The Ultimate Xero Course - From Beginner To Pro

1. Welcome!: Hey guys, I'm reading that an ion and digital accountant, if you're looking to learn everything, is a reasonable Center accounting software, since this is the best course for you. Instead of simply looking at functions of the software, I want to show you how I use Sara accounting software to start and run by even organizing business. Not only it will have a fun and interesting way to lead, but you will also have a practical understanding of how to apply your knowledge. This course is great if you're just getting started and what the lens, the basics of systems. But don't worry, I'm not just starting to scratch the surface. I will go into great detail to cover more advanced features as well. This course is packed with valuable information so anyone can become a professional using set of accounting software. So if you want to learn and most importantly, enjoy the process of learning, so go ahead and enroll today. I'm looking forward to seeing you inside the course. 2. Let's register on Xero!: So first step today is to register on Sarah accounting software. You do not need your passport details and the details for your bank card details. All you need if your business details like company name, address, and logo, then get those ready. First thing what we are doing is registering on accounting software. So how I can register on accounting software. So here I have opened external.com web page. From here we will be able to create our account, or in simple words, registered on etc. I will click on try zero for free. So I will have 30 days free trial to test says accounting software for free. So to join, need to type in firstName and lastName. Your personal details. Add your e-mail address, phone number, and select vocation. Confirms that you are not a robot. You have read and agreed to terms and conditions which include Terms of Use, privacy notice, and offer details. Also, if you don't want to receive a marketing communications, don't forget to click sees or ticks this box and click Submit. So now we will need to verify our account and you need to go to an email address or account in which you're registered Monk Sarah accounting software. So here is my email. Click on it and click on Yes, it's me. Let's get started. Dr. with account you will need to provide a password. So strong password. Please don't send me any marketing communications and I click on activate your account. So now I need to fill in details about my business. I mentioned that if you have company details, how's them nearby? Because you will need to add details about your business. So my case, my business name is Rita K. And industry. I'm I'm working in even planning and organizing. So let's search by event, production, catering, catering. So we can search. There's lots of industries what Xero accounting software provides. I also like to create an events, in my case, select industry which is appropriate to your business. Country will be United Kingdom, last day of your financial year. In my case, it will be my businesses recently registered, my laws. They could be furtive of June. Okay. Here you need to select if you will have employees. In my case, no, it's just me. But if you help employees so you plan to have employees select, Yes, you will be able to add payroll to your accounting software. Okay, so next step is about VAT. If you are also about register business, you will need to provide the details about your registration number as well as if you want actually to. So you will need to add VAT on your sales invoices as well as you will be clay be able to claim VAT from your supplier invoices or your expenses. So if you are not registered business tick yes. Calculator on my transactions, otherwise, de-select in my case, I'm not registered business. We will cover what section as part of settings. Click on, I'm not a robot. I will start trial. Let's provide details, password, and log in. So once you add details about your business, you will be logged out and you will need to re-enter details again to make sure that it's up to you. You can add a second layer of security if you wish to. I will select None now. But you can click on Set of multi-factor open defecation. Okay? Now, okay. And here we are. We are registered on accounting software. 3. Update Settings [General]: Such a mess. How I can find out where is my company? Money as well. So same guys will apply to settings. If you don't align or check, or make sure that you have enabled information on settings, you will be in the same mess as I'm here. So before we start to record transactions and issuing voice is the best way, what I would suggest to do is to go through Settings section on first step is I want to look at general settings. So all about my company, including currency, uh, make sure that I'm ready to start your car transactions on the accounting software, etc. So next chapter is how I can check Settings, General Officer accounting software. So where we can access our general settings. To access general settings, we need to go to this drop down list. And here, alongside files on subscription billing, as well as your demo company if you want to test and trial some features so they don't impact your actual account services settings section. Here we have two parts, general and features. We will cover in this part, general, general content panes of five sections. First section is organization details. Here we can add a logo, change details about our company. So my basic information display name is Rita came business and legal trading name Rita K. Limited. I can upload a logo. Okay. I will click Browse and I have logos and I will select number ten. Click Upload. This logo will appear on your invoices or any other documents, what you will send out from system. You can change the logo. Also. You can remove logo if you don't want to use it at a later time. What is your line of business? I have created event, but you can of course, change it if you wish to. Organization type. Here, we can select what kind of time is my company. So in my case it will be limited company. But you can be also sole trader, partnership, person or not-for-profit registration number. So if you have registration number provided here, an organization description can be provided here as well. Next part is contact details. Here I can add address details of my company. So my street addresses Green Street, town and city. I have green county, state region. You can add it here, postcode, select country. You can also provide details attention. If you have first line of the street, you can type it here and system will automatically provide you details of most likely matches to what you're searching. If your postal address is different from physical address, you can add it here. Otherwise you can click on same as postal address. And the same will apply on all your documents. You can add your phone number, email address, as well as website details. Plus, when you click on Add contact fields, you can add more information like mobile night, mobile phone number, Skype, LinkedIn details, tweeter, and etc. So once you have updated or added information or change something on this part, don't forget to click Save. Changes are saved. Changes have just saved. Now, let's go to next section that's called the users. So if you have more users, so maybe you have employees in your company or in your business, then you can actually add a couple more users and gives them, gives them a permission once they are able to do on system. So e.g. I'm a subscriber. I haven't set up two-step authentication, but I have standard access to all content bank account admin, reports, payroll admin, and manage users. To invite your user, click on invite the user. Here. You can fill in details. Firstname, lastname, email address, and then you can select which axis you want to give them. So e.g. I. Will add details as a rate. White e-mail address. And I will give them access to, let's say payroll admin. Or if you invite an accountant, you can add the business and accounting axis and click on Send in white. So until this person haven't logged in on system unconfirmed say account. So it will be under Pending users. When you click on Login history, you will be able to see who have access system when and at what time. So when you click on three dots, you can manage users, e.g. delete. If this user are no more, you don't want this user anymore to access your system, then you can delete access for this person. Or you can click on change permissions and select that actually you want to give access to business and accounting section, de-select payable anatomy and select what they can actually do, read only, or maybe just issuing invoices. Select the ones which are appropriate forces person so e.g. sales quoting purchases or a proven pay sales and purchases. So you can Select and click on update permissions. So that's under Users. Let's go back to settings. We can also manage currencies. So if your business use this multiple currencies, we can, we can add more currencies. E.g. my default currency will be Pound sterling. To add currency, click on Add currency here and select currency, e.g. I. Will select euros. It will show what is latest exchange rate and click on Add currency. Currency will be added here. If I will issue invoices in this currency, or I will have suppliers who have sent an invoice is in euros. Exchange rate will actually automatically calculate losses or gains on exchange rates. So if you need to add multiple currencies like the United States dollars to click on the United States dollar is shoving current exchange rate. Click on Add currency. Or the currencies are denser. If I click on this currency, I can add my currency if I want. Okay? So I have add that euros on USD to my currency list. So for part is connected apps. Here. You can connect to third party apps like e.g. if you need to connect to strike maybe. Or if you want to connect to any inventory management or, or billing management applications, you can search by app, e.g. I. Will search by stripe. Stripe will show up here, but there's so many different applications available which cells actually allows you to connect to, e.g. the risk cliff folio where you can track your key metrics are monitoring your business performance here. Or you can use maybes up here if you want or Connect tab. Choose which one up you want to connect to your Sarah account, etc. Accounting software allows you to use third-party apps as well. Okay. Last part is subscription billing. Here, we can change your plan management our subscription. So e.g. if I want to purchase a paid subscription, I can click on by now because it was showing the time trial, I can select which package I need for my business account. So e.g. I need a premium account because I also want to issue a multi-currency or operating multi-currency come out. So now we covered general settings and z-scores, the key settings of your business information, what will show up on invoices, currencies, what, what you will use, as well as users, if you want to give permissions to users to actually access any part of accounting software and be able just to operate in that particular section, maybe just issuing invoices or just making a payment to suppliers and managing receivables side as well. So this colored Organization Settings, General Settings. 4. Update Settings [Features]: So many paperwork. Okay. I don't see swan, I want to have a gap between sentences. No, sorry, wrong to have taken out from my left to okay. So he's more features, but we need to actually cover on Settings section. So if you want the e-mail templates to look differently, how we can combine those. So e.g. like, how? Like e.g. I want to change it. So how I can change that information? Accounting software, also, under features, I can enable eat payments. If your supplier or customer will accept all accounting software as well. How we can automate process of communicating information in a quicker and easier way. So next section is how I can update information on features, settings section on Sarah accounting software. So now let's have a look at the features. So under Settings recovered general and previous chapter or section. Now we will look at feature section, C-section got six sub categories or subsections. First is invoice settings, and this is a place where we can actually update our details of how our templates look like. So under drop-down list, I have standard or I can custom. If you want to completely change what system provides. Under Options, you can edit, copy change logo. We can also preview or remove logo. So if I click on Preview, this is how tax invoice would look like on a desktop version. If you click on this mobile app, you can see how invoice would look like on mobile phone. If you want to edit or change something, click on Edit. Answer is lots of fields to fill in unchanged, including, as I mentioned, I maybe want to give a little bit more space from top, or maybe I want to give a little bit more from my bottom margin. Also, you can change the inches from centimeters to inches and update information accordingly, the same as above font. If you want to change font from Arial to Calibri or Tahoma or Times New Roman even. Select appropriate which you want to logo alignment. It's currently in right-side, but I can decide to move into center or closer to the left. Once you do any changes, don't forget to click Save. So there is default settings. If I click on default settings here, showing here, but we can change information here. So what mean default settings currently, if, if I really show very first invoice, we'll look here. If I really should, very first invoice prefix, it will start with INV, and I'm quite happy with INV unless I want to add our k. So my invoice would start with IN VARK. Or if I want, I can say is that it starts with our case or initials of my business followed with INV. And I can also change numbering of invoices, so there's four digits and I would say is that first invoice would be hundred one instead of starting from first invoice and system. I can also say that I want to change numbering. And first invoice would be numbered as 101. Credit no prefix is cn. If you want, you can change to CRN, purchase order prefixes, pill, it's standard. If you want to change and add like purchase orders alone one, you can add exert and numbering can be changed as well. So e.g. I. Will add 11 quote prefix starts Q. And I will add quote numbering starting from, say, 51. Outstanding bills. We can quote expiry date. We can add insert in my case, I will not add quotes, will not expire unless there's specific expired date is, and I will be able to add it when I actually really shoe quotes. Looking at top, this is a payment terms, bills, their supplier invoices. I can select. These two fields are optional, but if I have given like 30 days to pay invoices, supplier invoices, I can already pre-filled details here. Select when these 30 days will expire. Days after Bill date, after the end of the bill month of the current month. Like 99% of bills what are issued, they would have 30 days payment terms after Bill date, not after the following month here. So I will already says that I will have 30 days after the due date sales invoices. In my case, I give only seven days to my customers to pay for their invoices and it's the same as above after the invoice date. So if I issuing voice on tenth, we will have seven days until 70 to settle in voice what I have issued. So once you have updated this, fields, don't forget to click Save. Okay. So settings have been amended. Payment services. When you click on payment services, we can actually enable E payment. So if you want, we can add Paypal links, or like I said in previous section, Stripe can be added as well. So let's get started guides or add other one if you don't want to use Paypal, go cordless, or stripe. So let's go back to Organization Settings and Settings. And also talking about invoice reminders. We can set up that invoice to be reminders. What would be sent out if customers haven't paid on time. So if customer hasn't paid within seven days and seven days overdue, I can actually enables a sequence until they actually pays an invoice. I can edit. So I can edit text, what is written there. I can add more details or I can remove, or I can also change after how many days it just reminder, email should be going out from a system. It's kind of credit control for you. If you do any changes, don't forget to click Save. This about invoice settings. When we go back to risk payment services, this is a place where we can enable payments, as I mentioned. So Stripe, go Carlos and Paypal get started guides so we can add evil links on an invoices. So when you send invoice, seltzer wouldn't be linked appearing e.g. stifling. When customer clicks on that link, he or she can actually pay directly by adding some bank card details. And it would automatically also show on our account that we have the invoice has been paid and we will see our on our bank bank account that we have received money. Okay. So let's go back to urbanization settings, e-mail settings. Here we can edit e-mail address. So this is my default email address and email account. I can click on edit and I can add another email address if I want to specify where communications should go or should flow out, or worse, I should go back. Templates. When you click on Edit, there's lots of different templates. Soap template for repeating invoices, sales invoices, credit notes, statements, and et cetera. So e.g. if I click on sales invoice, this is a e-mail template when I distribute sales invoice. So customer invoice from several accounting software. If I want, I can change information here, add more details or a month. All details what are in brackets. So sad actually would feed information from actual customer account, so from contact name. So if I issue invoice, every invoice is programmed with details. So e.g. I. Should invoice to green limited contact name will read information from certain voice and pool into subjects. So it would say for green limited and it would apply to every single different invoice, to different customers, what you will send if you want to change, be mindful, if you remove some details or information from these square brackets because that can impact what kind of details pulled through to your templates. So you can change this information. Trading name would be my business name showing up here. But if you want to change to different or set an e-mail address, since they're not e-mail address, but instead of business name you want to add like signature, e.g. I. Would say Rita Chrome, Coast Guard director, then I can add this information here and it should appear on every single sales invoice what I would send out from a system. So once you do any changes, don't forget to click Save. You can do changes or create completely new templates for every, each of these provided sections. Or even click on Add email template and Craig completely from scratch your personalized templates. So let's go back to organizations settings. So we covered the e-mail settings. Now under Payroll Settings, we will cover payroll in one of the separate sections. And when I click on payroll sections, we are actually dropped to a main accounting software and two main section called payroll. So we will cover this 11 of the later course sections. We have set out to zero. So this is an amazing feature. If you know that your customer or your supplier is actually external accounting software user, you can use network key. So this is my network key. I think so I will need to blur it. But I can copy this network key and share with my customers or suppliers who use Xero accounting software. E.g. if I have customer network key, I can add to contact their network key. And when I issue an invoice that the noise would appear in Xero system as a draft so they can review it actually on post or add on the system automatically. The same would apply if I have supplier who uses accounting software and if Ze issuing voice to me, it would show up as a draft on Mike Sarah accounting software where I can actually review and post it on a system and approve, of course, for a payment. So this is like a like a network of Sarah accounting software users. Very amazing feature actually to utilize to save a time to when you record e.g. supplier invoices and custom content links. So you can create a short paths of your favorite, several contacts and also other tools. So you can add a custom link if you want to do like a more, say more time, or have a couple of customers who are your main go-to customers are the same would apply for suppliers. And you can create a custom content to links if you require. So. In this section, we covered features including how you can amend an update, how your invoices look like. If you want to send reminders and align, also invoicing credit note and quote numbering, as well as how to enable E payments. How to change email settings to all different parts including remittances, sales invoices, quotes, Payroll Settings we will cover in one of the future chapters what Serra took suramin. And also, if you want to create a custom contact links where you can find it. 5. Add Bank Accounts & Opening Balances: I just came from bank as I have opened my business bank account, I have obtained my business credit card as well. So how I can add a bank account and credit card account on. So accounting software. They posited thousand 500 as opening balance of my bank account. Once I opened my bank account to check if my cart working, I took out some cash so I can pay for cash expenses. So how we can record transfer between bank account and the cash account as well. Let's have it Next section called bank accounts. So how we can add a bank account on Sarah accounting software. To add the bank account, we need to go to accounting section. Here isn't bank account. To add a new bank account system even states that they haven't got a bank account. Click on Add bank account. This is the way how we can add a new bank account. Here. I can search by a bank. So in my case, let's say I will have a light. I will say I will have Lloyds personal. Okay. Now, I have two options. Either I can connect my Lloyds Bank Account, took Sarah. So all transactions would be automatically pulled through from Lloyds Bank into my account on daily basis? I think so it was daily basis. Or I can actually click on skip if I choose to manually upload the bank statements are manually enter transactions. In this case, I will show you a long way, or in this course I will show you a long way. So how we can actually manually enter transactions or manually upload a bank statements. Okay, so I will click, Skip. I will select don't connect my bank account. So this is only if I wish to manually upload bank statements. So my account name, I will say return current account. From drop-down list, I need to select what kind of account it is. So EBIT every day. So day-to-day transactions may be the saving account, maybe this credit card account, or if it's completely other account. So in my case, it's this every day, day to day transaction account. I need to provide the sort code as well as account number. Select one of currencies in which this account is trading. My case, it's British pounds. But as I have add that euro and USD dollar currencies as well, I can, if I have different currency accounts, I can actually select one of the currencies, what I have from drop-down list available, I will select pounds and I will click continue. So now I have my bank account. This is my current account. Under Manage Account, I have four sections. First one, bank feeds. I can still connect my bank to external. So I will have transactions pulled through from bank account into Coursera account software, accounting software automatically. I can reconcile. So when I will have transactions, I will have option to reconcile. I will have option to add manually. Transactions like when I spend the money or save money or transfer money. Or I can also search by account transactions or look at bank statements. Also, when I click on Edit account details, I won't be able to amend the dose. Maybe I had a typo. It should start account numbers should start with five. Once you do any changes, don't forget to click on save, of course. Okay. So now I need to add also credit card account. So click on Add bank account. Select Lloyd's, say say business in this case, doesn't matter actually, unless I will connect actually my credit card to accept a credit card account, etc. Accounting software. I will escape. I will manually reconcile my transactions and manually upload statements. Accompany I will say the K credit card account type. In this case, it is credit card account. Because it's credit card account, you just need to provide for last digits of a credit card number. So my case, I will highlight 4545 and it is in pound sterling. As I said in previously. Select the one currency in which you have this account, okay, and click Continue. So now we have current account and credit card account at that as well. But I also want to add a cash account because I have taken out cash. So we want to manage transactions. What's happening? My cash account as well. It's the same way. I will click add bank account and just select voids business. Skip. I will not connect to my bank account and now I will call it cash account. And the account type select other. You can add short code. I will put zeros. I'll click Continue. Okay, so now I have my current account, I have my cash account, and also I held my credit card account. So how I can add an opening balance to my current account because I actually deposited thousand 500. So to add an opening balance, I need to go to accounting. And under Advanced, advanced settings and conversion balances. Here, I can remove rows which I do not need. So basically, I will post a journal on a system to record an opening balance before I actually had registered my business, so I had already tells him 500 on account. So my case I will select my bank account. So I have current account. And because I have deposited money in, so that's means if I have thousand 500 as a debit, so I have plus, I have money in my bank account. But things the same time. There is some place where there should be like second health. In that case, it would be a liability. So I actually it's not my equity, but in this case, it's long. So I would search under section. So this is revenue, this is bank expenses, but I need to look at liabilities section and look for a loan. So is there a race? All liabilities, accounts, uncertainties, director's loan account. So in my case it is Directors Loan Account. However, if thousand 500 would be actually like equity funding to like capital or ordinary shares, you would select this account on record. One as a critique of a business. If you have equity amount, what you have actually noted in when you registered your limited company? Yeah. So let's I will leave this one as an equity. So 1,000.500 is an equity amount if you need to add more. So e.g. if you have opening balances in cash, current account, and maybe in another account, then you can add a line, but make sure that debits and credit side actually balances Answer is no difference. Yeah. So once you have added this information here, click on Save. So when I go back to my bank account, I can see my opening balance of my current account is thousand 500. I have taken out 90 pounds to in a cache, so I have a checked if my card worked, right? So I can transfer money from bank accounts. Icon called transfer money. Here we can select. So in my case, from current account to my cash account, I helped transferred selected date. So in my case, B, I would select for the mount 90 pounds, and I will call this one as cache. We can transfer, in that case, this will record transaction or I can transfer an add another transfer, transfer intervene if you e.g. if you're transferring between multiple bank accounts, then you can continue adding another transfer. If there is movement happening between other money, money bank accounts, him. Click Transfer. Now, balanced in Xero is thousand 410 because I actually have removed 90 pounds and moved it into cash account. When I will upload bank statement, I will be able to match this 90 pounds as a transaction, but we will cover that on in a different chapter. In this section, we covered how we can add a new bank account, including current account, credit card account, cash account, how we can add an opening balances, as well as how we can transfer money between bank accounts if we need to. 6. Amend Chart of Accounts (COA), Tax Rates & Financial Settings: I have free income streams, but currently on Excel accounting software, I have one sales code. What I should do, we can actually add additional codes on chart of accounts so we can amend chapter for count and separate income streams. So I cannot separate income stream for online course for selling my notebooks and planners, as well as getting income from my event planning and organizing. The same approach will apply for cost of sales. So e.g. if I incur money just for making, designing, printing my node, notebooks and planners, I can create or add additional cost of sales code called books or notebooks. So in that case, I will be able to see how much profit that I make from that income stream plus the cost of sales. So let's have a look how we can amend chart of account. Also. We will catch up financial setting tax rates in this section as well. It's important to know where you can amend or adjust your tax year if you need to, as well as if you need to add new tax rates. So e.g. if you need to add new VAT rate, where you can do it. So all these steps we can make under section called accounting. So now let's look at accounting related stuff. So how we can add a new code or amend chart of account, how we can change financial settings if we need to, and how we can add a new tax rate. Also sections we can access through accounting section and advanced subsection. And on the right-hand side. So it's advanced settings section. The ones features we will cover in the next one, in one of the next sections. Okay, so let's firstly look at financial settings. So under financial settings, we can change our financial year end if we wish to. Also, we can select a theme. So if you are registered business, so you can select what is your What's him either accrual scheme, cash flow rate fluctuate for accrual scheme or flat rate for cash stream, Actually none. So if you are registered and you use accrual scheme and select it here. If you're part of a construction industry scheme, business or operating in. So you can enable our unlock if you are registered contractor or maybe you are registered the subcontractor. And also if you have bags, you can provide the service user number here. And also you can love date when we have multiple months or that on Sarah accounting software will be able to actually lock previous months so no one else can do any changes. If if if we have reviewed the information on that particular month or particular period and we don't want it. Someone maybe from team by mistake, changes some figures or numbers. So that's the reason why there is the lock dates option or not all people are in your team would have an access to actually lock dates. Once you do any changes to this financial settings, don't forget to click Save. Before we go to Chart of Accounts and other revenue streams or income streams as well, our cost of sales. Let's quickly look at tax rate. On tax rate. So it's already quite extended list of VAT, EC, rates and etc. So if you need to change something, you can click on that tax rate and we can edit this tax rate and select also categories once this applies to change percentage. And also if you want, you can change the description. If you want to add the new tax rate, click on new tax rate. You will be presented with a pauper field and you can add details about this new tax rate, e.g. if there would be introduced new VAT tax rate of 19.5 per cent, or maybe it is 10.5 per cent. So you can create your new tax rate. Don't forget to allocate two categories to which that tax rate applies to. So yeah, it's quite extensive. List some locked unlocked rates. So we cannot actually change information. About each tax rate. So CSR is a system default that so we've sort is padlock on. You can not change the lead or amend information, only the ones which you can actually select. You can also delete if you wish to. Okay. So this briefly covers about tax rate. Now let's go to Chart of Accounts. So if you have completely new code to add or maybe you want to add subcategories. You can actually, you can actually add those two particular subsection. Let's start with first steps. Tastes list is all accounts available on your chart of accounts. So quite extensive list. Every code has actually description. So e.g. VAT got quite chapter. Provide the third paragraph to read through information about this particular code. If you want to add the code in particular category, e.g. in my case, I want to add a new income streams. So I want to see my numbers, revenue numbers by each category. So even my online course or my book sales, or my even events, what I'm organizing. And I'm making money from event planning and organizing, then I would need to go to particular category in which I want actually to add some code. In my case, I will go to revenue section. And this would only filter Revenue Code. So there will be no expense or equity or asset code. This will be just pure section. So if you click on Justin's at section which you want to add new code, it'll only filter that source codes relating to that particular section. So revenue is the same as turnover cells or income cold. Yeah. Also, it's provides a code you can actually align to. In my case, I want to add three new streams under sales. So this is 200, so I can actually add 2,012.3 if I wish to add a new code or new account, need to click on Add Account. Here. We can select an account type. So in this case, it would fall under if I'm looking under revenue, I have three categories. Other income, revenue and sales. You might get confused. The rich, actually revenue account type, I should place it. It's the simplest way is to look here, so it will be a good guide for you. So type is given such revenue, so allocate to revenue and there is no tax rate involved. Yeah. So Ad account account type, scroll till Revenue Code. So I had 200. So I can add 201. System will show exact code is actually available for you to use if it will be not available till change to red. Okay. So e.g. if I will put 200, it shows that it's not available. It's already belongs to cells. So 201. I cannot short name, so I will add sales and I will add events. I can add more details and description section. So in this field, if I wish to provide more information, I will have no tax. You can select if you want this code to show on the dashboard watch lists. So when your main screen, when you login to the system showing expense claims if you want, or also enabled payments to this account. I will not select any. Certainly not important to my case. And click Save. This would create a new code here. Let's add another account. This case, it will be under revenue as well, but it will be called 200 to sales. It will be not, but planner's saved. Now, if I want to add online course, I can actually select any code 200-260. So I can add for online course actually code 210 or 220 if I wish to do so, I will add a column. Select Revenue Code. I will select 200, 210. Name will be sales. And I will call it, it's online course. Click Save. So now I have three separate revenue streams for which I can actually track my income. So when Irish really shrieking voices, I can allocate particle description line or item line to one of these codes. But as I mentioned, I have also cost of sales so I can separate or split cost of cells. Click on expenses. Here. Cost of sales or cost of goods sold is actually 310. So anything 310-320 is available for me to use. So I want to separate cost of cells for books. So for printing and designing books, mainly my notepad, some planners, as well as I wanted to separate any costs of sales for materials purchased or supplies purchased for event organising. So I'd account in the same way. In this case, it will be as part of expenses. So let's look in a category expenses. And this would be a new thing. Direct costs, expenses are overheads. In this case it's direct cost. Direct cost directly relating to this particular revenue. What I'm making as part of my business operations. Okay, my code will be 311, and I will call this one as cost of sales. It will be materials. The same if you need to. If you want to show on a dashboard showing expense claims, you can take these boxes otherwise, click Save, and it will add a new line. So as you can see, all four of top categories are falling in direct costs. If you want to add new code, e.g. business insurance, have a look where it goes. So business insurance might go under overheads, are maybe under expenses section if you need to create new code under here. So cost of sales materials and I need to also add cost of sales code for my notepad and planners account type. And say, okay, so now I have cost of sales and cost of sales and cost of sales for materials, for events, and cost of self 4-node. But I'm planners. You can go through every single section and see how many quarters are. So e.g. for equity, there is information also, if you have any balances, they will show up here. So this is like opening balance and my investment in a business thousand 500. And I'm gonna go to Assets. I can see sins or his bank account. As you can see, bank accounts having good codes. If we click on this code, we can actually add a code if you want. So in my case, for business cash account, I will select hundred. System shows that it's available. I will click Save for my current account and we'll select hundred, hundred ten. Save this one. And also I will allocate for my credit card account. Hundred to 11. I'll click Save. So now all even bank accounts I have, I have a code allocated and we can see opening balance. So thousand 500 was invested, a 90, we actually withdraw from our bank account and it's currently sits in our cash account. If you see any account with a padlocks, we can actually delete. So if you can see, I can select these delete icon archive, or I can also change a tax rate. However, the account which goes to padlocks, we cannot delete and we can change or amend information like a code, name or description if you wish to, but we can not delete this account. So this is a way how we can change or amend financial settings, add the tax rate, as well as how we can add, amend, edit, or even the lead code from our chart of accounts. 7. Record Opening balances - Receivables & Payables: Okay. So this one is paid. This one is paid as well. I haven't paid this form. And I haven't paid this one as well. Okay. I have received this one. I have received this one as well. How are you received money from? I haven't received this one. So guys, I have actually opening balances. Before I started to use CINAHL accounting software, I've been using my pen on notepad to record my transactions and I can see so they have to supplier invoices that I need to pay. So I would like to add those on Mike Sarah accounting software to make sure that I don't miss them when I need to pay for them. And also I have free noises previously issued from me to my customers and to help pay, but one haven't paid. So I want to add an opening balance to receivables as well. So I have full visibility of opening balances when I start to use Xero accounting software. So how do I can add payables and receivables, opening balances on Sarah accounting software. We need to go to accounting section and subsection called advance and look up conversion balances. So that will be the place where we'll be able to add opening balances. So let's add these two payables on one receivable. Let's have a look how I can add an opening balances of my tube supplier invoices and one customer invoice. We need to go to accounting section. And under advanced, you will remember as this one, but under advanced settings, we added an opening balance for our bank account. And the same way, we will add an opening balances for our payables and receivables if we have any. So click on conversion balances. Here is our journal entry for my bank account plus my investment as a capital of resting in my business. On right-hand side, actually accepted accounting software provides you a little bit more detail. So e.g. if I have outstanding sales invoices, when you click on that triangle, It's expands and give you a more detailed. So for examples that you will need to work to plies and what what code you need to look up up for his outstanding sales invoices. And likewise with outstanding bills on this date, which is supplier invoices, they need to be going to credit column on accounts payable. So there is more details but you need to consider, especially if you help credit notes outstanding as well. So let's add my customer invoice first. So I will add a new line and customer invoice, that means that I have balance outstanding on receivables. So I will look for accounts receivable and that will be Monday, what I will receive. So I have thousand 500 accounts receivable from gifts limited. I will add a new line. And money thousand 500 actually relate to sales of events. Of course, revenue or income or turnover or often shows, will be shown in accounting software as a credit side. Also, I have two invoices, supplier invoices, one for materials what I have purchased. Another is for book from book limited for samples, what I have received. So to add outstanding payables, we need to search it set by accounts payable code. So in this case it's 800 defaulted by system. And payables will sit on the credit side based on accounting principles. And I have 700, 700 or split by two costs of sales categories. So one cost of cells category will be materials. From online shop. I have 200 pounds spend on materials. And also I have four sample books designing and working. My samples. I have 500 under cost of sales of notepads, 500. Make sure it's a total debits equal total credits. And there is no adjustment balance unless you actually have, based on your trial balance, some adjustments which you will need to be cleared out if you move in from different accounting software to etc, accounting software. Once you have added this information, click on Save. Here, we need to provide invoices for thousand 500. So system are asked to add an invoice is some credit notes. So I will add an invoice for gift to give limited. Okay, we'll click Add. We will cover issuing invoices, but we need to enter tastes on system now, we can balance of our opening balances. So I will type in gift limited to add a GIF limited as new contact click here. And it's like adding and shoving subsidies in new customer on system date, I will select as a first July due date. I will leave us an eight and invoice number. Actually, it was iron VARK. It was o722. Okay. So if you have reference number to add, like purchase order provided by customer, you can add exert, we can preview and I, or we can also attach a support document. Even we can ask from a library or upload files. I will select Upload File and I will go to my document and I will look at my invoice. So reason why it's issued to give limited. Okay. So now what attachment is undeserved? And I can add an items. In my case, I will call just event. Now, also, even planning, I will add a quantity, price was 10,500. And I will select a code of events. Okay, thousand 500, and I will click Save. So now total sales invoices matched with my total accounts receivables. So there is matched is not something I can click Next. Now, I need to add invoices for my payables and I have two invoices. Why we'll click Add a bill. So I have a book limited. It's the same way. We'll click New Contact date. I will select the first July for reference. I have book July 22, I think so twice. I will attach support documents, so I have full truck. So I have okay. So support document attached. I will add description. I will add one, and I will add a price of 500 on account. My case, it's sold, the cost of sales. Fourth note about planner. Okay, I will click Save. I can add another bill. For online shop. I'll click new contact. So same way. Select the date, reference by how online shop. Oh, seven, 22. Of course. Upload support document. And I will add description and select the account. This account from chart of account. It is materials and click save. So now our payables account has been matched as well. And click Next. Okay, So now all ballots have been saved as a first July, 31st, July. So this is a way how we can add our receivables and payables, opening balances if you have any, e.g. if you're moving from one accounting software, took Sarah accounting software, or maybe if you have started your business before you started to use accounting software. So you have outstanding payables like supplier invoices, as well as customer invoices. Since this is a way how you can record those on Sarah accounting software. 8. Add new Fixed Assets & record Depreciation: What kind of industry your business operates. You might have multiple assets or you might have zero assets. So if you are already servicing industry-based, you might have most likely non fixed assets. However, if you are in manufacturing and most likely you will have an equipment or machinery buildings. Also storage facilities like warehouse, which is buildings as well as well as advanced to deliver your goods. If you have those. Any equipment, machinery, the tubule, use longer than one year is a classed as a fixed asset. So for that reason, product, what you store in your wheelhouse and sell to your customers. They're not classed as a fixed asset because you will sells those to customers within one year, some restrictions might apply. So I have my fixed asset register. If you're thinking this here. I have very small fixed asset register. I have only three items that I want to add to my fixed asset register. First, one, laptop, which has 820 pounds value. When I purchased it. I have a printer to print amazing invitations, beautiful table cards and etc. Whatever it requires to complete my event organizing and planning tasks. And printer costed me 650 when I purchased it. I helped set of office furniture, which costed me thousand 800 when I set up my business. So today is different date compared from the date when I purchased my laptop, my printer, and my furniture set of furniture. And the reason why I'm saying this is because some value for which I purchased my laptop yesterday. Actually a wharf less today. So volume will reduce over time. So how we can calculate depreciation for assets, what I have in a business. So Sarah accounting software actually allows me to take information from my little fixed asset register which is currently manual. Enter it or add or keep record on Sarah accounting software. So let's have a look on accounting section, subsection called advanced, where we will be able to access our fixed asset register. So here is my fixed asset register of my love, my printer, my office furniture. So how we can add asset on Sarah accounting software. To add asset, we need to go to our counting on advanced. And the other one's features there is fixed assets. With my current permissions, I will be able to add acids in a draft status. So let's add my new assets. So click on new asset. Here, I can add an acid name. So I have laptop called Office asset number, like an amended purchase date. So I will select us 1st of July. Purchase price was 820 and warranty ex parte de I have two years, so it will be 24 June. Okay. Okay. I can add a serial number if you have one. Okay. I will be not able to add acetate because I don't have advisor access. I don't cover it a little bit lighter, so I will just fill in details about this asset, what I have currently. So why have office laptop? Lot description here? So book value, so depreciation start date is 1st of July. In my case, if you click on Show More Options, you are able to add the cost limit or residue value. Residual value means that satisfy most limited amount for which you can sell this asset when you have disposed it. So I will say for my laptop I have 150 pounds as a residual value depreciation method from drop-down list, there are four options, so there is no depreciation. Straight-line method sets means that e.g. if my asset will be used for next two years, then on straight-line method will be the total purchase price, which is 720, will be divided by 24 months and each month equal amount will be released in my report in my account on reducing balance basis, that means that it's the most value will be written off at the beginning of of, of useful life of this asset. E.g. if I have 820 on reducing balance basis, 500 or even 600 will be written off onto first year. That's when this asset performs their best. So you can choose which method you want to use, full depreciation of purchase. Some circumstances when you can write off asset when you purchase it. So whole value can be written off. Or maybe if e.g. if your asset have only one year of a useful time, maybe mobile phone, then you might decide to write it off in their first year. So in my case, for office laptop, it will be a reducing balance basis. Under averaging method, there's two options. Either we can write off in full month mortgage, so e.g. I. Would divide the value by equal 12 months or it's based on actual days. So e.g. amount will be divided by 365 days multiplied by 28 days, which is in February on 30 days in June. And except for my case, I will select a full month. Reducing balance. Method often goes from array, but you can also select an effective life in years. In that case, select this one and select years. So I will select rate of 20% and click save as a draft. When we click on this asset, we can actually see a note or add any additional note. Or under options. We can actually copy a card details. So I have also printer. So I can use this card and add printer. Count on g12345. And I will amend or some number two to purchase that first July purchase value. I have 650 warranty expired date. I will have the same. I will have two years. Serial number of course will be different. Asset type I cannot select because I don't have advisor access, so full access to zero accounting software adds a moment. Description. I will copy the asset name, paste information, book value, depreciation, start date plus 1st of July. So residual value, I would say it will be 50. Maybe you don't have residual values and put zero or don't enter any information there. Depreciation method, I will use the same. So my printer will be most working at 100% capacity or close to 100 per cent in the beginning when it's new and fresh. And of course it will use, lose capacity and will need to have more maintenance by end of its useful life, right? So I will keep reducing balance it based on for months and rate of 20 per cent. Click as a save as a draft. And then I helped third asset and its office furniture set. So I will click new asset. Will add this furniture. Okay. Let's add is office furniture. Number free. Purchase date was first of July. Purchase price was 10,800 and warranty expired, that there is no export. That answer is no serial number in my case. Description is office furniture depreciation start date. It is first to July. And I will not add any cost limit or residual value for my furniture. In this case, depreciation method, it straight-line method. In my case, it's based on full months. And in this case furniture is based on effective life. I predict effective life for office furniture will be Apple for years. Then we'll click save as a draft. So now there's a list of all my assets, but how to make them as registered. So I need to change my user permission settings, so we need to go to Settings section. And actually under users, I currently have a standard taxes but I need advisor. So scroll a little bit down and there is business and accounting. And click on Advisor, and don't forget to update permissions. So now when you go back to accounting and under Advance, more advanced features unlocked, including manual journals. So let's go back to fixed assets and registered our assets. So now I have all three assets. If I take all of them, I can register them. But if there will be missing information, system will give a warning or pop-up message. So let's register all three assets. There is information things that all assets will be checked and if there will be missing information. It will be not registered until missing information will be added. Click Register assets. So there is information since there is no asset type assigned, and of course, we cannot assign asset type of standard user permission axis. So I changed the advisor, so I will be able to specify asset types. I will click Okay, so now when I click on asset, let's say we start with laptop office. I need to fill in details for this asset type. So when you click on drop down list, now we can add a new asset type. So first asset types, this is for my laptop and also will be for my computer. So isotype will be we will have computer clock recruitment, okay? Or we can call as IT equipment if we wish to write t equipment, asset account, this will fall under computer equipment. Accumulated depreciation account. This is from balance sheet. So system already provides you, if you have computer equipment here, what I select it as an asset account, then it will go under less depreciation will go under seven to one relating to this computer equipment. Also, we need to specify expense account and our profit and loss statement. And in this case, under expenses category as above shows we can select depreciation expense. There is only one cold provided a chart of accounts. So if we would like to have a separate depreciation expenses by isotypes, we can go to Chart of Accounts and actually add separate depreciation expenses for compute recruitment, office equipment, buildings, and et cetera, if needed. But I will bundle it under depreciation expense, book depreciation default. So depreciation method for my IT equipment will be reducing balance because my assets are most effective. Or I take IT equipment will be most effective at the beginning when I purchase it, will require more maintenance by end of its useful life. Averaging method, it will be in full months and raped. I have selected 20% and click Save. So now my laptop has been allocated under asset type of idea equipment. Answer is code's provided as well. So there is a details you can check it one more time. Click Register. Now from draft, my laptop has moved under registered section. Let's go to our fixed asset zero, which is a printer's. And printers likewise, with my laptop falls under IT equipment, so I do not need to create a new asset type system fills in DDos automatically, just check the numbers one more time and click Register. So there's two registered assets. Now. Another drafts we have office furniture left. Office furniture, of course, will not go or fall under IT equipment, then we need to create a new asset type. This case, if I'm looking on their asset account series office equipment available cold. So I will use the same I would call office equipment depreciation account. So if I had 710 as the asset accounts and 711 will be accumulated depreciation. So this basically means that if my furniture was for 1,000, 800, then balance will reduce. When I run, I will run a depreciation. So every month or at the end of financial year, your value will actually be less than what it was at the start of the year. So if my furniture was thousand 800 by end of year, it might be worth only, let's say, thousand, 400,300. So less accumulated depreciation is important to add. So it shows correct, I'm like post correct journals and at the same time shows the current balances at the end of your financial year. Depreciation expense account. As I mentioned previously, there's only one depreciation expense account. So I will select these ones are depreciation method for my furniture. Straight-line method, overriding method was full months. Instead of having rights, I will have effective life of four years. I'll click Save. So it's peripherals, beetles are just checking information one more time. Make sure that it's all up to date and you're happy with details. Register. So now I have all assets from draft register moved to a registered site. So now I can run depreciation. Depreciation will mean that instead of, instead of having this value, I need to post the journal. So to run depreciation, I need to click on Run depreciation, unselect date for which I would like to run depreciation. So e.g. if I would like to run depreciation from 1st, August, 31st, August, click confirm. And system with how posted a journal. And you can see that book value is 634. My printer, 798. Let's round it up is laptop and thousand 725 is office furniture. So at the end of August, office furniture value have reduced from 10,000, 800,725. Okay. So this is a way how you can add assets, asset types, as well as run or post depreciation to show correct book value of your assets on Sarah accounting software. 9. Contacts - add Customers & Suppliers: Where is my gift to limited contact details. So let's check my kid. Nothing. So was it then? I don't have Emma. Was it laura? Laura? No, I don't have Laura. Note it down somewhere here. Maybe here under gift link. When they need to reach out to customers, I actually come up find contact details of this particular customer. So when Sarah accounting software, we can add contact details as well as customer and supplier information, including address, phone numbers and email addresses, so we can reach them in different ways. So let's have a look on next section on Sarah accounting software called Contacts and what you need to know and what you need to do to manage your contacts successfully. So in this section we will cover how we can add a contact, either customers or suppliers on Coursera accounting software. We need to go to section contact. I'm here. We have already free categories called old conflicts, customers and suppliers. At this stage, it doesn't matter if it's customer supplier because only when you will issue invoices, particular customer will be going over separated under customer list. And if you record invoices, Senate will be recorded under suppliers. I will click all contacts. I will have already I will have already details of free of my contacts. And that is because I add that opening balances. One for gift limited, Two for two supplier invoices for book limited on online shop. So how I can add a new contact details. So to add a new contact, click on new contact here. We're presented with contact card. So top section is contact information and bottom section is financial details. What is more aligned with this particular contact, which might be customer or supplier. So let's start from the top. At the top, we need to provide a contact name of this particular, Let's say supplier. In my case, my supplier will be local shop. If I want, I can assign account number. Let's just leave us at this. I can add a contact person name. So e.g. I. Have John john white. And I can add an e-mail other so I can communicate. We cease contact if you have available. Also, if you have phone, fax, mobile number, maybe even direct dial or Skype, Skype name. You can add those details here in this section. Website. They use website e.g. in my case, there's local shop, but if I have for online shop a web address, I can add it's a postal address and a street address. So if postal address will be the same as treat others, you'll be able to click a same as postal address and information will be copied in here. We have two ways. Either we can start typing details here. E.g. green system, we'll find the closest match available. So e.g. I. Will just select address. Details will be automatically pre-filled in for you. If you want to enter manually, don't search by an address, and then manually add information, reserve. So if my street address is the same as postal address, Click same as postal address, and it will be copied from above information. Next section is financial details. Here, I can also default information about local shop. In my case, local shop is a supplier. So instead of filling in details of sales for cell settings information, I will fill in details into purchase settings. Firstly, under here, I can select if details what I will add or information or description what I will add forces supplier will have a tax impact, so it will be tacking tax inclusive or exclusive or no tax. In my case, I will have a taxi plosive default account. I can select if tastes, particular supplier or maybe delivering materials are delivering goods. So if you click on drop-down list, there is expenses already provided. So in my case, our cost of sales of materials will tie would purchase from local shop. If there is VAT details or you have available via TED talks about local shop at company registration number can be added zeros as well, as well as credit limit. If they give you a credit limit. Sales discount doesn't apply because this is a supplier batch payments, I will exclude, but you can add a bank account number, bank account name, and details. And so can be automatically add that when you sending match payment bills due date, I have 30 days off. Don't forget to select from drop-down list after Bill date. In my case, have a look on your agreement with your suppliers so we will know what or which one applies to you. So I have 30 days after the bill date to pay it. Actually. If you if local shop would use etc, accounting software, I would be able to copy their network key here. So Wednesday send or issuing voice, it will automatically saves a copy of draft in my Sarah accounting software as well. So I don't have from local shop external network. Okay, so I will leave it blank. Once you have filled in details, click Save. So now I have local shop limited contact heart here. So firstly, we can automatically from this contact card to issue invoices, quote, also record the bills. So issuing voice is if local shop would be my customer, but it is more my supplier. So mainly this section will apply to me. So if you need to issue a purchase order from local shop, you can go to Contact section, click on local shop. Issue purchase order by clicking purchase orders. Or there is also details about this account, who created them and created all right hand side. We can actually attach contract. So if we have a contract, we can upload file attaching to this account. Under options. We have option to other groups, so we feed grouping suppliers. Then you can add a group and grouped based on maybe regions or maybe on branches relating two branches. We can merge with another account if there is a new company, and this would be a smaller company, but sends a merchant a bigger one. So we can merge two accounts. Or we can also our hypotheses account if you don't want to use it. So it's inactive. Also we can edit. So if we click on edit, we will be brought back to this contact card where we can amend information on details of this customer supplier of contact. Then we have details provided here under the contact details sections, there's key details provided. Also. We can look at financial details. So with this tax inclusive in which purchase category or cost category it falls. And what are the bill terms? So we can add it if we wish to add a new contact. But let's go back to contact section. We can click on new contact. Now, I will add a customer contact. So in my case I have event limited. As my customer. I can add primary person, lost, firstName and lastName if I have an e-mail address, so I will have Jane t, and I will add an e-mail address. Okay. I can add another person who observed multiple people in our persons. What I can reach two, if I need to, I can add more details by clicking Add another person. Another contact detail card is provided. So we can remove it. Then, of course, there are phones, the same contact card like for supplier, where you can add phone, direct dial, mobile number, Skype, also a website can be added zip or postal address. Instead of searching system, I will add it manually. So I will add a green street. Green Town. And postcode. Country is, we'll save just UK. And it's the same as a postal address. So information is copied. Dancer, if you have different street address from a postal address, add it here. Yeah. Financial details, this is my customer. So in this case, there will be cell settings. What I want to add, I will not add information for purchase settings, so undersell settings, I will add no tax in my case because I am not what registered business. But if you have one, you can select if it's. If your cells are including tax or the exclude tax and tax will be calculated on the top. So I will select not tax default account from drop-down lists. I can select events limited actually purely relates to sales of events. If I have that two numbers are details available. You can add those here. Company registration number here, credit limit. I I am giving credit limit of 10,000 to SASE Customer and I have option. So if tastes customer reaches 10,000 pounds, since I haven't paid is 10,000 pounds yet. I can block sending invoices past credit limit. So I wouldn't be or someone from my team would be not able to actually send invoices out because there will be credit block. So when they will clear, so a credit limit was they have reached. So that means that he was able clear balances, 10000s, they will pay them off. They will be able to receive services and we will be able to send invoices out. So this is like a cup, like part of credit control. If you provide a sales discounts we cannot exert. Also, we can select the default currency, in my case it is British pounds. And of course there's batch payments with doesn't apply actually. Instead of bills due date, I will need to add the invoice due date. This case. I have seven days. What I'm giving two events limited to pay after the invoice date over to me. Likewise, ways supplier account, I can also have a network key of events limited if they use Xero accounting software as well. Once I issuing voice, say we'll have a draft invoice already inter account to be able to review. Also post on approved. So once you have added the toll details, click Save. The same like ways. Local shop from immense limited. I can issue invoices and quotes because of this, customer bills and purchase orders doesn't apply. So first four sections, but I can directly do from even some limited account. On the right-hand side, I can add the contract and I can add to group merge or our HIV as well. And of course I can edit any details. Here is a summary details about events, limited contact details. If I need to change, I can change it by editing account as well as changing any other information on here. Maybe I want to remove credit limits if there is no credit, credit limits for this particular customer. So if I go to back to contacts list. So if I look on live events, limited source free dots on, if I click on these three dots, I can edit directly from this list of a contact or I can directly are high if it becomes inactive customer. So if I select multiple contacts, then I have option to our HIV or add to a group if I wish to. Then once I'm Alicia, invoices to customers than events limited will actually show up on their customers. In this case, I have gift limited, so opening balance for that one invoice of receivables. At once. I will record invoices from local shop. Same will show up under supplier. So currently I have booked limited on online shops are showing up if I have details available. So e.g. for customer gift limit, if I got that phone number on contact details, It's an icon edit this account and provide details are feeling details here and save account. So in this episode, I showed you how you can add a contact details, even supplier and customer, and specify the financial settings, I would say, or more settings that relates to customers or to suppliers. So yeah, we covered contact section now. 10. Create Items list of Products & Services: Every time when I would issue in voice of the customer, I would need to type in description line, select an income category as well as a price. So this is what manual, right? So it's easier way to do it. Ok, Sarah, accounting software, I can create my own items list. On some items list, I can create separate item, product what I'm selling in this case, I'm selling my notebooks and planners. So I can add information about my notebooks and planners. Select an income category as well as the price for how much I would sell my notebooks and Kovner's. Same. I can add the services like for online course or for providing my event planning and organizing services. So once they issue invoices, I can just select this item from drop-down list and it will pre-fill details in fields. I can, of course, our mentors at a later time if I wish to. But not only I can create an item list for services and products that they sell to customers. I can also add to this list products and services that I incur as a business. So e.g. if I have an Internet bill, hello phone bill, I have rent bill. I can already create an item list four C's services as well. Aside from creating these items list for services and products that I incur on what I sell. I can also manage an inventory for products, e.g. for my notebooks and planners. So I know how many items I still have in a stock. So why not if I need to reorder more? So let's have a look for next section called products and services. And let's create my own items list. Let's create items list. To create a products and services or list of my items, we need to go to business section and service products and services. So to add a new item, click on new item. If you have a list of items, you can actually import them as opening balances or as an items. In my case, I will add one by one. Okay? So this is a simple items card. So it has code which you need to add a description if you want to track inventory items and you can select this. In that case, you will need to fill in details for purchase side. So how much you pay for this item, sell-side for how much you sell beside them. So let's fill in details. So first one, I will add a service. So in my case, I will have code service. I will call as event, a name. I will have event. I will call up to 50 people. I will not track inventory because that is a service. Don't purchase this service. So I just sell. So sales price for up to 50 people is thousand 500. Please note that you can still, you will be able to still amend these details. These are just the prices on sales accounts which will save a time for you when you will need to pick up from drop-down list, it will just fill in details for you in one go. So sales price is 1,000, 500 sales account. Because I have already created sales events, I can allocate that tastes income stream or money. What I will issue an invoice for Koko to sales events. And of course there is no VAT. In my case, if you are registered business from this drop-down list, select the one which applies to you. And description. It's automatically picked up from what you added for each item details. So actually I will add even 50 because I will have different quantities of people and package price will depend on how many guests who will be attending this event. I can save and add another one, or I can save, and then I will be brought to the whole items list. I will click Save and Add Another one. I will just copy information, save and add another one. So next one, I have event. Coal hundred 200 people. The same. I'm just providing services. So sales price in this case is 10,500 cells account event, no tax, and up to 100 people save and add another one. Next one is actually my note pads or planners, what I would sell code. I can call this one as a book. A name I will put us event. And I want actually track inventory forces items. So I will click track inventory item. This is automatically defaulted code for inventory asset account. If you want to change it, amend or create new account called may be stopped if you want, and then select when you have allocated to stock or inventory asset account. So now you can de-select, purchase a new kind of de-select cell. So I need to add an information for how much I actually purchased this notebook planner for how much I actually sell them. So cost, cost price, in my case it's 15 pounds. And I can select Cost of Goods Sold. And as I said, I had created separate expense, direct expense cold called cost of sales note, but I'm planners. There is no tax rate in wall because I'm not what registered business in this course. But if you are selecting one which would apply to you. And it's big sample ready description, event planner and notebook. Now I need to add cell details. So I'm selling this notebook for 29, 99, 99 sales account. I have separate cells or income stream called sales North button planners. If you have tax rate applicable, as I said previously, select the one which applies to you. I will click Save and Add Another. Okay? So now I have added my income streams. I have another one lived, and it's online course. So I will call up another course called online course. There is no inventory to track because it's a service and no purchase price. So it's purely sell price. If he's 50, sales price per month as a subscription. And I haven't the income stream for online course called sales online course. I can save. So now I'm, I, I'm brought back to my list of items. And as you can see, even planner and notebook got cost price. Is that how much it cost to meet purchaser obtain one event planner. This is a sale price for how much I actually sell. C is not even planets and notebooks. Currently I have zero stock. If I click on three dots, I can archive. So once the stock item will become an inactive, I can actually are hybrid. If I have no quantities, are assigned seats and I can also delete this line. All other are my sales price or my income streams. But as I mentioned, I can also create an item list for services what I obtain, e.g. for rent, phone bills or internet charges. In the same way how we added online course events on even, even planet notebook. I will need to create a new item. I will add code, e.g. the rent. Okay. I will not track inventory, but I will add a purchase price. I don't sell rent, so I will deselect cell, so there's no need for me to add selling information. So cost price for me is 550. Purchase account. I can search by rent. So I already allocating expense account to this line. Description of monthly rent. I will save and add another one, and I will add another one for phone. Okay. So now I have added two items which relates to my expenses, like for what I would pay. And you can see that there is no selling price, the blank, but pricing shows up on cost price. E.g. if you, if I would say purchase and sell my product. So it would be like delivery or courier costs involved. Then I can also add an item for delivery. So I will call the post and I can call it delivering shipping. There's no tracking inventory item. However, I have set one price and delivery charges to 99. Purchase account. Courier, postage frightened Korea. Okay? So same for selling. I will have 299 cent price and I will call that one as a courier. Courier. And I will save it. So now I have had the delivery and shipping 99.2 99. So this is the way how we can create an items list, even for items who we would boil our services or products, what we would sell to our customers, or services or products, what we would purchase from our suppliers. 11. Create Purchase Orders & convert to Bills: I'm so happy today because I have received free s'mores offline. Know it looks on say all three look amazing. Supply requested me to issue a purchase order for someone to or maybe all free planners, if I will, be sent to print them, like print on demand, I would say. So. How we can issue purchase orders from several accounting software. Another point is once I will receive my goods back, printed on boxed from supplier, will send me supplier invoices. Well, instead, I think the supplier invoice manually on etc, accounting software. I can use purchase order and convert it to supplier invoice. Say a couple of steps of manually entering your voice. So let's have a look and etc. Accounting software, how I can issue purchase orders and converts this point purchase orders to supplier invoices. Once I have received supplier invoice and buy goods. So how we can issue a purchase order to book limited for my notepad or even planner. We need to go to business section on from here. So resection called purchase orders. Also, we can issue purchase orders from Quick Links. And Quick Links is under this plus sign. From here. Click on purchase order. So this is a purchase order templates that we need to fill in. Let's start from the top. Firstly, we need to select Contact. When you start to type in details. If you contact is already on the list, you'll be able to select it. But if you need to add a new contact, click on add a new contact of plus nu conduct. My case. This purchase order is for book limited. Date of purchase order. I will select, Let's say fifth of July delivery date. If I have information available, I can select so e.g. misinformed in days purchase order number I amended the my very first purchase order. I amended in settings that it will start from 11, so I can keep it, sir. I'm also I can add a reference if I want to. E.g. I. Can call project planners if I wish to. Here on top corner, I can actually attach a support documents if I want. So e.g. if I want to add particular design node, I had free samples. So I can actually attach a picture which one I want to go for or any specific locations. So you can use this one to attach support documents. Now, as I have add the tolerant the items I will be able to select from my list book, even planners. But if it's completely new product, you can add an item, click on add an item. And you will be presented with a pop-up where you can add the item code, item name. And then you can say that if you purchase this item, what would be price, what would be expense or direct expense account, tax rate, purchase description. And if you also sell suicide them, then you can select and add selling price of this product as well or item. And it will be, this new item will be added to your item list as well. If you click on trucks, this item is mandatory fields to fill in, so you cannot deselect. I sell this item or I purchased this item. So let's go back to my items and let's select my books, even planners. So I add that the price of one event planner was 15 pounds. That would be purchased price for time would pay. I want to order 100 of these planners. It will automatically go to Inventory. One, once I will sell items, system will automatically post the journal from inventory to expenses code. Yeah. So if I want, I can apply a discount. So we've supplier gives me a discount. I can add this here as a percentage. I have selected since there is no VAT and amounts are taxed exclusive, there is thousand 500 sis purchase order value 400. My event planners on notebooks. If I need, I can add new line or if you click on drop-down list, you can actually add five lines, ten or 20. So if you have big purchase order to provide with maybe 30 lines of different products or items, you can actually add a batch of empty rows. I can delete this one. So I have only one row here. I can change the delivery address. So if I click on delivery address, I can add the new address. I can add one of address or search from a contacts. It's possible answers, physical address. So if I have two different addresses and I can select which they need to deliver these goods. I can add an attention. So if I want, I can add e.g. Mr. White or Mr. Smith. I can add a phone number and also I can add the delivery instructions. Maybe it's Theresa special code to enter a building or need to give a call or other restrictions what career should be aware of. So this can be added zero. Then on left-hand side, we can save as a draft, Save and Continue Editing just purchase order. We can save and submit for approval, save and add another one. So if I'm the only one who uses this system, so Sarah accounting software, I don't have employees or I don't have a team members to share access, then I can automatically approve and add another purchase order or approved. But if you have like here or here of permissions and approvals in place, it's a new can, click, save, and submit for approval. Okay? So this case, if you go to business and I will click on purchase orders, all purchaser showing here, but status is showing that it's awaiting approval. So if you have approval rights, you will be able to select this purchase order. Or even if you have massive list of purchase orders. Click on Approve. You can also print, send, and delete if you want. This is purchase order to be deleted from system. My case I will firstly approved. So I will click Approve this purchase order. Now from awaiting approval, my approved purchase order has moved to approved. And from here, I can either select an print or download if I want or send out to a supplier. So if I click on this purchase order, I can also send this purchase order from our actual purchase order environment. So I will click Send. I need to add the details, so I will add my e-mail address so I can send a purchase order out. You can still a man details of this email. Also, we can de-select not to mark a cent wish, but I would prefer to be marked as a sense of why knows that I have sent this purchase order out to a supplier. And also I can request to send a copy to myself so I can actually be make sure that purchase order, what I distributed, it's actually went through from a system. Solves both are optional and click Send. Now purchase order has been sent, it's approved and also send status deserve. If you want under Options section, we can still edit, we can delete, we can copy, or we can unmarked send. If for any reason we have actually received supplier invoice and we have added it separately so we can actually Marxist purchase order as built. So it's not showing as an open on a system. So let's go to purchase orders. And now it's showing that purchase order delivery date plan plus 19 July and it has been sent out. Expected arrival. I can add date unknown if I want to, so I can add expected arrival. So e.g. fifth, note in delivery. And I can click save. So now I have added note that CSP and expected arrival is fifth of August. Yeah. So now, when I have received the goods from book limited, how I can actually use this purchase order information and convert it to supplier invoice. So I can select this purchase order and click Copy to. If I go to actually to this purchase order under options, I can click on Copy to from here as well. So copy two. And now we can select, we want to copy this one. So feel is a supplier invoice. So I want to turn this purchase order into a supplier invoice which will need to be paid by me. I also, if I receive stock in a batches, so instead of receiving all hundred, I have received maybe 50. It's an icon de-select this one are not marked as purchase order as fully build yet. So e.g. if I have received supplier invoice for 54 first 50 books, notebooks, and then I receive couple of days later another invoice for another 50. It's an icon separately add sauce, and once I add it or created last batch of. Or converting last supplier invoice from a purchase order makes sure that you marked as purchase orders fully built. So it's not showing us open yet. I will create a draft. So now I want to convert this purchase order to a new bill. Here. I have a date where I can select a supplier invoice date, my case, I will select 5 July due date. It's showing for for for August, but I will select I will have two weeks to pay. Reference number is project planners, but I can use a purchase order number if I wish to not purchase order, I will use in this case supplier invoice numbers. So I have Bu 08 2022. I can attach support document, so copy of the supplier invoice. So click by upload files. I have book 0822, supplier in wiser. I'll click open. So it has attached file. So it's all a 22. Okay? I can change currency still if I want. Not suggest because purchase order matches often with the supplier, the noise unless sending a bachelor's, as I mentioned. If there is any delivery charges, we can add additional line for multiple lines if Serbian like admin fees or maybe they're being discounted given so I can add saucer. Otherwise, I can save as a draft, Save and Continue Editing says invoice, save and submit for approval, Save and Add Another one. As I mentioned, if you haven't, if you have multiple team members and I have only permission to submit for approval, then I would click Save and Submit approval. And someone who've got approval rights will be able to approve this invoice on IT system. As I have approval rights and I'm the only one user at the moment, I will approve. I'll just click Approve. So I will approve this supplier invoice on IT system. So now when I go to bills to pay, raise book limited invoice for 1,000, 500, which been converted actually from a purchase order. So if I go under business and click on purchase orders, status has been changed for this purchase order to build. So in this section, I showed you how you can create a purchase orders. Send purchase orders out of Sarah accounting software. Mark as approved, as well as send as well as how we can convert purchase order to a supplier invoice and even some like save on, Save for approval. Or we can approve it directly if you have permission to approve supplier invoices directly on etc, accounting software. 12. Add Bills, Recurring Bills & Credit Notes: So a couple of supplier invoices which I need to check out. So I have a rent bill which occurs every month. Also, I have Internet bill, phone bill. So I can also set up as a recurring invoices supply over occurring in meiosis. I have received just parcel from supplier probe which I ordered a favor by x. So I should have received ten favorite bag. Let's check how they look like. The queue. 2345678. I ordered 101-23-4567. Oh, just eight. Okay. Maybe Ms. Counted I need to request a credit note to supplier for two missing favorite bags. So how I can record supplier invoices, recurring supplier invoices, as well as credit note on external accounting software. So now let's add a repeating supplier, invoices or bills like phone bill, Internet bill, and rent bill. What? I have a contract for a certain a long time period. What I can actually create two, I will not need to enter supplier invoices on a monthly basis. Also, how we can add supplier invoice and also credit note for a missing items that they haven't received. So to add the supplier invoices, firstly, starting with a rented noise, we need to go into business and bills to pay section from here. So this little triangle from drop-down list, we can create the new bill or we can set up a new repeating bills. So in my case, I will set up a new repeating built photo rent in this case. So at the top, firstly, I can attach a support document e.g. I. Will upload file. It might be a rent payment schedule or contract. So I will have a rent. Okay. So support document would be added, sir. Now, I can select so repeat this tract transaction. Every one month or from drop-down list you can select a weeks. So 30-year, 54 weeks. So it's not exactly 12 months. So if you receive, let's say invoice every fourth week, actually, you will help 30 invoices per year. So make sure that, you know, how often does this transaction or this entry of a supplier invoice should appear on your account. In my case, it's every one month. So Bill date. So first bill date I will select of 11. Okay. And due date is I have actually seven days upset. They obviously bill date. Yeah. I can select and date. It is optional, but I know that my contract actually will finish at the end of December, so I will add an end date. I can save as a draft sees new repeating bill or I can automatically select as a proof. So if I don't have enough proved right? Of course I have will have an option just to save as a draft. So information can be reviewed. Maybe something needs to be changed or amended. Bill from and I can select build from what? I will say rent. And there is already a list of my contacts. So I selected rent limited and I can add reference. E.g. I. Will have rent as a reference from an items list. If you have added rent on your items list, you'll be able to select my case. I have monthly rent. These are the 550 and it's already allocated to expense account called rent. I have no VAT. If you have VAT, you can change here. And also you can change the currency or add the new currency. If you need to add to this particular supplier invoice. We can add the more new lines. Or a batch of lines. Once you are happy with this information, click Save. So now I have repeating NYC stop appearing here. So I hope for rent every one month. And also it's showing as a little small number one set means that there is attachment to this particular repeating or recurring supplier Bill. I can scrape the same for phone and for Internet charges. So I will add those two as well. So now I have added two more. I have added Internet repeating bill, phone repeating bill. If I select, I can actually delete these templates if I wish to. So when I go to drought section says free bills actually should have been created already automatically because I'm already at the beginning of August. So because I set up since I started from July, since there should be free noises in a drop. Here there are so there's internet, rent, and phone bills for these amounts already in a dropped stages as I have approval. Right. So I can either submit for approval or I can approve automatically. Also, I can delete them and print if I wish to. So it is also showing that sees free items total up to 710 pounds. As an information. I will click Approve. I will click. Okay. I shouldn't be under awaiting payment section when I go to awaiting payment. Source free invoices or how appear up here. If you don't want to set up a recurring invoice, then we just need to add a new bill and will need to enter it manually. Only thing, what is different? There is no top section advising you to set up a frequency of this repeating bill. So e.g. I. Will add bill for utilities. So I'm selecting my supplier. I'm selecting invoice date. So I will select 15 due date. I will select leave as a 14, 40 days payment terms reference. I will have utilities, invoice 07 2022. I can attach by uploading files. So I have support file. It's actually 1234. Okay. And I can change the currency if I have this invoice need to be entered in different currencies. I can add it here and I can select an item. So I had already item added to my list utilities, 450 Syriza charges. Okay. So likewise with other ones we can save as a draft and maybe we need to amend or query something or we can approve it directly for you. Approval rate. Okay. So I have approved supplier invoice. So now let's go back to bills to pay. I received the materials on invoice from an online shop, so I'll create a new bill. Online shop. I received say on the fifth due date is actually the reference. I have online shop 1234. Okay. I will attach support document and I have items that are what I received. If I don't want to add an actual new item product, I can just type in description and add on. It'll be like a one-off. So I had the ten, I have received favorite bucks and they receive supplier built for ten, the price of 150. I count. My case. It's this will go to Materials for 15 pounds. Plus I had the shipping. 299 charged as well. So I will approve this supplier invoice. When I actually received my product or my product or my materials, I notice that from these ten favorite bucks only received eight. So supplier send me a credit note. How I can record credit node. So there's two ways. Either we can add the new credit note here. So when I click new credit note here, I can add the detail. So e.g. I. Can add online shop. I can add a date, I can add the information. I can attach support document and fill in details for what's his credit note being being issued. However, it's the easiest way if I know to which invoice actually is is credit note relates to an icon, go to bills to pay. I will go to awaiting payment. Will click on this invoice. Now, I can under bill options, I can actually add a credit note. In this case, system will automatically allocate, will allocate credit node to this particular in Weiss supplier invoice. So let's add credit node system already read information from an invoice, which makes life easier, right? So what I received credit note for I received for two favorite bags. Also say issued credit note for a delivery or shipping charges for 299. Because if I decide to reorder, then they would charge to 99 for those two bucks at a later time. So total credits for me was issued for 599, I can say and sent for approval or I can approve if you have approval. Right. Fine. 99 I need to update. Okay. So now when I go bills to pay section, I'm looking at awaiting payment. Online shop amount has reduced to 12 pounds. So if I click on this supplier invoice, here is the information that invoice supplied in what was for 17 99, but there is credit note applied for 599. So when I click on credit note, I have option actually print this invoice or download credit note, note invoice. I have also crinkled options, e.g. to copy or also edit. So if I go to All bills to pay, there is a credit note showing up on there. All it will not show up under awaiting payment. So you will be able to see credit node entered under all because it's linked to this above the noise. So in this episode or section, I showed you how you can add repeating bills are set up repeating supplier invoices on Sarah accounting software. How you can manually supplier invoices on if you want to add it on a monthly or weekly or even daily basis, as well as how we can issue a credit note, not issue. I'm correcting standing corrected code. We can record supplier issued credit node, as well as if we have still invoice open and not paid. How we can issue credit note or allocate credit note from actual supplier invoice. Like a template. So yeah, we covered now all about bills to pay. 13. Record Expenses: I have spent some cash as well as made some credit card purchases to get some materials and supplies for my event organizing and planning business. So I have copies of receipt. So how I can record these as cash expenses or mileage expenses or just an expense unmarked us hate once I help pay for this particular expense. Plus how I can keep a digital copy of C3 see on Sarah accounting software. So let's have a look at next section called expenses. So let's look at expenses section now. So to add the receipts, we need to go to business and expense claims section. Firstly, we need to set up expenses. So we need to add receipt analysis and accounts and etc. So if I want, I can turn on receipt analysis or I can skip for now. Now I need to select expense claim account. So what kind of type of expenses employees will be able to claim? So firstly, semi be cost of self for materials, not for notepads, sir, might be something relating to advertising marketing. There might be postage as well. Some general expenses. Okay, printing and stationary. Maybe more thorough medical expenses. I will select for the time being. Then some repairs and maintenance maybe. Go through list and select which ones you think. Z-scores will be only codes available to allocate to receipt once you will record as an expenses. So travel national and travel internationally. I will select Houston accounts for expense claims. Okay. Now, I need to select account for mileage claim account. Most likely is that will be only one and it will be motor vehicle expenses. Okay. Use one account for mileage claim in my case. Roles for your teams. So at this moment, I have my account, you have expense role as an admin. So if you want, you will be able to change them. Fruit settings section I'm selecting a moment is just me for now. And click on Get Started. Now. We have to expense types. So when you click on this drop-down list, we can have an expense climb. So e.g. if you purchase stationary for officer needed to send an envelope. So you have postage costs as well. And then there is a mileage claim. So have a look at mileage claim. We will look at mileage claim afterwards. We will start with explains claim first. So when I click on expense claim, I can upload an image. So in my case, I will select a receipt. On this case, I will have materials purchased for 33, 35. I will click Open. There is a details of my cash receipt. I have two options. Either I can select a one amount or I can itemize. So if I click on itemize, I will be able to add details line-by-line, so many money spent at, and I need to select where I spent this money. And I will say that it was paper limited shop. And I can select when I spend this money on and I will select it, They actually spend money on last Friday. Label. If I want to label up, I can add, but it's optional. And now I can add line-by-line. So first one, I purchased pen. I will select account as printing and stationary. Know that. And I will add an amount of 150 I can assign to and I can assign to customer if I wish to, I will just enter line-by-line. Next one, I will add what I purchased for 450. I will put post dots. It's the same, I hope printing and stationary for, for 50. Then I have a marker. Okay. So using my receipt, the left-hand side, I actually entered itemized expense. Okay. So we'll delete this one. So it's effective free 35, if I want, I can add tags if I wish to. Then onto top, I have option to save a draft, submit or approve. If I have approval, right? The three dots, I can save draft and add another expense. I can submit an add another one or a proven add another one. So as I have an approval rights, I will not prove and I will add another expense. So now I will click on Upload and I will select another expense. Once was post notes mentioned. Okay. But instead the fight to mice, I will just add one total amount. So what was it four, I will select it. This is for mixed materials for event planning. Spend at call it a pin limited. And I can select date when I actually spend this money. I spend on 30, factually, select an account so I can select virus. These costs are going on in my case, it's cost of sales materials. I can assign the customer if I wish to another label. So likewise with other expense, I can save a draft. So in this case I will save as a draft. So now when I go to information, I can see there is a pin limited fatigue is in draft status. On these three dots, I can edit or I can delete. So if I click on an Edit, I can submit a receipt for approval. When I go to Review tab. I can actually approve because I have approval right next to approve. I have option to approve the client actually is this expense or the lead. So if I approve expense has been moved to pay section. Okay. So how we can mark sees expenses as paid on the top. So firstly, to pay section. Okay, let's go from beginning. So firstly, I can see all what I have added. So under your own, I can see what expenses I have auditory system to review. It's actually what what's needed to be reviewed, approved actually went to pay now. And now I have an option to pay expenses. So if I use the cache, what I took out from my bank account, so when I withdrawn, I can pay all. So clicking on pay all. And now I have an option to select both of them and make a payment or scheduled payments. Or if I want, I can open one by one. E.g. here are the details. Whens is payment has been made. So if I go back to expenses, click pay all. Select both of set. I will click, Make Payment. I will click pay to builds. And now I can choose an account from which I have paid. And in my case, I paid for my cash account. Choose a payment method. I can create a payment file or mark as paid. So if I select the mark of pizza will be mocked the spec. If I create a payment file, I can add the details like bank account, sort code, account if required. So I will select the mark as paid. Create payment. So this is a slip of payment, what's been marked as a pain. I can finish on view batch. This is my badge. I can export this patch. I can print or download the batch. I can also send remittance to Rita. So if I click sudden send remittance, I can click on Send. So details will be assigned, advising set. These two expenses have been paid. And under options, I have option to view remittance mark is reconciled and it batch or remove or unreadable. So if I want, so there's multiple options to select from. So if I go back to business and look an expense claims, since there is nothing left to pay, nothing to review. So when I click on All, I can see both expenses are marked as PE now. So if we need to do a mileage claim, so if we click on mileage claim, we can upload the receipt. So e.g. I. Have fuel for 479, then I can add mileage to claim. So e.g. I. Have traveled maybe 57 mi and miles, I think so it was not 0.45 description. I can say meeting supplier, select the date when I traveled. I can select an account. So I have only one account but I have allocated for my image claims. So I will say motor vehicle expenses. I can assign to customer. I can also add the label. Otherwise system how calculated since there is 57 mi at a rate of naught, 0.45, total is 25 65. I can save this mileage claim was a draft submit for approval approved if I have approval rights from drop-down list, I have multiple options to select from as well. I will just approve this mileage claim. This has been approved and I have option to edit or decline. So in this section, expense claims, I went through how you can upload receipt, how you can add as a one line expense or itemized expense on etc. Accounting software. How you can mark sources paid once you how paid to your employee, e.g. as well as how you can add a mileage expense claims on Sarah accounting software. 14. Sales [Set up Recurring Invoices & Issue Invoices]: So currently I'm working on three separate events. I have wedding to organize and plan. I have cooperate, even plan on organized as well, as well as birthday party in bright green and orange, yellow colors. So how I can issue noises to all these customers from Cerro accounting software, as well as issuing invoices to customers for S3 events. I need to also set up a recurring invoice because I have someone who signed up for my online course. So let's say she noises as well as setup recurring invoice or set of accounting software. Now, let's have a look how we can issue sales invoices, as well as setup recurring invoices for my online course subscriber. So to set up, let's start with recurring Illinois. Firstly, we need to go to invoices under business section. Here. We will be able to issue invoices, also set up a recurring invoices. To set them recurring invoice, we need to click on this drop-down list. We can add a new repeating invoice. Here at the top. Firstly, we can attach a support document if we want. So e.g. there is agreement between me and my online course subscribers so I can attach support document. Then I need to select how often recurring invoice will repeat or recur. So frequency eBay to repeat every month, maybe every third month, which would be water or maybe based on a week count. In my case, it will be every month and first invoice will be issued actually should have been issued on 20th of July. I will select. Okay. You the person actually has zero days to pay after the invoice date, so they need to actually pay it immediately. See subscriber took on course for next five months. So it will be July, August, September, October, November. So at the end of November, this repeat sales invoice or recurring sales invoice should actually stop. So you can amend or leak completely bank, if this is just continuous recurring sales invoice. I have couple of options. I can save this as a draft. I can automatically approve or approved for sending. In my case, I will select it. I will approve this invoice because there is already five invoices needs to be sent out. Now I can select to whom say sinuous will be issued. In my case, it is to Jane. So as I have events limited, but I don't have Jane. I can add a new contacts, so I will have Jane Smith and click on new contact. So once this content has been added, so there'll be no phone number or email address. I will need to go to contact cards later on, update that information or add. So this is a new and I can add a reference and I will add an online course. Now, I need to select an item. In my case, I have online course, because it's been already on my item list. I can select the quantity. In this case, I will select one at 54. Next five months, I will receive in revenue 250 pounds. There is no VAT account is already selected. If I want to add the discount, I can add this as well. If I'm happy with all information about, I can say, but before I click Save, I can also add a node. If I want something to add. On click save. Now. Resist tab under our invoices called repeating. If I click on Jane Smith, I have an option to amend this recurring invoice if I wish to. But please remember that. Once you do any changes, don't forget to click on say. Also, we can completely delete this recurring invoice. It shouldn't repeat. I will click Cancel because I haven't done any changes. So now because I have approved this online course and it started as a recurring invoice from July. So when I go to awaiting payment. Jane Smith invoice already created an awaiting approval to make sure that my customer have received. I can actually go into this invoice created and if I want, I can preview it. So there is my logo, so there's my details. And it's showing that this 16 days overdue mobile phone overview looks good as well. So I can e-mail to this customer if I haven't emailed. So if I click on e-mail, this e-mail will be a copy of invoice, will be sent out. But please make sure that you include files as attachments. Include the PDF is attachment are selected, otherwise, it will be not attaching a separate PDF file. So select from the options below. Also, I need to add an e-mail address of Jane because she's a new customer. So when I send when I send this e-mail out, CSP customer actually receives it. Otherwise, it will not allow you to send this invoice out. So I will add my e-mail address or customer's email address to whom I need to distribute this out. If I want to receive a copy, I can select. Otherwise I can de-select. I don't receive a copy of so sinuous. Click Send. Now, email has been sent out, series notice or message things that are awaiting payment. We can print or download this invoice. We can attach a support documents if you want. Another invoice options. We can mark this invoices void, so we don't expect to receive money is being issued maybe in an error or any other reasons why we would avoid sin wise? We can copy say sin y x2, e.g. new invoice, purchase order or bill if needed. Also, we can edit it. We can add a credit note or shirts, this invoice if required. Okay. So we set up a recurring invoice. Now how we can actually issue invoices to all my customers for whom I'm working on this project. So I had a stable set of four wedding I had table or even planning for corporate business as well as birthday party celebration tables set up on event planning. So we need to create a new invoice salt. Let's click on New invoice. Difference between recurring go repeating sales invoice on this new invoices is no frequency at the top to enter. So what we will do, we will select our customer. So I have events limited. We'll select the date. So e.g. I. Have on 11 July July invoice is automatically generated by system. If you have a purchase order from customer to quote, we can quoted here. So e.g. I. Have birthday party. I can attach support document if I wish. And then I can change the currency and set up online payment. If you click on Setup online payment, you will be brought to a setting section in your settings. And then you can enable stripe go cordless or Paypal if you wish to. Items. In my case, I have event up to 50 people, 4,500. And I'm happy with this information and I can save and submit for approval. Next invoice for cooperative and same for events. And invoice date just stated. We will say 15 invoice number 01103 and item I hope even up to 100 people. But in this case, I will have more expensive rate agreed, which is at 5,000 pounds. Yep. 4,000 pounds. And I will approve this one directly. Okay. Also, I have purchase of two planners. So I can click on New invoice. I will select. I have Lucy Lucy Green. She purchased from me on 19th. And she purchased from me to planners. So I can select book and even planners. When I leave, when I click on quantity, I actually can see how many notebooks are planners I have in stock. So example, if I tried to enter hundred one sees color changes too. Red, notifying me that I have only hundreds in my stock. So Lucy have order for me to know notebooks planners, so there's no discount. And also I will add a shipping charge of 299. And as you can see, cease codes automatically. Once I added these items, I already selected accounts where they need to be coded. System automatically fills in fills in details which just makes life easier, right? I will approve this one invoice as well. Now, I had an invoice which I need to issue for wedding. For wedding. So table setup invoice on it goes for hotel limited. Hotel limited. And it would be issued on, let's say 25. And instead of having an item, I will add us reading tables setup. And I will add that I had 120 guests at a price of ten. So it's 10,200. And I will click proof. Okay, So now this is a way how we can set up a recurring or repeating sales invoices for in my case, I set up for online course for next five months so we can see how we can actually issue invoices to customers. So now what I have left to do is e.g. if I click on Events limited, I can email this out to email events limited. I will click Send. And I also need to send out to Hotels Ltd an invoice as well. So click on email. I'm click Send. 15. Issue Credit Notes to customers: So I have just sent the last thing noise. It should have been estimate how I can issue credit note on cetera accounting software. So if you have issued an invoice which needs to be credited at a later time. How you can issue a credit note? Concentrated, Rita, concentrate. So how do I can issue credit node? As you can see, email has been sent successfully, say should have been not send out as an invoice. So how we can issue credit note. So if I know that this particular invoice should be credited, say, easiest and most quickest way to do it is through invoice options. Here we can click on Add credit note. So this would convert actual sales invoice to a credit note, bringing all information from invoice to a credit note. At the top, I'm checking all details. I need to select the date of actually actual credit, no credit note number. I can add a reference. It's optional if you want. You can add it some information about setup and details. And if I'm happy, I can save it as on submit for approval or approve directly. In my case, I will approve it directly. Just don't forget to send it out to a customer as well. So now this invoice has been sent. And when I go scroll a little bit down, of course, firstly, credit null has been approved. I can see is that there is no amount due for the same voice, but there is a information saying that there is less credit notes are not actually less a payment, but actual credit node. When I click on this credit node, I can actually e-mail it out to a client. So in my case, I will distribute this out automatically. So customer don't think that I have sent an invoice. Okay. So if I go back to my business, I'm looking at my invoices. I can see that hotel invoice hotel limit that invoice has been marked as paid. And also if I'm looking credit node has been marked as paid. So if I click on this invoice, so there is a details, as I said, she's been paid by a credit now to offset. So if you want to issue a credit note of how we can issue just the credit note and maybe at a later time to allocate to future invoices if required. We can go to invoices section and other talk from options where you can select what to do. We have an option to issue a new credit node. So click on your credit card. Select to whom you want to issues is credit node. So we might case I will select it event limited. I will select data 5th of August credit note, and I can add information to this particular credit notes. So e.g. this was for event up to 50 people, 4,500. Maybe I had a discount provided, so I will let say hundred 50. I would answer and I can add this count. And then I can save and submit for approval system to download it. So when I click on I awaiting approval section services, credit note awaiting approval. So someone who have approval rights on Coursera accounting software will be able to select an approved the lead, print, e-mail, or even copy if required. So this is a way how we can issue credit nodes, either credit node from an actual invoice, which will be automatically allocated to invoice or actually creating completely new credit node. And we can later to allocate this credit note to an invoice. Or we will decide maybe refund amount to a customer based on this credit node amount. 16. Create and issue Quotes: Send notes that I have sent out a credit note and my apology to a customer, I can actually create a code of a table setup for this wedding event. And once a customer will come back to me and we'll say, since they are happy with the pricing and how's the table setup looks like? I will be able to approve or confirm this quote and convert to an invoice and distribute out to this customer. So first steps first, Let's issue or create a quote. This is a way how we can issue a quote to our customers. So we need to go to business section. And there is a separate section called quotes. So we can create a new quote by clicking on new quote here. Also, if you are on your dashboard homepage, you can issue a quote from your Quick Links. So quick links are under this plus button, so there's multiple choices, but we're looking at water the moment. So let's add a new quarter issue quote for his wedding even tables setup. Firstly, we need to find our customer, and it was Hotels Ltd. Hotel limited. If you want to add a new customer, just typing and add a new customer, you'll be able to create quote for completely new customer. Let's select the date. So my case, I had a July if there is expired, that we can add expiry date otherwise leave blank Quote number is automatically created by system because in settings I changed. So they want to start from 51 twice system shows that first quote is Number 51. I can add a reference. I will say reading my currency is British pounds. But from drop-down list, I have two other currencies at that as well. I can select for ammonium salts or add completely new currency if I wish to, I will stick to my British counts currency. Okay? Now, I can either select for my, I'm least items list or I can add a new item. In that case, I brought brought back to products and services area where I can add a new item by clicking on new item. Or I can just add the description on not create a new item. So in my case, I will have a description called Reading table setup. I will have a quantity, so I have on other people, so I have hundred 20 at the price average of ten pounds. If I want to add a discount on a quote, I can add it here. Otherwise leave blank. It's automatically default to sales and sales events. If I want, I can select any other income or revenue or turnover stream if I wish to. I believe two events. So there's no VAT included on a mountain thousand 200. I can add the terms if I wish. Plus I can attach a support file if I want to attach. So once we are happy, instead of clicking at the bottom, we need to scroll to top. We have an option to seven, close this quote, save and add another quote. We can send this quote or mark ascend. Maybe if I help e.g. download it and share the hard copy of this quote. It's an in that case, I can mark a send from a system. My case, I will send this code out to Hotels Ltd. E-mail address of my hotel limited. I can add more details if I wish to. Plus I can select if I want to receive a copy of this, quote. Otherwise, if you're happy with all information, click Send. Now, hope the quote has been sent to Hotels Limited, and also it's marked as a send here. Now, if I go to business and look at quotes, hotel limited quote should be listed down here. Also. It's under all, but I can see in which stage it is. So currently it is in stage cent. So if I can, if I click on Center, I will be able to see all quotes and there's nothing declined or nothing except at the moment. So if I click on All Services, little bit more details on each sayings. That is since status as cent. So once hotel limited, how reviewed this quote? If I click on this quote, I have options actually. To Marx's quote as accepted. Also on the three dots, I have option to mark as declined. So e.g. if customers are not happy with this quote, Our say, don't want to proceed, they might decide to decline. Also, say my asked me to revise a pricing. Maybe they have suggested that quantity changed since I want to, for me to send a revised quote. I can also copy and delete and look and invoicing settings. We might case hotel limited. How came back to me and they said that say how approved says quote, asked me to issue an invoice. So I will mark this as accepted and no status of this quote from sin has changed to accepted. So if I go to my list of quotes, says quote status has moved to accept it. And also from send, it has been moved to accept that section. From here. When I click on this quote, I have an option, create an invoice, and this is what I will do exactly. So click on create an invoice. Plus I want to mark this quote as invoice. Click Create. Now we are in invoices section. So this is a new invoice for hotel limited. Select an invoice date and we'll select 20th of July. Automatically invoice number is automatically generated, reference number is reading table setup. Pounds information is the same as per quote. I can save and submit for approval or approve if you have direct access to approve this invoice. So in my case, I will approve knows this invoice has been approved. I can e-mail out to a customer. Click Send. So invoice has been approved, email has been sent. With this invoice. I have a couple more options. What I can do, I can look under Invoice options and I can repeat the same invoice if in a future customer says, I need the same invoice, force, the same setup, and et cetera. I can avoid the sin voice. I can also copy for the required, so I can copy to another invoice, to another quote or purchase order or even bill if required. Also, I can edit to see noise. Maybe I need to add some admin charges or any other fees so I can add that additional person on top of a main quote. I can record the credit note for any other reasons if I need to issue a credit note, or I can also share invoice if I click on Share invoice. So there is a private URL code or link. When I copy, I can send maybe through WhatsApp or Messenger on any other ways, how you wish to share this invoice? Customer to access to this particular invoice. So if I go to invoices lists, I can see my hotel limited invoice has been sent out. These are awaiting payment, so I'm awaiting money from this customer. So this is a way how we can issue quote, how we can mark quote us, approved or maybe declined even if it's approved. How we can convert, quote to an invoice and send out to our customers. 17. Complete Bank Reconciliation: I still have hundreds of many chocolates to grab for reading. Even while I was wrapping chocolates, I actually received a couple of messages. And to those messages have similar request. Customers are for customer statement. Before we shoot customer statements, I need to make sure that I have reconciling bank accounts because I have customers who have actually paid. And if I allocate payments on their account, saying my query, where are some money would say how fake to me. So let's reconcile bank accounts first before we send customer statements is correct. Before I can actually since they've been sold to customers, I need to make sure that I have reconciled bank and I have reconciled bank how allocated to receive the money, also force of payments that I made to my suppliers. So if I currently look at my business, I'm looking at my invoices. So there is a waiting payments then there's nothing paid. And if I were looking under bills to pay, I have ten awaiting payment and I'm laughing. I helped paid, but I know that they help pay and then also they have received money. So we need to go to accounting and bank accounts section. I want to reconcile my current account. So under manage accounts, I have options if I can get bank feeds. So all transactions would be automatically pulled through from my bank account took Sarah accounting software will be able to reconcile my bank transactions, however, like that. Or I have decided that I will manually upload bank statements in this case. So I will click on import statement. Here's the left and right side. So firstly, let's look on the right side. So it's file formats that are allowed on Sarah accounting software to import. There are three types of them. To make sure that you can upload successfully, you need to download a CSV template and align your bank statement with the CSV template information. So if I download CSV template and I open it, so there is a six columns. What are mandatory date, amount, payee description, reference, check your number. So check number. Sorry. So it's always need to show up on your statement. So I hope download the CSV template and aligned my bank statement with this template. So now I'm ready to go to Step frame. So I will browse my bank statement. Will select my bank statement for July. I will click Open. Click important. Now, I have on top section Theresa, um, like, uh, help Frank Sarah accounting software, how it will look like. Bob, on the right-hand side here, I have 16 transactions, which will be important, but I need to make sure that information and detail are assigned to correct headers. So firstly, they'd transaction date, it is correct. It is assigned to transaction date amount. If this transaction amount so it's allocated correctly. Pay it is to pay description materials, yards to description. If there is any reference, I will assign to reference check number. If zero will be checked number, I will allocate to here. So if you click on this next, it's the next transactions will show up. And you can see details here showing up and showing where it will appear on Coursera accounting software. Yeah. So if I go to Previous, so it goes to debit side. If I go to next one, c sub Pearson credit side, we credit means that I have received the money. And if I go to previous transaction, debit means that I have spent the money. So I'm quite happy with allocations where I want to assign my account. Also there is a 11 quick note how statement result headers then don't select this tick box. However, in my case, there is the first top row is actually headers. So in that case needs to be selected. I will click Save. So now there is a pop-up message. Things that 16 state lines have are important and there is zero duplicates, which is great news. Okay. So now I'm on account to reconcile. So you do not need to reconcile straightaway. So if you upload your statement, but you need to do any other important tasks. If you go to accounting and click on bank accounts at a later time, you will see that you have 16 items to reconcile under in my case, under current account at the moment. So I will click on reconcile 16 items. Now I will be able to reconcile one by one, okay? So I have 16 to reconcile the risk, cash coding, bank statements and account transactions. Okay? Now, I can have a compact view. So it will be little bit narrow deaf, or I can look on more extended with more bigger size letters. On left-hand side, Cs are the transactions that I have imported from my bank. So as per my CSV file, on left-hand side is actually what I need to do in Excel accounting software. I have four options I can match. So if system have found exactly match to that transaction, what I imported from my bank, it will already give like most likely available even supplier invoice or customer invoice or any other adjustments if there is what's needed to be allocated. If there is no direct match, we have an option to create new transaction. So e.g. if I have a new supplier and I needed to pay deposit, but I haven't added supplier invoice yet. I can actually create and post transaction. The same will apply for bank charges, e.g. if I have bank charges ten pounds coming out, instead of adding two who I can add an account. So search e.g. bank fees, select code, description, and then add details. So you will be able to post. In my case, I will select the third option is transferred. So if I'm moving money between bank accounts, so e.g. if I'm moving between bank and like reasonable or maybe if I'm moving between credit card and my bank account and et cetera, I can do it here. Also. I can have a fourth option which is discussed. So usurping some payments going go from account and there is no support documents are no transactions. And Sarah, accounting software, you can actually mark transaction to discuss. Maybe you need details from your director or manager, or maybe if you receive money, maybe you need to ask account sales account manager for more details once it relates is a deposit or maybe that's just the sample being sent, but sample invoice haven't been sent out yet. So that's the way how we can separate this particular transaction system. How much a bank transfer from cash account, so 90 pounds and the risk cash withdrawal for 90 pounds as well. So I'm happy with this much and I will click middle. Okay. So next one. So as gifts, limited transaction. So I have received in my bank account thousand 500 and I actually have an invoice actually on Sarah accounting software awaiting to be matched with a payment. So I also like, Yes, I'm happy with this much. Book limited. I paid 500 pounds and their supplier in noise, so payable for 500 pounds. Also I can see a reference, so both matching, so I'm happy to match this transaction, Internet limited. So the same way, there is 1234 theories and new intranet called Wi-Fi 2022 cities because I have an annual contract. So this is repeating contract number, whereas this is particular invoice number. So I'm quite happy with information and I'll say, okay, so supplier invoice with data 12th of July and I spend up to 14 July, so I send money, so I'm happy with this transaction, so I will match. Next one is found limited. I have recorded phone limited contract as repeating supplier invoice under contract phone 2022. But there is a Invoice 12341234. And I'm quite happy because actually in Weiss was received on July and recorded dunk Sarah accounting software and I paid it for days later. So I'm happy with this one to be matched. Online show. It's the same. I had online shop invoice from opening balances and I paid two weeks later. So not good, but I still paid it on time, on supply of how received money for it. Hotel limited sets our customer. And as you can see, on 20th July, I issued an invoice. So firstly, I send an invoice and I credited and then I send a quote and say approved it and they were happy to pay it. So I received actually money from them on 25th of July. And I'm happy to match this invoice events limited service invoice issued on 15 July. I received ten days later 5,000 pounds forces Invoice, series of match. Next, I have spent thousand pounds for book limited. So if I can create a new folder icon. Click on Match. System would provide all available payments. What I have are all available supplier invoices that need to be paid. This thousand pounds actually deposit. And I can see there is booked a 22 supplier invoice 4,500, but I paid a deposit of thousand pounds. So how I can allocate it, you can actually select this line and click on Split. So this transaction will be split into transactions on thousand and 500. So there will be still remaining 500 for me to pay to book limited. And I'm quite happy with this one. So I will click split. So you can see there's two transactions and now it will allocate thousands to this particular invoice. And if I'm happy with this split, I will click Okay. Next one. So risk events limited pay the meat thousand pounds as deposit. So I can look at the match deposit for events limited. There is birthday party for thousand 500. So if I go through there is no other events, limited invoices. So I can select this one. It's the same way. I will split, so they pay deposit. I'll click Split and I will match. Customer paid me 1,000 pounds out of towns and 500 as well. Okay. Next one is online shop for 830. So I spent 830 about one week later. So invoice is recorded on system on 18th of July and I paid on 26th July. I will match this one. Utilities bill. Lucy Green paid me about 78 days later for invoice that was issued for north part of planners. Okay. Next one is local shop. So invoice was issued on 11 July and I received an I paid to local shop on 28 July in late actually. And then I have rent bill. So on 11 July I had the random bill invoice and I paid on 28. Okay. Next one. I have last transaction to reconcile each j for online course so I can match create, transfer discussed. So firstly, let's look at the match. And when I look at March, actually, for Jane, I have invoice issued for 50, if you remember. Jane agreed for five months online course, so that would total to 250. So I can select Online Course and click on Split. I can select that. It's been 50 pay split. No, it's not split. Okay. I will select as a fifties. Okay. So it says add that I was looking at these. So 50 pounds I will add there, but then I will add adjustment for other 200 pounds. So I will add an adjustment. And so his bank fee or minor adjustment. But in my case it's none of them. So I will select a new transaction and receive money. And receive money will be from j 28 July on the reference, I will add an online course. Okay. And I'll click Save transaction. Okay? Jane Smith, Okay. I will click Set Transaction talks, right? What's right? Hello, combed. Okay, so because these 200 pounds are actually incoming advance, It's an one I will receive next or when I issue. Next thing was is I can actually allocate with this income in advance. So I will select income and advance and there is no tax rate. Its way there was two error showing up. Let's little bit voice and click save transaction. Okay? No. Now I can allocate 50 pounds for invoice for first month, plus there is 200 pounds for online course as an payment received in advance, I can click reconcile, series totals match, so nothing else standing and I can click reconcile now. Okay, so now there is a message. Great job. I have reconciled or transactions in my account. I can successfully issue customer statements now. Right. 18. Create Customer Statements: 123-456-7846. Okay. Way to go. How reconcile bank accounts now, I can issue customer statements. There are two types of customer statements. Overview, amount statement. So as I said in a previous section, at the beginning, I had two similar requests from customer to customer has to send the statements. So one actually don't owe me anything, but they want to feel C4 activity statement for a past period. However, another customer just are interested in outstanding balances statement. How we can create customer segments and distribute out, print or download on sending different ways if you wish to from Sarah accounting software. So now I have reconciled bank so if I go quickly to bank account to make sure that I have reconciled. Yes. My current account is right. Consultants, there is no differences. Okay. So how we can issue customer statements. So two ways. Firstly, we can go through business and sales overview section. Okay, from cells overview section, we can send statements. So click on send statements bottom. Here, I can select what I want to send emails you can send activity or I can send an outstanding. So if I click on activity, I can select the period between which dates I want to send activity to customers. So I will select from 1st, July, 31st of August. I can filter by account. So e.g. if I want to just see a particular account, so e.g. I want to look at Jane jay. I'm click on date. System will just filter that particular customer. So I can select, I can print. So in that case I can download it and save. Or I can email out automatically to say script customers. So if I will click Print tool download statement. So I have selected statement type of activity. So all ins and outs will show up on this statement. So you can see there is an invoice is another invoice. Answer is a payment on invoice received. So only in voice what is outstanding is Invoice 109. Okay. So this for activity. Now, if you look only for outstanding as of 31st of August and I will already move. I can update on all customers will sorry. All customers will show up. Only customers with outstanding balances. So e.g. if I click events limited and I select the Print, Only least results standing invoices will show up on the statement. So there's two invoices, once for birthday party. For birthday party only part was paid. 5,500 still outstanding to pay. Answer is in Y is also 111, 4,817, 34. What even limited need to pay. So there's only two rows. And for comparison, let's look at activity and update for events limited print activity statement. So we can see all ins and outs relating to this particular customer. So that is a difference. What Activity Statement provides and what actually overdue balances provides. So firstly, we could access through cells overview. Secondly, we can send statements for contacts list. So let's click on All Contacts. If I want to send customer statements, E-Bay can select or search by contact. Or if I want, I can go to customer list, select a particular customer. From here, I can see details about this customer in more, greater details or information. And under options, I can send statements from contacts list. We will see on the screen a breakdown of information. So e.g. as we looked at events limited on activity, it shows a breakdown here. So if I select outstanding, it will only show outstanding invoices as a summary list. So if you want to email out to click on Email, need to make sure that you have e-mail address provided. You can amend, still detoxify, wish to and click Send. So say in this case, I'm sending out only outstanding balances statement. And if customer ask an activity, so activity up to 31st of August update. I click on email, the email template, and it's also says, What's this activity statement actually covers? And click Send. Now activity statement has been sent out. So in C-section, I showed you how you can actually send customer statements. Even if you need to send in batch, I would suggest you to go to business and click on cell solver view. In that case, you will be able to send outstanding balances, only two customers who own your money. So e.g. if I select outstanding an update, so I don't select any particular customers. Ten, I will be able to see, let's look for first of all this. So only four customers, they're always outstanding balances. And I can actually select all of them and email statements from with a one-click so I can send them all in a batch. So I need to make sure it's today live limited actually have an e-mail address provided so I can type it here. So as I said in this section, I showed you how you can send customer statements out from Sarah accounting software. Either you can send in a batch. So just make sure that you have e-mail address is provided as outstanding balances. Or maybe if you need to send us a batch as activity statements or if you go into particular customers contact card, you will be able to send activity statement or outstanding balances statement from contact card as well. 19. Payroll overview: So many projects, my migraines starting to take me over. I can recruit assistant. I need an additional team member to help me with all my events. Satellite, make my life easier right? On Sarah, accounting softwares are separate section called payroll, where I can manage my team. My employees. I can submit information on real-time information basis to HM RC, as well as to connect to workplace pension. So let's have a look what we can do on payroll section. Ok, settle accounting software. If you decide to have an employees in my company or my business, then set of accounting software provides an option to have a payroll. So I can actually run payroll from Sarah accounting software. So there is a section called payroll, and I have multiple subsections to look at, but I will start with an overview first. From here, I have five main categories, what I need to cover. Firstly, we will start with payroll account, which will cover the calendar tax information on workplace pension. So talking about tax information on workplace pension for z-scores purposes, I don't have a workplace pension code, nor I have a PAYG reference. So all information, what timely enter it just for z-scores purpose is to understand how you can sign up for real-time information to hetero mercy so you can submit your payroll or real-time information basis, as well as how you can link your workplace pension. So raise outside provider. So let's start with payroll accounts top. So either payroll account, from here, we have multiple paths to cover. So reorganization, HMAC, calendar's holidays, workplace pension, pay items, and opening balances. Rna. So let's start with about organizations. So firstly, I need to select the bank account from which I will pay any taxes or liabilities relating to payroll. In my case, it will go off from current account. He's already system defaulted account for liability, account for wages expense account, national insurance account, a liability account and payables account. Unless you want to choose your own credit chart of accounts code, CSR's account, what actually needs to be used for these sections when journals are posted. So I would not suggest you to change them unless you want to change because you have created the new code or you want to split something or separate. Next section is payroll, payments and trucking. So firstly, I would need to add a bank reference. This is optional. Him finishing date as the same as optional employee groups and timesheet categories. Those are all optional, but you can provide details if you have information available, then I can add company logo if I want. So I will just upload company logo. So under my logo something so I choose number ten. Logo will show up. Okay, It's quite big logo. So it's optional, but my company logo would show up on pay slips. As I mentioned, there are communications what I'm sending out from Sarah accounting software to my employees. So if I add or change any information, don't forget to click Save. Once you save, it shows that information has been saved. And now we can go to next step. Next step is how HMAC, from here, you need to help PAE reference. So if you employ staff, you will receive PA where you referenced from HRC. You need to provide it here. So I will just add information randomly here. But it will be on your letter C says your unique companies PAYG reference on the same PA. We reference will be actually noted. Every employee's pay slips. If you have accounts, office reference added, corporation tax, unique taxpayer reference, you can add deserve, but please note it is optional. Self-assessment, UTR. You can add itself if you're sole trader business in my case, I'm limited company in this course purposes. So I will have no self-assessment, UTR number, employee contracted out number. If you have one, you can add itself. But Asit mentioned, it's optional. So to add, you need to answer yes or no to these two questions. So if you are a legal for small employer reliefs and select YES. Otherwise, leave it as a no. Or how you registered for pay rolling of benefits if you have select just otherwise keep it. No. If you want to claim employment allowances for following tax year, yes. You can climates or otherwise leave it unselected. Also, hey, Sarah, accounting software provides you to HMAC guidelines. To click on this link and read information about employment allowances and how those can be claimed in. To link your payroll account to HMAC, you actually need to provide user ID and password. So to submit your payroll on real-time information basis, you need to add this information and also select if you are an agent or you actually maybe director or owner, opposite sex or accounting software from which you want to submit your payroll information. So I don't have RTA submission details available to fill in. So if I will try to save, it will show an error messages. So I am not able to provide unlink information. So as it mentions, so I cannot save any information. What they have entered, their next step is calendars. Okay. On their calendars, we can add a new calendar. So e.g. how you pay your employees if you pay on a monthly basis or maybe you pay on weekly basis if you have agency staff. So if you pay on on one of those ways, if I may say so, select one what is applicable in my case, it's paid monthly would be I said I will keep us a monthly since start date would be in my case. I will say it's 1st of August. On first payment date would be 31st of August. Once you add this information, click Add, you can create a multiple and different pay calendars if you wish to. So maybe you pay some employees semi weekly. So that means that every second week you pay to them and you can create calendars by clicking, Add and Add New Calendar on the three dots, if you right-click, you can edit marks this one calendar as inactive or delete completely. If you don't use the don't want to use this calendar. Next tab is holidays. So you can specify what holidays, What holiday what Holiday calendar supplies to you. So in my case, it would be England and Wales, but maybe you are northern Ireland, Scotland, or add a particular group. So if you check, if you click on one of those, you can see how holidays changes. So in my case, I will leave England and Wales workplace pension. So if you have employees, you will need to register for workplace pension. And this is a place where you can link your pension provider to Yorkshire accounting software, e.g. and answers these questions. So if you start date, I will say yes. So that means that I need to pay or contribute towards the pension of my employees. I can select the starting date, so I will select 1 August and I can postpone workforce assessments. I can select yes or no. I'll select knowing this case. I want to pay us when they start to work on next role mandate. So it's optional so as a result of that effect, so two or three months, years, you need to re-enroll if needed, then you can actually click on this islet and uncheck. I'm more details. So it's a pension regulator, I think so asked every three years We own role. So you can add date, so it's reminder come to use it, you need to re-enroll again to do as part of pension regulator details. Once you add this information above click Next, you will be able to select your pension provider. There's multiple different pension providers and you can choose which one more applies to your business. So if it's smart pension e.g. search by it and you can see it is there. So you will need to provide your employer ID number, how you how much you're paying as contributions as employee and employer. And so Show balance is to employ or not to show the same about calculate on qualifying earnings. So not different ways how contributions can be calculated. So select the one which is appropriate and connect to your pension provider. Okay. So pay items, underpay items. It's all about earnings, benefits, deductions, e.g. stood alone and etc. So you can actually look at every single section. And see if you need to add any benefits. Depending on employees. Not all employees will have exactly the same. Benefits are exactly the same deduction levels, different tax band will apply. So you can look on all these section and align with line with your employees and your business needs you actually, another opening balances. Here we're able to add, if I have opening balances, if I moved to zero accounting software from another accounting software or maybe my spreadsheet, I'm able to add opening balances on this tab. If I go to my payroll and click on Overview, then payroll accounts and pay calendars are ticked. Text information or workplace pensions are not ticked because I cannot connect to actually hate your mercy because I have no RTA information. And I cannot connect or update workplace pension because I don't have actually employees to employ. But that's the way how we can add details about if you want to have an RTI payroll, what we will submit to hit your mercy, as well as adding pension providers. And now fifth step is we can add our employees. So click on Add employees. Now I can add a first employee. So in my case, I will add, let's say myself. So I will add I will add date of birth. I would just randomly select Date and select personally male and female. Select address, let's say 57 green street. Just select the address. And I can select if this is off payroll worker or not. I'll select Add. So now I have employee Rita K added. Lots of taps to fill in. So first one, there is a details about I can add job title, phone number, I cannot secondary phone number and add emergency contacts. So if I change any details or amend or add details, I need to save any changes. If I click on employment tab. Here, I need to provide employee number e.g. it's number one. Start date e.g. a. Was first of August. And how I will pay because I have only one calendar. What I set up since there is only monthly. Also, I can go through settings including national insurance, national insurance category, select wages. I can change salary and wages here. Look at taxes. So every employee might have different tax bonds, as I mentioned, and it's the same, maybe different agreements regarding pension, time of pay. Once pay will be run, will be list of pay slips under this employee account. And also space lists will be able to download, either maybe need to resend again. So if I go back to employees, Rita K will be showing up here. And I can add an e-mail. Of course, if I select, I cannot select this one employee. But when I click, I can update details or add missing details. Plus I can add a new employee by clicking on Add New, and start again by adding new employee. So there is lots of subsections and categories to look at. So once payroll has been submitted to hate your mercy, will be able to see are there filings information as well as taxes and filing information? Or plus if you use workplace pension connected with pension provider, since there is also pension filings directly with a particular patient provider. So yeah. It's an overall review of how payroll works. But as I said, you will need to have details like if you take on an employee, you will need to register with. Hmac is a pension or regulator as well. And select your pension provider. So you will need to have all those beetles available so you can fill in on your Coursera accounting software. Plus, when you start to add your employees, you need to make sure that you have P 45 from them. But if they start with this work, It's very first work for them or workplace, very, very first workplace. Then you need to go through each section and make sure that you have selected settings accordingly or in line with this particular employee. So you can actually correctly account taxes and pay taxes correctly to hate your mercy as well. So yeah, payroll is long section. And I hope this game a little bit of insight. What you need to do, how you will need to approach it, and what documents you need to run payroll successfully from Sarah accounting software. 20. Review Reports [incl. Balance Sheet and Profit&Loss]: So month-end is closed. And the best way to celebrate is with good glass of wine. Well, not delicious at all. Well, actually, before I celebrate, I need to check if I have made a profit or maybe I have made the loss. Also, instead of looking just a profit and loss statement, I can also look on other report and made sure that I have run my business operations efficiently. I can look at Receivables Report, and look who owes me money and who actually takes a longer than expected to pay invoices? To me. It's the same applies to me how I held to payment terms. And if I have paid rising seas payment terms and I don't have outstanding payables. Or maybe I'm being a cheeky and haven't paid someone. It's the same. I can look at stock levels and how I got to excessive stock levels or maybe too lethal stock levels. I'm I'm at a risk to run out of my products. So let's have a look at the last section of this course called reports. In this section, we will cover reports. I'm really excited. I am looking forward if I have made a profit or maybe I made a loss in this past period. However, before we are jumping on profit and loss statement straight away, we will check our payables and receivables report. So if I own someone money and if someone owns money to me to access report, we need to go to accounting section and it's called reports. Sarah provides so many reports you can see there's transactions, taxes and balances, reconciliations, payroll payables and receivables. Huge section for payables and receivables, financial statements, financial performance, and there is a favorite at the top. So if you click on this.it will add to favorites. So reports will be added to two favorites at the top. If I want, I can click on Show description. So every report will show a description below the main header of a report. I will be selected. So let's look at payables and receivables first. So firstly, who owns money to me? So I can look at age receivables detailed, or I can look at h of receivables summary. So if I look at receivables detail, I will see a list list of every customer who owes me money and if they are overdue for payments. So e.g. I. Can see events limited invoice, hundred to say already are overdue 500 pounds for payments, so it takes longer than expected. So they had seven days to pay, but it's already falling into brackets and more like close to one month bracket means they haven't paid it. The same is about hotel limited, say haven't paid it as well. And Jane Smith haven't paid invoice as well. So if I want to see the summary, I will look at age receivables summary. And it will show only by customers, it will not show any invoice numbers. I can see who owns me and like from customers. Current issued invoices and if they have if they are overdue for payments, that means is I haven't paid me yet. Okay. So if I want at the top, I can change the date. So last date of a previous month, water. Or I can select a custom date if I wish to. I also, I can select aging date by due date or I can aging day by an invoice date if I want to. When you do any changes here, don't forget to click Update. So if I'm looking by invoice date, all are due for payment. Okay. Also, I can look at aging periods. So for periods of one month or I can change here if I want a different date ranges are different periods to look at. Under more, I have optioned to the select. Any of these options are features. So e.g. decimals, if I de-select and click Update, numbers will be just rounded to whole numbers. This will not show two digits after a month. So events limited invoices 2317, if I select decimals, will be 2317, 0.34. Okay? So that's about my receivables. So there are people who haven't paid me yet, of customers who haven't paid me yet. Let's look at aging payables. So who I haven't paid yet. I'm from this report as of today, I can see is that I haven't paid book limited. I'm online shops of total. I haven't paid 512 pounds compared to thousands of money, but they haven't received from my receivables are my customers. Maybe I need to send reminders to customers to pay their invoices and time. So that's how we can review payables and receivables. Also, we can look at reconciliations. So let's look at inventory item list. Under inventory item list, I will see all products what I have on my in my stock. So e.g. at the top I can see services and cost price and sell surprise pizza and not applying to my products. But under inventory I can see that I have still 40 planners, event planner, so no books left in a stock. So I ordered 660 being sold on 40 still are left to be actually sold. So I think so reasonable level at the moment. So if I will drop to 20 or 15, I might consider to place another another purchase order to book limiter so they can start to I'm print more notebooks or my planners. Okay. So if we go back to report, as I mentioned, there's lots of different reports how you can analyze your business business operations. So what else If you will have a payer also when you will start to do pay at all, you will be able to look on all reports including P6, thes p 11th, employee contact details may be details need to be updated, activity details. So there's lots of reports under each section. So Reconciliation Summary. So if I look on bunk summary, I will be brought to a bank reconciliation. If I am looking to raise cash, cash, spend an opening balance, stores closing balances bank is not reconciled yet. And if I'm looking on credit card, so it's 25, 65, what's been still outstanding credit card. So I haven't paid from current account yet. So there is something left on my credit card. So if I want, I can click on these numbers and it will give me a breakdown of what 66, 70's actually combined of taking little bit time to load up. So it is explains claims for from my expense expense claims based on one was stationary and other one was I think so physical plant, if I recall correctly. Okay. So what else we have on underreport before I go to profit and loss and balance sheet. So taxes and balances can be looked at xr Journal report. So if you need to do any adjustment to correct something, you can look at Journal report and if needed, new journals can be posted as well. New journals will be posted through advanced if you have a user access or permission to post journals. So what I'm looking here, I can see since there have been a journalist posted and for what amount on verse I've been posted. So e.g. there's online shop for 599 posted payables and the risk payables as well. Moment going out and being online shops or is something for 17, 99 costume material 15 and posted just 299. So I can look in details more if required. I can correct by posting new journal or maybe I need to actually remove the journal, undo or reverse general if required. Okay, so let's go to balance sheets. So let's look at our financial statements. So two reports on the market as a favorite. First one is a balance sheet. Balance sheet would show a value of my assets at the second point. So as of today, if I select the date as of today and click Update, I can say minimize this one. I can see what is my balance of computer equipment? What is office office equipment value? So if I click on these blue numbers, it will actually give me a breakdown of details behind what this 1,800 combines off or is combined off, also showing that my band balances almost 6.9 K. I have receivables, so I have almost ten K of not received the money yet. Inventory is 600. That's a moment for my 1402, but books in stock, I have 512, which is my two supplier invoices, what they haven't paid us yet. So cash is in a negative position. It's a negative position because I haven't actually reconciled my 90 pounds cash that I have received. 66 70 is my cash expenses that they helped pay for my cash account. Director loans, income and credit card desert as well. And then it's capital and some earnings is one important note. Under more, you can select if you want to see your balance sheet and profit and loss statements on accruals basis. That means that all information is recorded on system. Once you enter your let's say invoices or once you enter your issue invoices or record supplier invoices. So all transactions recorded, this means on accruals basis, on cash basis. That means that only when you receive money or spend money, That's how it will show up on your report. So that is a difference. And most important to know which accounting basis you will use. Most commonly for limited companies, it is accrual basis For sole traders and more often as based on cash basis. So when money coming in in account, that's when you record your profit or income, not profit, income or revenue, and when you spend money, that is actual expense. So actual received money, actual spend money, difference is your profit. I will keep accrual basis. Okay? And let's go now to profit and loss statement. And let's look how, well, how I made a profit. Maybe I have made a loss. So profit and loss statement, which we'll show in a particular period activity. And it will show if I have made a loss or I have made the profit. So in my case, I have already tax year or financial year selected from first-year like to refer to for June. I can select comparison periods if I have multiple years, so if I have a run my business in previous years, so I can compare 234 years if I want. So I can see how well I'm performing at this point compared to previous year. Under more as I mentioned, you can select the cool sort of cash basis. And once you do any changes here, remember to update any selections what you prefer, all features of preference is what you'll unlock or change. So let's look at profit and loss. So I have self from events, almost 13,000 pounds from self, from non-self, but some planners is almost two K as well online courses, how came at 4.3? So total turnover is almost 19 k, not too bad at all. Cost of sales. Cost of sales for materials or thousand 300, almost, I would say not put some planners at thousand 430. So actually if I quickly looking, I'm making about 430 pounds as a profit on my note, but some planners alone. So gross profit is 16,000. So directly from my from running my business, from my selling or organizing my events. Selling my notebooks online course is less directly attributable expenses like materials and node, but planners purchases are made 16,000 pounds. Sensory cell-like. It's called the administrative cost per circle icon. Overheads are some more wider business-related expenses, e.g. rent, internet, postage, maybe like motor vehicle expenses, depreciation expenses for for for using my equipment. So value is reducing actually right, of my assets. Also, there is telephone, internet, and rent. So actually, why their business expenses totals just about 1,000 pounds at the moment. If I'm looking, I have operating profit, 15,000, almost 15,000, hundred pounds, not bad at all. So I have actually made that profit in this past month. If I will continue actually to have about 18,000 pounds per month, I will reach quite quickly in this financial year threshold for registering for VAT purposes. I will need to keep an eye close enough to make sure that if I'm getting closer to VAT threshold, I'm registered I'm like I need to get registered those VAT and then update my settings in line and start to show invoices with VAT. Record supplier invoices is VAT. So I can actually calculate correct VAT liability for certain period. So this covers reports. As I said, you can show descriptions and see in more details which reports you can look at. If you click on the three dots, you can also learn how to create a custom reports. And also you can view an older versions of this particular report if they are available. So this is the last section of this course. I hope this gave a little bit of insight how you can review your business operations. Most importantly, to look at your payables, receivables, and check your inventory and list and make sure that you have enough stock on plus the check. What is how your balance sheet looks like as of today? And if you have made a profit or loss across past period, or maybe if you want to look at past week or maybe comparing with previous periods as well. 21. Thank you for joining my course!: Congratulations, you have reached the end of Sarah accounting software course. I hope you have learned a lot and have gained a valuable knowledge from CISC Sarah accounting software course. And meet will be a good guide for you to start using this accounting software by yourself. As practice makes perfect. In most cases, I would suggest you to actually sign up for a free trial and test your gain knowledge from this course or this set of free trial accounting software package. Thank you for joining this course and I hope I will see you in my Any other in near future again.