In my invoice, how do I enter labor vs. material so that my profit and loss is accurate?

Hello,

Yes, you need to have the Accounts set up in the Chart Of Accounts.  This includes the Bank Accounts, Fixed Asset (what you own), Liabilities and Credit Card (how much you owe), Income (how much you earned), Cost Of Goods Sold (Items purchased for jobs) and Expnese (what you purchased for your business) Accounts.

Then, you go to the Items List and set up Items.  The Items are what you select  in Create An Invoice and Enter Sales Receipts.  The Items are mapped to Accounts in the Chart Of Accounts, such as Income and Cost Of Goods Sold. 

To get accurate information on the Profit & Loss, you need to have Items mapped correctly so the information shows in the Accounts.

Laura Kaniuk - LJK Bookkeeping Services