Quickbooks Online Purchase Order: Full Guide

If you're running a business, managing inventory and keeping track of expenses can be a daunting task. QuickBooks Online offers a solution for this, with its purchase order feature. In this article, we will be discussing everything you need to know about QuickBooks Online purchase orders, including how to create and edit them, how to find them, and how to post them.

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Can QuickBooks Do A Purchase Order?

Yes, QuickBooks Online offers a purchase order feature that allows you to create, edit, and post purchase orders. This feature can help you manage your inventory and expenses more efficiently.

How Does Purchase Order Work In QuickBooks Online?

A purchase order is a document that a buyer sends to a vendor to request goods or services. QuickBooks Online purchase orders work in a similar way. You can use purchase orders to track items you intend to purchase, the expected delivery date, and the cost. Once you receive the goods or services, you can convert the purchase order to a bill to make payment.

QuickBooks Online allows you to create purchase orders for inventory items, non-inventory items, and services. You can also assign different classes and locations to purchase orders, making it easier to track expenses and inventory in different departments.

How To Create A Purchase Order In QuickBooks Online?

Here is a step-by-step guide on how to use the purchase order feature in QuickBooks Online:

Step 1: Turn on the purchase order feature. To turn on the purchase order feature, go to Settings ⚙ and select Account and settings. Then, select the Expenses tab and in the Purchase orders section, select the edit ✎ icon. Turn on the Use purchase orders option and customize up to three fields and a default message for suppliers. Save your changes.

Note that the purchase order formats are set and cannot be customized.

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Step 2: Create and send a purchase order. To create a purchase order, select + New and then Purchase order. Select the supplier from the dropdown list and review the mailing address. If you're shipping the products directly to a customer, select the Ship to ▼ dropdown and then Ship via. Check the Shipping address to ensure it's correct.

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Enter the Purchase Order date and select Settings ⚙ on the Purchase Order form. On the Choose what you use panel, select the link to add your custom fields. In the Item details section, add the products or services you want to purchase. Note that you can only add products or services marked as "I purchase this product/service from a supplier." Save and close the purchase order or select Save and send ▼dropdown to send it.

If you want to send the purchase order later, go to Expenses and find your purchase order. Then select Send in the Action column.

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Step 3: Update the status of a purchase order and add it to a bill. After creating a purchase order, its status is Open. When your supplier accepts the purchase order, you can add it to an expense or bill to make the transaction official. QuickBooks automatically changes the status to Closed.

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Step 4: See your open purchase orders. To see your open purchase orders, go to Business overview and select Reports. Then, search for and run an Open Purchase Order List report, Open Purchase Order Detail report, Purchases by Product/Service Detail report, or a Purchases by Supplier Detail report.

By following these simple steps, you can use QuickBooks Online's purchase order feature to help manage your inventory and expenses more efficiently.

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How To Find Purchase Order In QuickBooks Online?

QuickBooks Online makes it easy to find your purchase orders. To find a purchase order, follow these steps:

Log in to your QuickBooks Online account.
Click on the "Expenses" tab on the left side of the screen.
Click on "Vendors" and then "Purchase Orders."
You can search for the purchase order using the vendor's name, purchase order number, or date.

How To Edit Purchase Order Template In QuickBooks Online?

QuickBooks Online allows you to customize purchase order templates to suit your business needs. To edit a purchase order template, follow these steps:

Log in to your QuickBooks Online account and click on the "Gear" icon on the top right corner of the screen.
Select "Custom Form Styles" under "Your Company."
Click on "Edit" next to the purchase order template you want to edit.
Make the necessary changes to the template and click "Done."

How Do I Post A Purchase Order In QuickBooks Online?

Posting a purchase order in QuickBooks Online is easy. To post a purchase order, follow these steps:

Log in to your QuickBooks Online account and click on the "Expenses" tab on the left side of the screen.
Click on "Vendors" and then "Purchase Orders."
Select the purchase order you want to post and click on "Create bill" on the right side of the screen.
Review the details and click "Save and Close" to post the purchase order.

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Top Purchase Order Software That Integrates With QuickBooks

QuickBooks seamlessly collaborates with a variety of external applications, enabling the unification of accounting with other crucial business management elements, including online purchase orders and procurement management.

Tradogram

Tradogram is a top-rated e-procurement platform that automates and streamlines purchase order management. It allows teams to create and track purchase orders, streamline the approval process, and send these orders to suppliers. Tradogram's robust purchase order management system simplifies the entire process, from purchase order creation to approval. It also offers automated approval workflows and a database of purchase orders for improved transparency of the procurement process.

Spendwise

Spendwise is another excellent software that helps businesses save time and money by organizing the tasks involved in the purchasing process. It allows teams to easily create and send professional-quality purchase orders in minutes. Spendwise also supports bidirectional syncing of the Chart of Accounts, Classes, Items, and Vendors between integrated platforms, ensuring data accuracy.

Planergy

Planergy provides features for efficiently managing the full Procure-to-Pay process. It offers automated purchase order approval workflows and auto-fill features for specific sections of purchase orders to reduce errors and discrepancies. Planergy seamlessly integrates with QuickBooks, ensuring that Accounts Payable information is automatically synced.

ProcureDesk

ProcureDesk provides improved transparency of the purchase order creation and approval processes. It enables end-to-end automation of the procure-to-pay process, allowing companies to automate manual purchase order approvals. ProcureDesk works seamlessly with QuickBooks, automatically creating purchase orders in bills in QuickBooks after they’re matched in ProcureDesk.

Digital Purchase Order

Digital Purchase Order allows users to create workflows that automate various purchasing processes. It offers instant integration with QuickBooks, exporting supplier information and charts of accounts once connected to a QuickBooks account.

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