need to look at inactive estimates as well?

    MarsStephanieL
    MarsStephanieL
    February 16, 2020

    Hi there, SaulA.

     

    I can assist you to link your invoice to an estimate and run reports for estimates status. To link the invoice to an estimate, you can follow the steps below.
     

    Here's how:

     

    1. Go to the Hamburger icon and select the + New button.
    2. Select Invoice and type in the Customer’s name.
    3. The existing estimate will automatically appear on the right side.
    4. Click Add on the estimate that you’d like to create an invoice.
    5. Hit Save and close or Save and send.

     
    Then, you can run a report to check the customer’s sstimates status. Here’s how:
     

    1. Go to the Hamburger icon.
    2. Select the Reports tab and type in Estimates by customers in the search box.
    3. Filter the details in the Customize tab and click Run report.

     
    This is how it looks like.
     

     


    Looking at the report; 

     

    • The estimates that are Closed status are linked and already paid by the customer.
    • The estimates that are on Pending status may be linked to an invoice but not paid by the customer yet.

     
    Also, you can check out create and use project templates article in the future.
     
    Do you have questions in mind? Let me know right away and I’d be glad to answer them for you! Have a great weekend!

    R
    Rasa-LilaM
    February 16, 2020

    Thanks for adding more details about your concern, @SaulA.


    Based on the information, you’ll no longer have to link the estimate to the invoice. Instead, let’s run the Transaction List by Customer Report check which estimates the invoice is associated with.

     

    The process is a breeze, and I can help pull up the information.

     

    1. Go to the Reports tab at the top and choose Customers & Receivables to select Transaction List by Customer.
    2. These actions will display all the data on the report.
    3. From there, click the drop-down for Dates and select the correct period and then hit the Customize Report button at the top.
    4. When the Modify Report: Transaction List by Customer window opens, tap the Display tab and add the Memo option.


    Let me share this guide about customizing the data on the report. It also includes instructions on how to change the font style, add/remove columns, etc.: Customize reports. 


    To ensure your Accounts Receivable records are in order, choose the workflow that suits your business process and follow the steps in creating each transaction. Check out this article for more details: Accounts Receivable workflows in QuickBooks Desktop.


    Please know the Community has your back. If you have questions about the product, post a comment below. I’ll be right here to answer them for you. Have a great rest of the day. 

    S
    SaulAAuthor
    February 23, 2020

    I appreciate your reply. I am still confused, however.

     

    My original question was asking how to "close" an estimate, since the Estimates screen on the Transactions tab of the Customer Center can filter only by "Open Estimates" or "All Estimates". 

     

    The options given so far are to create an invoice from an estimate, or delete estimates, or use a report to manually determine see which transaction got tagged with which estimate number. The first does not fit our workflow as we go from estimate to sales order to invoice. The second doesn't fit, either, as we don't want to lose the estimate history as it evolves. (Nevermind that deleting an estimate doesn't "close" it for purposes of the screen in question; it just makes it as if it never existed.) The third option doesn't address the question at all.

     

    What I've gotten from all of this is just don't look at the Estimates screen as it doesn't do what I think it does. 

     

    If I have $500k in quotes open at a given point in time, and I know that we close 50% of what we bid on, I can reasonably expect $250k in Sales Orders at a certain point in the future, followed by that same amount in Invoices further into the future. 

     

    My follow up question then becomes: If the Estimates screen does not understand "open" versus "closed" estimates, and there is no way for me to close an estimate (short of deleting it, which kills the audit trail for a given sale), how can I use estimates in QuickBooks to understand my sales pipeline and subsequent cash flow projections? I don't see a report that would do this. I'm hoping the more experienced folks on the forum have solved this particular analysis need and are willing to share it.

    Kristine Mae
    Kristine Mae
    February 24, 2020

    I'm here to help you get this sorted out, SaulA.

     

    Based on your workflow, you can close the estimate by manually marking it as inactive. 

     

    First, let's pull up all open estimates. Here's how:

    1. Click Reports, then go to Customers & Receivables .
    2. Select Transaction List by Customer.
    3. Click Customize Report, then go to the Filters tab.
    4. In the Search Filters field, enter and select Transaction Type.
    5. Under Transaction Type, select Estimate.
    6. In the Search Filters field, enter and select Posting Status.
    7. Under Posting Status, select Non-posting.
    8. In the Search Filters field, enter and select Paid Status.
    9. Under Paid Status, select Open. 

    Next, open each estimate, then click Mark As Inactive. 

     

    On your follow up question, you can pull up the Job Estimates vs. Actuals Summary report. This will provide you the estimate cost, actual cost, and the revenue. This can help you with the cash flow projections.

    1. Click Reports.
    2. Go to Jobs, Time & Mileage.
    3. Select Job Estimates vs. Actuals Summary.

    Get back to us if you have additional questions. We're here to fill you in. 

    P
    Printer Rob
    September 7, 2021

    I am not sure if an adequate solution has been presented (no time to read all responses), but I had the same issue and found a simple work around.

     

    1.  Go to Customer Center, select Transaction Tab.

    2.  Filter by Open Estimate 

    3.  Right Mouse Click to View as Report.

    4.  In the Report, select Customize Report > Select Filters Tab and search on & select Estimate Active > Select Yes. (this is a screen shot of the filters you should have selected)

     

    The report should show you only Active Estimates and doesn't require you to delete anything, nor invoice direct from estimates (i.e. you can make a sales order).   

     

    I hope this helps you. 

     

    PS I understand the frustration of all the people on this post. I see no reason that estimates, sales orders, invoices, and PO's cannot be linked to each other. You should be able to link these transactoons manually too. Sometimes you delete an item on invoice and it doesn't link back to SO. QB needs to do better. They are busy solving the problems of few and forgetting the customers that got them there (small business)! 

      E
      Englosol
      January 11, 2022
      Can quickbooks automatically make an  estimate inactive when is converted into a sales order
      MJoy_D
      MJoy_D
      January 11, 2022

      I can share some information on what happens after creating a sales order out from the estimate, @Englosol

       

      Your estimate will still be active after creating a sales order out from it. However, you can go back to that estimate to mark it as inactive. QuickBooks will keep a record of it but will not be included in your reports. 

       

      You can go to the Transactions tab of the customer's profile, find that estimate and mark it as inactive manually. 

       

      Refer to the following steps:

       

      1. Go to the Customer menu and then Customer Center.
      2. Click the customer's profile and then proceed to the Transactions menu under the Customer Information window. 
      3. Find the estimate and click the Mark as Inactive button. 

       

      For more information about turning on the sales order feature, creating one out from scratch, and from an estimate, see this article:  Create a sales order. 

       

      You can now create an invoice out from that sales order, receive the invoice payment and record it as a bank deposit. 

       

      Let me know if you need further information about estimates and sales orders. I'm always here to assist. Have a wonderful day!

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