adding shipping cost as expenses/items in a bill

rastysaeed · ‎April 02, 2021

Hello Dears
I have a bill, containing 2 different items
also, it has shipping cost/ items

for example
Item#1 buying cost= 10$ . shipping cost= 2$
Items#2 buying cost= 15$ . shipping cost= 1$
So, Item#1 total cost for me= 12$. and Item#2 total cost= 16$

Now, the bill for the vendor should tell me the amount due= 10+15=25$
and it should show in the inventory list, cost of items #1 as 12, and Item#2 as 16

How can I do it in QuickBooks Desktop,

regards

Adrian_A · ‎April 03, 2021

You have me to help you record this bill, rastysaeed.

First, we'll have to add the inventory items and then enter $12 as the Cost for the first item and $16 for the second one. As for the shipping fee, we'll have to add it as a service item and enter it as a negative amount. Let me guide you how:

From the Lists menu, select Item List.
Select New on the Item drop-down.
Select its TYPE.
In the Cost field, enter $12.
Select an Income Account.
Click OK.

Second, repeat steps number 1 and 2 for the second item. For the third step, enter $16 as the Cost amount. Select an Income Account and click OK.

Then, you're good to add the shipping fee items. Here's how:

Select Item List from the Lists menu.
Select New on the Item drop-down.
On the TYPE field, select Service.
You can enter Shipping Fee as the Item Name/Number.
Enter -1 as the Rate.
Select an Account.
Click OK.

Repeat steps number 1 to 4. For the step 5, enter -2 as the Rate of the second shipping fee item. Then, select an Account.

Afterward, you're good to create a Bill. Here's how:

From the Vendors menu, select Enter Bills.
Select a VENDOR.
Go to the Items field.
Select the item 1.
Select the shipping fee with the $-2 amount.
Select item 2.
Enter the shipping fee item with $-1 amount.
Click Save & Close.

Also, I'd recommend reaching out to your accountant so you'll be guided on the correct account to use.

I've also added this reference on how we can pay bills: Pay bills in QuickBooks Desktop.

There you have it. I'm just around if there's anything that I can help. Keep safe!

View solution in original post

Rajanikanth · ‎April 03, 2021

Hi, rastysaeed

If you are using QuickBooks Desktop Premier or Enterprise versions follow the below steps

01.Create bills for items at cost price e.g. Item A - 10$ 500 units and B - 15$ 250 units

02.Create bills for shipping costs e.g 2$ + 1$ = 3$ ( Create items with proper Unit of Measure e.g Km/Kg etc )

03.Create the items for the final cost assemblies e.g. Items AA and BB

04.Move to Build assemblies select Item AA as Assembly Item and Assemble the cost to AA

for e.g. select Item A and shipping costs > Quantity to Build enter 500 units > Hit Build and Close.

05. Now you can check the Inventory valuation summary Item A - 0 units and B - 0 units, Items AA - 500 units with cost per unit 12$ and BB 250 units with cost per unit 16$.

Feel free to contact me for any clarifications.

View solution in original post

JenoP · ‎April 03, 2021

Hi there, SriniHN.

For now, there's no option to automatically calculate the shipping charges if each line or item has it's own cost. You can either follow the workarounds given in the previous reply or use a thrid-party app that offers this type of service.

You can go to this link where you can see all accredited third-party apps: https://desktop.apps.com/home.

The Community is always here if you need anything else.

View solution in original post

Adrian_A · ‎April 03, 2021

You have me to help you record this bill, rastysaeed.

First, we'll have to add the inventory items and then enter $12 as the Cost for the first item and $16 for the second one. As for the shipping fee, we'll have to add it as a service item and enter it as a negative amount. Let me guide you how:

From the Lists menu, select Item List.
Select New on the Item drop-down.
Select its TYPE.
In the Cost field, enter $12.
Select an Income Account.
Click OK.

Second, repeat steps number 1 and 2 for the second item. For the third step, enter $16 as the Cost amount. Select an Income Account and click OK.

Then, you're good to add the shipping fee items. Here's how:

Select Item List from the Lists menu.
Select New on the Item drop-down.
On the TYPE field, select Service.
You can enter Shipping Fee as the Item Name/Number.
Enter -1 as the Rate.
Select an Account.
Click OK.

Repeat steps number 1 to 4. For the step 5, enter -2 as the Rate of the second shipping fee item. Then, select an Account.

Afterward, you're good to create a Bill. Here's how:

From the Vendors menu, select Enter Bills.
Select a VENDOR.
Go to the Items field.
Select the item 1.
Select the shipping fee with the $-2 amount.
Select item 2.
Enter the shipping fee item with $-1 amount.
Click Save & Close.

Also, I'd recommend reaching out to your accountant so you'll be guided on the correct account to use.

I've also added this reference on how we can pay bills: Pay bills in QuickBooks Desktop.

There you have it. I'm just around if there's anything that I can help. Keep safe!

Rajanikanth · ‎April 03, 2021

Hi, rastysaeed

If you are using QuickBooks Desktop Premier or Enterprise versions follow the below steps

01.Create bills for items at cost price e.g. Item A - 10$ 500 units and B - 15$ 250 units

02.Create bills for shipping costs e.g 2$ + 1$ = 3$ ( Create items with proper Unit of Measure e.g Km/Kg etc )

03.Create the items for the final cost assemblies e.g. Items AA and BB

04.Move to Build assemblies select Item AA as Assembly Item and Assemble the cost to AA

for e.g. select Item A and shipping costs > Quantity to Build enter 500 units > Hit Build and Close.

05. Now you can check the Inventory valuation summary Item A - 0 units and B - 0 units, Items AA - 500 units with cost per unit 12$ and BB 250 units with cost per unit 16$.

Feel free to contact me for any clarifications.

SriniHN · ‎April 03, 2021

I am also in similar situation what rastysaeed has mentioned.

We got multiple shipments(vendor a, vendor b, vendor c) in one truck. Trucker gives one invoice for his charges and we get vendor invoices all three(a, b, c).

Each invoice has atleast 50 different line items.

By following your method it will take quite a lot of time to calculate each and individual final cost(cost+trucking charge). Don't we have a functionality in QB it can auto calculate by assigning a trucking charges to all those invoices so that QB can calculate final cost price?

Otherwise what is the best way to enter with less manual work?

JenoP · ‎April 03, 2021

Hi there, SriniHN.

For now, there's no option to automatically calculate the shipping charges if each line or item has it's own cost. You can either follow the workarounds given in the previous reply or use a thrid-party app that offers this type of service.

You can go to this link where you can see all accredited third-party apps: https://desktop.apps.com/home.

The Community is always here if you need anything else.

3TProducts · ‎May 23, 2024

Is there a third party app that will split additional costs (shipping, custom fees) proportionally across all items on the bill

Maybelle_S · ‎May 23, 2024

Hello there, 3TProducts.

I see the importance of splitting additional costs like shipping and customs fees, especially when managing them within QuickBooks Desktop (QBDT).

QBDT doesn't have a built-in feature to split these additional costs proportionally across all items on a bill. However, you can manually allocate the costs to each item by adjusting their unit costs to include a share of shipping and customs fees. Though time-consuming, this method ensures accurate distribution of extra costs.

We understand your interest in finding a third-party app to help manage the splitting of additional costs. While we can't suggest specific apps, we encourage you to explore options by comparing the features and reading reviews from other users. You can find one that best suits your needs and preferences on this website: QuickBooks App Store.

Additionally, you might find this article helpful to get additional insights and information about customizing transactions: Use and customize form templates.

Feel free to comment below if you have questions about managing transactions in QuickBooks and integrating third-party apps with QuickBooks. I'm always here to help. Take care.

3TProducts · ‎May 24, 2024

This was a nice feature on Point of Sale and would be a great improvement to QB. I had no luck finding a third party app to accomplish this task. Is there another place that I can search for an app?

SheandL · ‎May 24, 2024

I got you, @3TProducts.

Although I can't suggest a particular platform for finding an app that meets your needs, I recommend exploring various online websites to look for one. However, please ensure to inquire with the third-party company and confirm if it can be integrated with QuickBooks Desktop (QBDT). This way, you rest assured that you won't encounter any difficulties while working on it.

Importantly, it's still best to use our app store to locate an app for this. We assure you that there are programs on this website that will meet your preferences. Also, you won't have to worry about the integration process, as the applications in the store will work since they are programmed to be compatible with your company file.

You can read this article to learn more about recording your business expenses and payables in your QBDT: Pay bills in QuickBooks Desktop.

I'll be around if you have other concerns about finding software that will help you manage your business in QBDT. Be sure to tag me or reply to this post if you have one.

Topics

Training

Community

Resources

adding shipping cost as expenses/items in a bill