How to Enter Physical Inventory in QuickBooks pro in 2017 and beyond.

How to Enter Physical Inventory in QuickBooks?

QuickBooks enables users to easily maintain their inventory. Users also can manage to manufacture by using the tools provided for inventory management. Further, these tools can enable Electronic Data Interchange (EDI in short) throughout your organization. In lieu of this, Intuit has also updated QuickBooks with smart search, a tool that analyzes user preferences and searches patterns to increase proficiency.

Are you a Quickbooks user?

Manufacturers and retailers often rely on expensive software’s that do not deliver according to their expectations. QuickBooks, on the other hand, can take care of both, accounting and inventory management. It’s like shooting two ducks with one bullet. Further, users can purchase inventory directly through QuickBooks. Through QB, you can create a list of items and send them to the vendor. Upon receiving these items you can initiate the payment directly from QuickBooks. Further, these bills are saved and can be used for creating reports.

Note: Users would require an active subscription of QuickBooks POS for entering physical inventory in QB.

Enter Physical Inventory:

To enter physical inventory in QuickBooks, follow the steps given below:

  1. Open inventory menu
  2. Select Start Physical Inventory
  3. Use the barcode scanner provided with your QuickBooks POS system to scan all the inventory items. By doing so, users can easily register each item into QuickBooks along with their quantity. You can also purchase this scanner separately from Intuit. Users can also enter physical inventory manually though this will be a lengthy process and can result in errors. Bar Codes store all information regarding particular items. Each item has a unique barcode which QuickBooks POS identifies in order to input all data automatically.
  4. Users who want to manually enter all the data can select ‘Add Counts by Hand’ or ‘Entering Counts Directly. ‘Now users need to upload the data collected from the bar code scanner to the POS system. For doing so, users can follow these steps:
    • Connect the Scanner through a USB cable to the main POS system
    • Switch on the scanner
    • Start POS and open Inventory menu. Select Physical Inventory
    • Click on Add Counts from Scanner. On screen instructions will appear that can be easily followed by the user
    • If you wish, you can clear the memory of scanner after all the data has been uploaded. If you do not delete data from the scanner, all of it will be recorded again during the next entry, thus leading to double entries of some transactions
  5. View the summary and analyze any inaccuracy that might have occurred while manually entering data. You can also check the item count of inventory and make changes to them.
  6. After ensuring the accuracy of data, click on save and close.

QuickBooks saves data automatically while users are entering the items along with counts. This is done to ensure that data is saved even if QB crashes. You can pause the task or even close QuickBooks and edit the physical inventory after a while. QB POS informs users about similar transactions or double entry of items. Clear Counts and Restart can be used for clearing the item count record. Users can initiate counting as soon as QB refreshes.

Add Counts by Hand

Users can enter counts manually by selecting this option. It is considered the most efficient way of manually entering items and counts in QuickBooks POS. Follow the steps given below to Add Counts By Hand:

  1. Open Inventory Menu
  2. Select Physical inventory
  3. Click on Add Counts by Hand
  4. Here users will be provided with two option. Upon selecting the correct option, users can proceed with the next step. The two options are as follows (cycle through the cells by pressing enter):
    • Go to Quantity Field: Every Time the user hits enter, the cursor cycles through item and counts field. It’s easy, just feed in items and hit enter, then enter counts and repeat the process.
    • Add item: Users will be shifted only through the Item Name field. All you need to do is enter the item name or number in the fields. In this case, users need to make multiple entries for each item. QuickBooks will then figure out the count of each item automatically.
  5. Start entering the items and let QB do rest of the work.
  6. Hit Save and Exit.

Though this method isn’t as fast as entering Physical inventory through the bar code scanner, still it is the fastest alternative available to QB POS users. Users who have selected the ‘Add Item’ method can also change counts while entering data. The delete option is provided alongside each individual item.

Edit Counts Directly

By choosing this option, users can create the whole inventory list by manually entering both the counts and items. This isn’t a viable option for recording a large amount of data. To edit counts directly, follow the steps given below:

  1. Open Inventory Menu, a drop down list will now open. From here, select the option that says physical inventory.
  2. Enter Inventory items and counts and then use the following functionalities to group and organize items:
    • Filtering: QB POS systems allow flexibility for users to add item names and counts in multiple fields. These fields are then united with the filtering option. QB automatically organizes data according to the selected filters. There are multiple filters provided for making search easier. Further, users can also filter on the basis of the count of items. Custom filters can be created with QB POS by following the steps given below:
      • Click on Create a Custom Filter.
      • Select the values that you want to use. You can also enter custom attributes as filtering options.
      • Click on Apply and Save. Use these custom filters while organizing or grouping items in QB POS.
    • Sorting: Sorting options can be used for arranging items on the basis of filters. Users can click on arrows provided beside column fields to sort data. You can also edit the filter applied while sorting data. Data can be easily sorted on the basis of count or date added. Further, users can also display entire data by sorting it according to name, type or any other identifier. Users would be required to select particular columns before scrolling and viewing the data. Data can only be viewed for a single column at a time.
  3. Click on Save and Close.

Once the data is entered, click on preview and check for discrepancies. Manually entering data augments the chances of encountering inaccuracies.

You can easily interlink QB Desktop with QB POS. Data is automatically synced between the two. For linking both these software’s together, users need an active subscription of both. Once the software’s are connected, data is synced in real time. Connectivity issues do not have any impact on the functionality of either software until they have been hosted on servers. In addition to this, you can use the data synced to QB Desktop for creating multiple reports and analyzing physical inventory.

An electronic data interchange can be created across the whole organization. For doing so, multiple users across departments can be given access for viewing Physical Inventory list and count. This will remove the requirement of purchasing a separate software for managing inventory.

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Users can follow the above-given guidelines to easily enter physical inventory. If you face any kind of issue implementing the same by yourself then get in touch with Quickbooks experts in Canada at ✆ +1800-865-4183 .

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