QuickBooks Online For Dummies. Elaine Marmel
a word on the word basic. You’ll be a whole lot happier if your desktop computer components have higher numbers than the ones we just listed. If you have a computer that’s fairly new — say, three to four years old — you might need only to add some RAM or possibly hard disk space. If your computer is older than three or four years, you should consider purchasing new equipment, simply because you’ll be unbelievably happier with the computer’s performance. Technology continues to improve dramatically in short spurts of time.
If you buy a new computer, you don’t need to worry about meeting more than the basic requirements. We’re pretty sure you’d have a hard time finding a new computer containing a 1-gigahertz processor; most computers today come with at least 2.5-gigahertz processors, and they support better graphics than the DirectX 9 graphics listed in the basic requirements. And most monitors available for purchase today don’t support low resolutions such as 800 x 600; you most likely own a monitor that supports much higher resolution. In my opinion, 1GB of RAM is insufficient; Intuit recommends that your desktop computer have at least 4GB of RAM, and you’ll be much happier if it has 8GB of RAM. On the hard drive requirement, if you don’t have the 16GB or 20GB of available space specified, you probably should be considering a hard drive replacement for your computer.
QBO and QBOA have their own hardware requirements — that exceed Microsoft’s basic requirements. Visit this page to see the system requirements for QBO and QBOA: https://quickbooks.intuit.com/learn-support/en-us/install-or-update-products/system-requirements-for-quickbooks-online-accountant-and/00/188943.
Alternatively, you can visit quickbooks.intuit.com/learn-support and use the search term system requirements for QuickBooks Online. If you want to use QBO Desktop, visit this page to see system requirements: https://quickbooks.intuit.com/learn-support/en-us/download-products/quickbooks-app-for-windows-and-mac-general-support/01/186053#M4087.
Chapter 2
Embracing the QBO/QBOA Format
IN THIS CHAPTER
QBO and QBOA are not traditional software that you buy and install on your local computer. This chapter explores the QBO/QBOA software format, and we assume that you’ve read Chapter 1 and evaluated whether QBO can meet your needs.
It’s All about Subscriptions
QBO and QBOA fall into the category of Software as a Service (SaaS). As such, you don’t buy the software. Instead, you rent it; that is, you buy a subscription to use the software for a time period specified by the seller.
And, of course, a QBO user can pay varying amounts for a subscription, depending on the subscription level purchased.
QBO is available at five different subscription levels, and each subsequent subscription level costs more and contains more functionality. The QBO subscriptions available at this writing are
Self-Employed
Simple Start
Essentials
Plus
Advanced
After you assess your needs as described in Chapter 1, use the following information to identify the lowest subscription level that will meet your requirements. At this point in time, you can upgrade to a higher level, but you cannot downgrade to a lower level.
Accounting professionals signing up clients for QBO and creating client companies originally couldn’t switch client companies from one version of QBO to another if the accounting professional created the client as part of the Intuit Wholesale Pricing program. However, except for the Self-Employed version, that’s no longer true. So, you no longer need to anticipate your client’s requirements for more advanced features like the ability to track inventory or employing class tracking.
The Self-Employed version
This version of QBO is aimed at freelancers and self-employed individuals, basically, those who receive Federal Form 1099 to account for the money they’ve been paid and pay their taxes using Schedule C of IRS Form 1040. Be aware, though, that the QuickBooks Self-Employed version (QBSE) is not currently part of the QBO product line, and that means that you cannot upgrade from QBSE to any other QBO product directly — an important fact to keep in mind when deciding to start with QBSE. If your business has business bank accounts, you should not use the Self-Employed version. QBSE enables you to separate personal and business expenses and mileage, so it’s really geared to the “side hustle” gig economy, like Uber and Lyft drivers.
Using the Self-Employed version, you can
Download transactions from your bank and credit card accounts.
Separate business from personal spending.
Create and send invoices at any time, and personalize your invoices using your logo as well as customize the subject line and main message of the invoice email.
Send a mobile reminder to customers before payment is due. And, QBSE lets you know when your invoice is viewed and paid.
Send receipts for paid invoices.
Duplicate prior invoices to send them again, eliminating busy work.
Accept mobile payments and take advantage of free bank transfers.
Track mileage using your phone’s GPS and delete trips, along with mileage, in bulk.
Use