QBO handling of invoicing and tracking support contracts with minimums

Posting a comment to follow.   The new invoice format made it so you can no longer hide time, I'm really struggling to do billing at all because of this.  Following for an update from customer service or other users on how to group time or hide time.... 

Thanks for bringing this up to the Community space, @bdesilva4 and @SpsSD. Let me share some information about your concerns with managing your invoices and tracking billable time.

In QuickBooks Online, you can customize and change what you see in your timesheets. Since you don't want to see the item details, you can start by turning it off in the settings. You can follow the steps below for your reference:

1. Go to the Gear icon, then select Account and Settings.
2. Under the Time tab, click on the Pencil icon in the Timesheet section.
3. Turn off the Show service field.
4. Click Save, then Done.

After setting this up, you can create an invoice for these billable time entries. Here's how:

1. Click on the +New button, then select Invoice.
2. Select the Customer and other necessary fields.
3. An Add to Invoice tab will show on the right side of your screen, add all the billable time entries manually or click the Don't group time, then select Group time by service to sum up all entries in one product/service.
4. Click Add, then select Save and Send or Save and Close.

On the other hand, if you're in the new invoice layout, you can still edit your template to collapse all the similar entries into one. With this, you can still see all individual billable time entries on your end. However, once you send or print this, the line items will only show the collapsed version of the entries.

Here's a guide to customize the invoice template:

1. Go to the Gear icon, then select Custom form styles.
2. Select the Standard, then click on the Content tab.
3. Click the Item Details section of the invoice.
4. Select Show more activity options.
5. Under the Hide activity option, select Collapse activity rows.
6. Click Done.

Once done, you can now create an invoice, set the design to Standard, and manually add all the billable time.

Additionally, you can record the payment once your customer pays the invoice you sent. 

You can also run a Transaction List by Customer report to view the list of billable expenses of a specific customer.

Keep me posted if you need further assistance managing your invoices and billable time entries in QuickBooks. I'm always available and ready to help. Have a wonderful day!

If I'm reading your response accurately, I think you missed the point. I have no interest in hiding the item details. They HAVE to be on there for both billable and non-billable time.

Hi Julia, 

If I'm understanding your response accurately, I think you might have misunderstood my post. The item details must be on the invoice for both billable and non-billable.

I can't seem to reply to the QBO support response. I don't think they understand the question. I don't think anyone is asking about not showing the item details here. They have to be shown for this use case billable or non-billable.

I appreciate you getting back to the thread, @bdesilva4.

I'll ensure to provide information in handling support contracts with minimum charges in QuickBooks Online (QBO) and QuickBooks Time (QB Time).

In QBO and QB Time, you can handle support contracts with minimum charges by using a combination of invoicing and time-tracking features. Here's how you can account for this scenario in the software:

In QBO, if the hours worked are within the 60-hour limit, you can create the next invoice for the same $9000 without any additional charges. 

However, if the hours worked exceed the 60-hour limit, manually create an invoice again that includes the $9000 minimum charge and an additional charge for the overage hours. You can manually calculate the overage hours and include them as line items on the invoice, showing the details of the work performed. Refer to this article for the steps in creating an invoice: Create invoices in QuickBooks Online.

Once you get paid with your invoice, you can check this link for future reference in handling the payments: Record invoice payments in QuickBooks Online.

Tag me in the comment below if you have follow-up questions. I'm always here to help you.

Hi @GebelAlainaM It would be really helpful if you'd read the original question and if something isn't totally clear please ask. The last person didn't read it either! 

For example you say, "In QBO, if the hours worked are within the 60-hour limit, you can create the next invoice for the same $9000 without any additional charges. 

I asked what about the underage of hours. On the invoice, we'll have the 9k charge for the next month, and we'll have the items with time for the current month to draw down the base charge. There will be some leftover in that account. How does that get cleared?

Hello there, bdesilva4. I appreciate the detailed information you've provided. I'm here to help you clear out the underage hours.

To resolve this, you'll need to create credit memo for the underage hours to offset the time amount that wasn't consumed.

Here's how:

1. Hover to +New, then select Credit memo.
2. Complete all the necessary details.
3. From the customer dropdown, choose your customer.
4. Enter the undertime amount to the Amount field. 
5. Hit Save and close.

Furthermore, if you've received a payment from your customer, you can record it in QuickBooks to mark the invoices as paid. 

I'm still here to back you up if you need further clarification managing your invoices. Feel free to hit the reply button below to enter your response. Best wishes!

Hi @ShyMae,

Sorry but that doesn't solve it. Why would we send a credit memo? There is no credit for them.

We are committed to finding a solution that works for you, @bdesilva4. 

I can see that you have a complex billing scenario that may require the expertise of an accountant to ensure proper handling of your accounting software. I would recommend reaching out to an accountant who is well-equipped to help you account for the underage time. They can provide tailored advice and guidance to ensure accurate and compliant accounting practices for your support agreements.

If you're not affiliated with one, you can visit this link: Find an Accountant. 

I'm adding these articles to learn more about handling invoice payments:   

• Record invoice payments in QuickBooks Online.  
• Void or refund customer payments in QuickBooks Online
   

Know that you’re always welcome to post a reply in this thread if you have any follow-up questions about managing invoices in QuickBooks. The Community team is here to help and back you up.