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How do i invoice labour so that the costs appear in the profitability report. When i invoice customers, there are labour ours that we bill a customer. Now these labour hours also have other production overheads that i would want to reflect as my costs because i have put an overhead absorption rate as the cost of labour. When we charge a customer, we put a markup on the labour costs to make a profit as my installation charge. now the double entry that i expect to see is:-
DR Installation labour and Overheads expense account
CR Sales
This is not the case because nothing is posting to the cost account hence my Job profitability will be wrong.
Regards
Pardon
as a ffollow up to my question. i have put the screenshots of my system
Hi there, @PARDONMUSHAMBI. I'd be glad to take care of your concern so you can to get through this and be able to include the hours in your profitability report in QuickBooks Desktop (QBDT).
You'll want create a bill and then apply it to an invoice to show the number of hours in your profitability detail report. Here's how:
You'll then create an invoice to apply the bill that you've created. For further guidelines, refer to this article: Create an invoice in QuickBooks Desktop.
Once done, you'll want to review your profitability report to see the changes. You can also consider reaching out to your accountant. This way, they can give you advise on what's the best possible way to handle it.
In addition, I've got you this article in case you'd like set up time tracking: Set up time tracking.
Feel free to post here again if you need further assistance with this. Our door is open 24/7 and we'd also love to have you here again. Thanks for choosing QuickBooks. Take care!
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