Set up and use class tracking in QuickBooks Desktop

Class tracking helps you track account balances for specific parts of your business, like departments, locations, or properties. This feature helps you create detailed reports for different parts of your business.

For example, a restaurant with multiple locations could use classes like Uptown, Midtown, and Downtown to track balances by location. A farm could create classes for each enterprise, like corn, hogs, and soybeans.

Step 1: Turn on class tracking

Before setting up and using classes, you need to enable the feature in your preferences.

Windows

1. Open your company file.
2. Go to the Edit menu, then select Preferences.
3. Select Accounting, then go to the Company Preferences tab.
4. Select the Use class tracking for transactions checkbox.
5. (Optional) Select the Prompt to assign classes checkbox if you want QuickBooks to remind you to assign a class to transactions.
6. Select OK.

Mac

1. Go to the QuickBooks menu, then select Preferences.
2. In the Workflow section, select Transactions.
3. Select the Use class tracking checkbox.
4. Close the Transactions window to save the changes.

Step 2: Set up class categories for expenses and accounts

Once class tracking is turned on, create the classes you need for reporting.

Windows

1. Go to the Lists menu, then select Class List.
2. From the Class ▼ dropdown menu, select New.
3. Enter the class name.
4. (Optional) To create a sub-class, select the Subclass of checkbox and choose the parent class it belongs under.
5. Select OK to add the class.

Mac

1. Go to the Lists menu, then select Classes.
2. Select the plus + icon to create a new class.
3. Enter your preferred class name.
4. (Optional) To create a sub-class, select the checkbox and choose the class it's under.
5. Select OK to add the class.

Use class tracking in transactions

After setting up your classes, you can assign them to various transactions. Assigning classes lets you generate reports that compare balances across different segments of your business.

You can assign classes to transactions such as:

• Invoices 
• Sales receipts 
• Estimates 
• Sales orders 
• Statement Charges 
• Refunds and credits 
• Checks 
• Credit card charges 
• Bills 
• Purchase orders 
• Paychecks

To learn how to analyze your data by class, see how to filter, sort, or total reports by class.

Sample classes by industry

The following table provides examples of how different industries might use classes: