QuickBooks POS: Track Charitable Donations — Giving Products to Charity

So today we’re going to talk about how to track charitable giving. That means giving out products from your store to charitable organizations, this will be like a donation of goods or services. We’re going to walkthrough on how to track these donations in QuickBooks Point of Sale and in QuickBooks Accounting. Here’s how:

1. First let’s head to “Make a Sale” on the home screen of QuickBooks Point of Sale.

1. Then click on “Add New Customer” under the drop down list on the upper right side of the Make a Sale screen. Add the Charitable Organization or Group that you want to donate to. Make sure to check “Track as Company” and “Tax Exempt”. Also uncheck the “Rewards Member” since this account record is going to be a charitable group. Then click “Save”.

1. You can now add items that you want to donate. Make sure to set it to the cost of the product and not the market price of the product when you’re selling it.

1. After adding the items, you can now check out the items by charging it to an account. The account is under the charitable organization that we created. Then click on “Save and Print” or “Save Only”.

1. You can now go to “Financial” menu → then click on “Update QuickBooks Desktop”.

1. Once QuickBooks Point of Sale has been updated to QuickBooks Accounting. Head to QuickBooks Accounting.

1. On QuickBooks Accounting, go to Customers area. Then quickly search for the charitable group that you created on QuickBooks Point of Sale.

1. Now that the charitable group that we created appeared in QuickBooks Accounting, we are now going to set up on how to track this. By going to “Lists” menu and click “Chart of Accounts”.

1. Check if you have a charitable account or create an expense account. For this guide we have a charitable account created already.

1. Now that we have an account created, let’s proceed in making an item that we can channel the money needed to compensate the total amount of the items we donated. By going to “Lists” menu then “Item List”.

1. On the Item List Window, create a new item by clicking on “Item” on the lower left side of the window. Then select “New”.

1. Select “Non-Inventory Part” for the type of item that we’re going to create. Check on the checkbox below and input the necessary information for the item. Make sure to set the “Tax Code” to Non-Tax since it is a donation. Then click “Save”.

1. Now that we have the created item, head back to the account that we created for the charitable group. Add the item that we created and set the price the same as the total amount of cost that we are going to donate.

1. Once that is done, you can now track items that have been added to the account.

Original Article: https://blackrockbusiness.com/quickbooks-pos-track-charitable-donations-giving-products-to-charity/?feed_id=104&_unique_id=60a91071b446b