I am struggling to set-up QBO for a Property Management company. They currently have 20 properties that are a mix of Airbnb's and longer term rentals. I am considering upgrading our plan to include the classes so we can avoid having two separate accounts for the management income and the rental properties themselves. Would each property be it's own class or could I group the classes to include multiple properties that are the same lease terms? For example, all Airbnbs in their own class, flex rentals in their own, and traditional in their own. And the final class would include all income for the management fees.
Honestly, any help would be appreciated as I am completely lost!
You’re right. You’ll need to upgrade your subscription plan so you can utilize the Class feature and make your sales and expenses more organized.
QuickBooks Online has the ability to generate a report like Profit and Loss by class, so you don’t need to group them. All you have to do is to set up each class properly. Before that, make sure to turn the feature on. I’ll show you how:
Select the Gear icon, then Account and Settings.
Go to the Advanced tab, then select the Categories section to edit.
Check Track classes.
Mark Warn me when a transaction isn't assigned a class. This is optional, but it's good to turn on, so when you look at reports, you know everything got classified.
Under Assign classes, select One to entire transaction or One to each row in transaction.
Press Save, then Done.
These resources have information about class tracking. It has everything you need to know so you can start tracking your income, expenses, or profitability by business segment: