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How to add inventory in QuickBooks Online? ( +1.844.397.7462)

How to Add Inventory Items in QuickBooks Desktop

Inventory items are entered as an asset in QuickBooks. Once you enable the inventory management feature, you can add items to the inventory and track them. You can even set up a low stock alert to receive notifications whenever the item is running low. Moreover, the inventory items.

Step 1: Enable Inventory Management

To enable inventory tracking in your company file, follow the steps provided below:

  • Click on Edit from the main menu.
  • Select Preferences.
  • From the left panel, select Items and Inventory.
  • From the Company Preferences tab, mark the option ‘Inventory and Purchase Orders are Active.’
  • Click on Ok.

Although inventory tracking is available in all versions of QuickBooks Desktop, the Pro version cannot use the FIFO or LIFO methods to track inventory. Instead, it uses the average cost method to ascertain the value of the inventory.

Step 2: Create Item for Tracking

In QuickBooks, you must create an item before you can track it. Complex inventory management isn’t possible with QuickBooks, but if you simply purchase finished products from a vendor, then inventory management will be more than enough for you. In case you use the material for manufacturing a final product, you can enter each purchased item as a sub-part of the main item to simply inventory management.

To create a new inventory item in QuickBooks Desktop, follow the steps provided below:

  • From the dashboard, click on Items & Services.
  • Click on the Item button, and then New.
  • Click on Inventory Part.
  • Input essential details like Item Name/Number
  • Select an account to track the inventory item by clicking on Income Account.
  • Input other essential details related to the inventory item.
  • Click Ok.

The inventory item has been added to QuickBooks. Now you can track the current stock of the item and update the quantity whenever you send a purchase order to a vendor.

How to Add Non Inventory items in QuickBooks?

Inventory items are the ones you purchase from a vendor and sell to your customer. These items are usually necessary to track a business. On the other hand, non-inventory items are the ones that you either buy or sell. Most of these items don’t need tracking. Examples of these items include bolts and nuts for machinery.

In case you wish to add noninventory items in QuickBooks, then follow the steps provided below:

  • From Items & Services, select Item
  • Click on New. The New Item window will appear.
  • From the drop-down menu, select Non-Inventory Part.
  • Enter Item Name/Number.
  • Select the appropriate account you wish to use to track the inventory.
  • Enter the rest of the required information. Click Ok.

If you wish to associate checks and bills with the item, then you can convert it to an inventory item type. Most features in the inventory management tool are geared towards inventory items.

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