Setting Up Accounts in QuickBooks

When entering expenses, you nearly always use Accounts in QuickBooks. Just as with items, you must set up one account or subaccount for each production-type activity in Chronicle that could have expenses.

For example, if you have a Painting activity in Chronicle, you’ll want to set up one or more accounts or subaccounts for painting expenses, for example, painting subcontracting expenses and painting materials expenses. The names of the accounts don’t have to be the same as the Chronicle activities (but they can be.)

To add these accounts:

1. Before making any changes to your chart of accounts, check with your accountant to get any guidance on how to make the changes appropriately.
2. In QuickBooks, click the Lists menu, and then pick Chart of Accounts.
   
   
3. Press Ctrl-N to add an account.
   You can also click the Accounts button at the bottom of the screen and then click New. This brings up the New Account screen.
   
   
4. Indicate the type of account (generally Expense), and account number if desired, and a name. Be sure to check Subaccount of and then pick the appropriate account.
   Generally your new account will be a subaccount of either Job Expenses:Materials or Job Expenses:Subcontracting. (Your names for these accounts may be different.)

Repeat this for every activity that could have associated expenses. You can skip an activities that you are certain will never have any associated expenses.