Accrual basis w/Quickbooks - how to enter bill so expense is reflected in correct month?
(Consultant) | Aug 24, 2013
Hi- I have recently began consulting at a company that uses Quickbooks. They are on the accrual method.
Right now, if a bill is received in May, dated in May, but relates to services provided in April, the Company enters the bill date as April 30, in order to make sure the related expense in April.
However, that throws off the AP aging as bills will show up to be paid earlier than they really are due.
The other way this could be handled is to book a journal entry in April (debit expense, credit accruals) once we either know the amount of the bill, or can estimate the amount of the bill. Thenwhen the bill is received, debit accruals when the bill is entered. But both of these seem to be a workaround.
Am I missing something, or does Quickbooks really not provide for a different expense date other than the bill date?