QuickBooks Online makes your business needs and accounting structured by linking various transactions within. Using QuickBooks, you can add a Purchase Order to a bill, an expense, a cheque, etc.
When a supplier accepts a purchase order / PO and provides the product or service that has been ordered, you need to record this as an expense or a cash transaction to ensure you have an accurate presentation in your company.
When a PO is added to a supplier’s transaction, the purchase orders are automatically closed so they won’t appear again.
Here are the steps to add a purchase order to a bill/expense/cheque:
- Select + New from left navigation frame of QuickBooks online, once you log in.
- Select Expense or You can also select Cheque or Pay bills.
- From the Payee drop-down menu, select the appropriate supplier.
- Select Add On the corresponding purchase order. The items from the purchase order are then added on the first available line under the Item details section. (check the below screenshots). If you click ‘Add all’, then all the POs (upcoming ones or recurring ones) from that supplier will be added to this expense.
- Product, category details will be auto-populated from the selected PO if you have added this earlier while creating the PO. Else enter those details. (see below screenshots)
Also mention the item details, other information, add attachments if needed. Should there is a need, ‘add lines’ for the addition of
- products/categories? Use ‘clear lines’ when there are blank lines that are no longer needed.
- Select ‘Payment Account’ – it is the account through which you generally pay the expense. Enter details e.g. Detail Type, Description, Tax Code, Name, etc. Click Save and Close.
Select payment method as cheque/cash etc.
- Select Save and close. A message appears: “Expense 3002 successfully saved”.