In this article, we’ll show you to create an estimate in QuickBooks in a few simple steps. You can easily turn on and off the estimates and also able to send estimates to the customers without any help from an accounting professional.
An Estimate is also known as a quote or a bid. It is a type of document which provides customers, the list of the products and services that you will plan to provide and it also shows service or product charges. When the customer accepted the estimate then you can convert that estimate into the invoice.
Why Create an Estimate In QuickBooks Online?
- This can help customers to decide if they want to purchase the goods or services.
- It can perform duties as written approval to start a job.
- Click on Button to turn the estimate into an invoice in QuickBooks Online when you are ready to bill your customer for work completed.
- You can run reports in QuickBooks that will help you compare your estimates to actual income and costs after the work is completed
Do you want to create estimates big as quotes for possible customers before you start a job? QuickBooks contractor or you can create your estimates in QuickBooks, mail them to customers and then after complete the work convert them into QuickBooks invoices.
Turn On and Off the Estimate Feature
In order to turn on and off this feature and create an estimate in QuickBooks, the user should have the administrative login credentials of the QuickBooks.
- First, click on the Edit menu and then select the Customer Preferences option.
- Here, you need to select the Jobs and Estimates option.
- When the question “do you create estimates?” pops up, choose the Yes option.
- Then, checkmark the box stating “Warn about Duplicate Estimates numbers”.
- You can also select whether you want to use progressive invoices to charge clients or not.
If you want to turn off the estimate feature than go to Edit<Company Preferences<Jobs & Estimates. The only administrator has the authority to enable and disable the estimates feature.
Easy Steps to Create a New Estimate in QuickBooks Online
- Enter the customer’s name by choosing the customer name from the drop-down list or if the given list is not customer click + Add new.
- In the details Window enter your expected customer’s contact info, after adding an email address click save in the bottom right corner.
- Now enter the product or services name you plan to provide for this prospect. Click add, if this is a new product or service that is not present into QuickBooks.
- Enter full information about the product or service that you want to provide for this prospect. Now select the name of the account in the text box marked Income Account. Remember, this isn’t a bank account it is a bookkeeping account. Click Save and Close after done.
- Enter the Total Quantity, Amount, and Rate for the product or service you want to provide.
- When you’ve got everything you need in your estimate click save and send to email it to your prospect.
- Set Custom form style Estimates. Go to the gear menu option and beneath the setting, choose Custom Form Style.
Create An Estimate Method: CRM
- Go to Customer > Estimates
- Choose a suitable customer from the Customers: Job drop-down menu.
- Now Choose the date for this estimate from the drop-down list of Date.
- Choose the items (In the Line Item grid) you plan to include this estimate by using the Item drop-down menu. Now click New Line Item to produce further lines.
- Click update.
- Click Save.
Steps To Convert an Estimate into an invoice
Converting an estimate into an invoice in QuickBooks is so simple. Just follow the given steps and get an invoice.
Turn On Preference to Convert Estimates
- Click the Gear icon > Company Setting
- Select Advanced
- Now, Click on the Automation section
- Make sure that the Copy estimates to invoices option is checked.
- Choose Either: Copy pending and accepted to estimates or Copy accepted estimates only from the drop-down list.
- Click Save.
Convert an estimate into an invoice
- Click Transactions > Sales or Sales/Invoicing
- Click Estimate/Quote
- Change the status of the customer’s name to Accepted. Just click Save or Save and Send to change the status.
- Next, fill all details in the invoice and click Save or Save and Send.
Watch this QuickBooks tutorial which shows how to prepare an estimate for a customer.
Now you can easily create and manage estimates in QuickBooks Online. Although it is not that complex procedure, sometimes the user might encounter the unexpected QuickBooks Error. You can have assistance from the Intuit certified QuickBooks ProAdvisor who can instantly solve these kinds of issues. To know more about the accounting services we provide call us at our 24/7 toll-free support number +1-855-441-4417.