Cost of Goods Sold, New Financial Year

Good morning, @Gryffin. 

You can edit each item individually or export them to an Excel worksheet, update the costs, then import them. I've included some steps to help you with both processes below. 

To edit each item: 

1. Go to the Sales menu, then select Products and Services.
2. Look for the first item to edit the cost and click Edit.
3. Scroll down to the page until you see the Cost field.
4. Update the cost.
5. Click Save and close.

To export: 

1. Select the Settings icon from the tool bar.
2. Under Tools, choose Export Data.
3. On the Reports tab, set the date range.
4. Add or remove items from the Reports and Lists tabs by toggling the slider.
5. Click on Export to Excel.

When importing them back to QuickBooks, you'll get a check box asking if you want to overwrite the values of the products and services with the same name.

In case you need the steps to import, here's how:

1. Sign in to QuickBooks Online.
2. Click the Gear icon, then select Import Data.
3. Select Products and Services.
4. Upload your file.
5. Follow the instructions until you are finished.

Check out the help articles I've included below for additional information about updating the costs of products and services in QuickBooks Online. 

• Set up and track your inventory in QuickBooks Online
• Export lists from QuickBooks Online

Let me know if you have any questions or concerns. Take care, Clayton!

Hi and appreciate your quick and detailed response.  Some additional questions please:

When exactly (timing/date) should we change the Cost of Goods for the affected items we need to increase the cost price?  We assume after December 31, but before we invoice this item for first time in 2023?

When we purchase this product again in the future, will the cost default back to the purchase order price.  Please note these items are purchased FOB China and the PO only reflects the product purchase price.  We need to adjust the price in 2023 to reflect he cost for sea freight duties, etc.

Please advise at your earlier convenience.

Regards,

Gryffin

Hello there, Gryffin.

I understand how vital it is for your business to change the Cost of Goods Sold (COGS) and the cost price of your items on time. This will allow you to begin the year with a clean slate and ensure that your inventory records are in order.

Based on the details shared, we recommend contacting your accountant for more information on the best time or date to change the COGS. They can discuss when to update the information and advise you on how to handle your purchased items (FOB in China), as purchase order only reflects the product purchase price.

For additional resource, you can read this article for more information on how to calculate and record COGS: What is the cost of goods sold?

I've included some articles that will help you troubleshoot inventory issues and correct an item's quantity without recording a purchase or sale to match what you actually have in stock:

• Adjust inventory quantity on hand
• Fix negative inventory issues

If you have any questions or need clarification on adjusting your inventory and non-inventory items, leave a comment below and tag my name. I'd be delighted to respond to them. I wish you continued success with your business, Gryffin.