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Level 2

Recording Sales as a Contractor for a Trucking Company

Hello!

 

We are new to QBO and looking for some answers. 

 

We are a trucking company that contracts through another company (Lets call them XYZ Logistics).

XYZ Logistics charges us a 30% dispatching fee and insurance each week. These two expenses are taken out before we are paid. A typical weeks worth of work would look like this:

 

 Revenue of Truck     3,985.00
 Dispatching Fee    (1,195.50)
 Insurance       (175.00)
 Net      2614.50 

 

What we need help with is how to properly record this in QBO. We initially just recorded the net payment as sales, but that doesn't feel right since we actually earned $3,985.  I then had the idea to create an invoice for the $3,985 but then once I match the direct deposit payment of $2,614.50 it still leaves an unpaid balance (dispatching fee and insurance). How do I account for those two items if I am using an invoice to properly track the sales? Thanks in advance for any help. 

Solved
Best answer November 11, 2020

Best Answers
Level 15

Recording Sales as a Contractor for a Trucking Company

Create a service item for each service, enter -1 in the rate, and set the tax status as well as linking them to the expense account they should post to

use your income item for the full amount on the invoice

second and third lines use the two service items and enter in the amounts withheld as the qty

View solution in original post

2 Comments
Level 15

Recording Sales as a Contractor for a Trucking Company

Create a service item for each service, enter -1 in the rate, and set the tax status as well as linking them to the expense account they should post to

use your income item for the full amount on the invoice

second and third lines use the two service items and enter in the amounts withheld as the qty

View solution in original post

Level 2

Recording Sales as a Contractor for a Trucking Company

Thank you very much. That worked like a charm! 

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