FrontAccounting forum — Trouble understanding entering bills/non-inventory items

Re: Trouble understanding entering bills/non-inventory items

null@example.com (apmuthu) — Mon, 31 Dec 2012 09:10:38 +0000

This might be possible natively in FA if the portion of the invoice that needs to go into an expense account be done using a secondary "Tax" for it and/or a quick entry be made for it.

Re: Trouble understanding entering bills/non-inventory items

null@example.com (joe) — Sun, 30 Dec 2012 20:47:10 +0000

Please consult a local accountant about this item. We do not help on accounting issues.

Joe

Re: Trouble understanding entering bills/non-inventory items

null@example.com (clreed87) — Sun, 30 Dec 2012 19:18:03 +0000

Was working some more on my setup and trying to enter some basic bills and found another question. If I'm using the expense accounts to enter my utilities, etc. Do I also need an expense tax account for purchased items? It would seem incorrect to have a portion of a supplier invoice go into an expense and another portion go into the sales tax accounts payable account.

Thanks for the help.

Re: Trouble understanding entering bills/non-inventory items

null@example.com (joe) — Fri, 21 Sep 2012 07:49:18 +0000

If you use the GL items section of the Supplier Invoice, you should enter the line(s) without tax and enter the tax on another line (use the relevant tax account). This is the reason that I recommented you to use a quick entry for this It is much more safe and easier.

/Joe

Re: Trouble understanding entering bills/non-inventory items

null@example.com (clreed87) — Thu, 20 Sep 2012 19:43:05 +0000

Awesome! I think I'm getting it now (finally). One last question. I hope. When I enter the supplier invoice do I have to deal with tax? In other words to I enter the subtotal for the invoice or the total for the invoice including tax? I know when I was trying to use the direct invoice function it calculated the tax on each item on the PO/invoice? Does that matter in the supplier invoice form?

Thanks a lot for the help!

Re: Trouble understanding entering bills/non-inventory items

null@example.com (joe) — Wed, 19 Sep 2012 06:30:28 +0000

Yes, now you got it

Joe

Re: Trouble understanding entering bills/non-inventory items

null@example.com (clreed87) — Tue, 18 Sep 2012 23:21:07 +0000

Ok. That's great!And then I just use an expense account on the supplier invoice?

Re: Trouble understanding entering bills/non-inventory items

null@example.com (joe) — Tue, 18 Sep 2012 11:37:53 +0000

No, you should use the 'Supplier Invoice' in the right side pane of the Purchase tab.

Just ignore the item section and use the GL items section. You could then create some quick entries to use for this case.

/Joe

Re: Trouble understanding entering bills/non-inventory items

null@example.com (clreed87) — Tue, 18 Sep 2012 11:30:31 +0000

Ok. Great. I'll try it this way. I'm not apposed to using the GL accounts instead of the purchasing method I'm just trying to find the right process to do these and take advantage of all the FA features.

If I was to use the GL accounts method which is the screen I would use. Do I simply enter them on the "payments" screen?

If that is the screen I should use. Do I just enter the payments directly into the correct "expense" account or should their be a second transaction somewhere to move the payment from accounts payable to expense?

Thanks again for the help!

Re: Trouble understanding entering bills/non-inventory items

null@example.com (joe) — Tue, 18 Sep 2012 06:47:25 +0000

You could also just use the GL items for doing this. And maybe create some quick entries for that.

If you insists to use the way you did, you should mark the items/producs as SERVICE. Then there are no inventory included when operating the items.

/Joe

Trouble understanding entering bills/non-inventory items

null@example.com (clreed87) — Tue, 18 Sep 2012 04:15:00 +0000

Hi,

I'm trying to learn the FA system and I'm having some trouble understanding some basic items. I'm trying to enter some expenses to get used to the system, such as bills, however I keep ended up with items in inventory that are not physical items.

For example I created a supplier for my web hosting and domain names. I created a direct invoice and paid the invoice. All my accounts adjusted correctly, however, I end up with an inventory of 1 for the hosting. I tried changing the supplier purchase account to an expense GL account, but I still ended up with items in inventory.

What is the appropriate way to purchase and pay suppliers that provide items that are not part of COGS?

Another example would be software that is purchased and expensed but is not truly part of COGS because it will not be re-sold to the customer.

Thanks for the help. FA seems like a great tool, and I'm excited about learning more about how to use it.