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How do I record FREE inventory?

Hi,  I carry inventory parts which I used to make Assemblies.  How do I record "Free inventory?"


someone gave me free parts which I need to add to my inventory count, but it is at ZERO cost. How do I record this in 2019 Quickbooks Enterprises Desktop. I want this to modify the inventory quantity, and well the costs of the product given to me since it is at ZERO cost.

1 Comment 1
Joesem M

How do I record FREE inventory?


Hi, Sales64.


You have to enter the bills with zero amount to record the transactions or services provided by a vendor. This will reduce the inventory and will record the COGS as an expense.


Here's how: 


  1. Click Enter Bills on the Home page.
  2. Pick the name of the Vendor.
  3. Select the appropriate tab ( Items or Expenses )
  4. Choose the expense account or the item.
  5. Enter zero amount in the cost column. 
  6. If you are tracking billable expenses, select the customer job and put a checkmark in the Billable column.
  7. Select Save & Close.

You can check this article to know the complete list of workflow and other vendor-related transactions: Accounts Payable workflows in QuickBooks Desktop.


I'm just a post away if you have any other questions, I'll be happy to help you out. Keep safe and stay healthy.




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