how to reflect a discount on an Estimate

FireworksFX · ‎March 11, 2020

When we create Estimates it contains several line items for expenses and then the items being sold. At the bottom of the Estimate we have SUBTOTAL which we assume is our expense items and the cost of the inventory items, then there is MARKUP which is our gross profit on the items being sold.

When we add a discount it reduces the SUBTOTAL which is our cost, what we need is it to reduce our MARKUP so that we know exactly what our margin is on the job after the discount.

Is there a way to do this?

Any suggestions or advice will be greatly appreciated.

Fred

ReyJohn_D · ‎March 11, 2020

Welcome to Intuit QuickBooks Community, @FireworksFX!

A discount is a reduction from an item’s cost. This doesn’t directly affect the markup price on estimates. Its purpose is to reduce the total amount on the transaction.

Here’s an additional reference on how to manage estimates in Quickbooks Desktop: Create an estimate.

If you still have questions in mind, please feel free to message us back here by leaving a comment below. I hope you have a nice day ahead!

FireworksFX · ‎March 12, 2020

Thank you

tyeany1 · ‎March 30, 2020

did you ever figure this out? i am having the same problem. cant quite get them to understand my issue. I thought maybe you had a work around

JasroV · ‎March 30, 2020

Hi there, @tyeany1.

You'll want to enter the discounted amount in the Total column when adding a discount in an estimate. Doing this will reduce the markup amount. I've added a screenshot below for visual reference.

You can also check the article provided by my colleague ReyJohn_D to learn more about creating an estimate in your QuickBooks Desktop (QBDT).

You might also want to check this great article that can guide you through the detailed steps on how to remove a credit from an invoice: Remove or unapply a credit from an invoice or bill.

Should you have any other concerns or questions in the future, know that our door is always open to help you. Take care and stay safe.

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how to reflect a discount on an Estimate