What is the best way to record inventory lost/damaged/spoilage in Quickbooks Self-Employed?

I understand the importance of entering your inventory transactions.

Currently, QuickBooks Self-Employed (QBSE) doesn't include an inventory feature. However, you can record your transactions as expenses using the closest category.

Here's how:

1. Go to the Transactions menu.
2. Click Add transaction.
3. Enter the Date, Transaction, and Amount.
4. Choose a Category and Tags.
5. Hit Save.

I also suggest seeking guidance from your accountant to help you choose the correct account to ensure your books are accurate.

Additionally, learn to categorize your transactions to put them on the correct line of your schedule C in QuickBooks.

Let me know if you need more help with your inventory transactions. I can assist you anytime. Have a good one!

@styleiconiquemai 

If you recorded the purchase of inventory as an expense, then there's nothing else you need to do.  Lost, damaged, or spoilage is a loss of revenue, not an additional expense.  If the purchase was recorded as inventory (asset), then you would create an adjustment to reduce inventory and increase COGS by the amount of the loss.  I have never used QB Self-Employed so I don't know if you can make that adjustment.