Quickbooks Subscription payments

Two ways. When you enter a Bill from Intuit to be paid break it down by subscription and using billable expenses, record each monthly charge as billable to each client . Create client invoices and select the billable charges for each. In this process you can mark it up for whatever you want to charge, less than retail. You have to set up your expense as a two sided service item so that when you pay Intuit it is below thd line expense and when it is billed and paid by client it is above the line income.

Or you just record your expense to Intuit and separately bill clients for an income stream

Hi there, @AngelBK.

Thank you for raising your concern about QuickBooks subscription fees. I'm here to guide you on how to record these transactions in QuickBooks Online (QBO).

To get started, you can enter an expense transaction for the subscription payment. Then, make the amounts billable to your clients.

Here's how:

1. Open your QuickBooks Online account, then click on Expense from the (+) New icon.
2. Choose the payee's name, bank account, then set the payment date.
3. Enter the expense accounts under the Category details. 
4. Add the amount, then mark the box under the Billable column.
5. Select the customer's name under the Customer/Project column.

To bill your clients for their QuickBooks subscriptions, follow these steps:

1. Go to the Gear icon, then select Invoice under Customers.
2. Select the client's name under Customer.
3. Locate the billable expense on the Add to Invoice section, then tap on Add.
4. Review the details, then save the transaction.
5. Repeat the steps for the rest of the clients.

For additional tips about recording billable expenses in QBO, you can open this article: Enter billable expenses.

I also recommend checking out these links to learn more about managing a wholesale billing plan:

• Everything you need to know about wholesale billing
• Manage your wholesale billing plan and wholesale billing clients
• Transfer clients to your wholesale billing plan

If you have other questions, please feel free to click the Reply button and add a comment below. I'll be right here to provide additional assistance. Wishing you and your business all the best!

You are so helpful.  When I set up one of the quickbooks online subscriptions in my products area is this how it should look? (see attached)

Yes, @AngelBK.

QuickBooks Online makes it easy to help you track how much you make and spend on each product or service. For a more detailed guide in adding services and products to your account, see our add product and service items page. 

Then, QBO also has the reports you need to view your sales and inventory status. Let me guide you through the process.

1. Go to the Reports menu.
2. Scroll down to the Sales and customers section and run reports like Sales by Product/Service Summary (total sales for each product), Sales by Product/Service Detail (sale transactions by product), Inventory Valuation Summary (items  quantity on hand, value, and average cost ), Inventory Valuation Detail (transactions for each inventory item), Physical Inventory Worksheet (inventory items with space to enter your physical count). 
3. If you want to see those items that are still on order, just go to the Expenses and vendors group and choose Open Purchase Order Detail report. 
4. Once opened, you can also customize the report to get the info you needed most. 

Feel free to get back here if you have further concerns about setting up product and service items in QBO. I'll be around to help you in any way I can. Have a good one. 

I wanted to find out if the attach file shows the correct format on how to enter in the products area the subscriptions that I bill my clients. I don't want to make any money with my subscriptions, it is a service that I provide for my clients.  Please let me know if this is correct?

You’re on the right track, @AngelBK.

When you’re ready to invoice your clients, the service item you’ve created will be included in the list of the Product/Service column.

To learn more about adding service items in QuickBooks Online, check out this article for additional details: Add product and service items to QuickBooks Online.

In case you need to change your product and service items, you can refer to this article that can walk you through the process: Change product and service item types in QuickBooks Online.

If you have any further concerns with QBO, you can always tag me in your reply. It’s my pleasure to help you. Keep safe.

One other question I had was do I need to charge sales tax to my customer when I bill them for the subscription?  

Glad to have you here, @shawnandcharlie.

Yes, you can charge sales tax to your customer when you bill them for the subscription. But it still depends if the client is subject to sales tax.

To verify, I suggest reaching out to your accountant for additional info regarding this matter. This is to ensure that you charge sales tax to the customer correctly and accordingly.

To set up your sales tax in QBO, here's what you need to do:

1. Proceed to Taxes and choose Sales tax (Take me there).
2. In the Related Tasks list on the right, select Add/edit tax rates and agencies.
3. Click New and choose either a single or a combined tax rate.
4. Enter a name for the tax, the agency you pay, and the percentage for the rate. Use a single rate if you pay just one rate to a single agency.
5. Lastly, select Save.

For further details, please check out this article: Set up your sales tax in QuickBooks Online. It also includes steps on how to edit and deactivate your sales tax rate and settings.

In addition to that, let me attach this link if you want to automatically do the sales tax calculations for you on your invoices and receipts for easy and accurate filings: Set up and use automated sales tax.

Don't hesitate to tag my name if you have other concerns with recording payments for your customer in QuickBooks. I'll be around to help. Keep safe!