Creating and tracking estimates in QuickBooks is essential for service-based businesses, contractors, and freelancers. Here's a step-by-step guide on how to create and track estimates in QuickBooks:

Creating Estimates:

1. Access QuickBooks: Log in to your QuickBooks account.

2. Navigate to the Sales Menu: Click on the "Sales" tab in the left-hand navigation menu.

3. Select Estimates: Under the "Customers" section, click on "Estimates."

4. Create a New Estimate:

   • Click the "+ New" button.

   • In the "Customer" field, select the customer or client for whom you're creating the estimate. If the customer isn't listed, you can add a new customer.

   • Choose the date of the estimate.

   • Assign an estimate number, or QuickBooks can automatically generate one for you.

5. Add Line Items:

   • In the "Product/Service" column, select the product or service you're estimating.

   • Enter the quantity and rate for each item.

   • QuickBooks will automatically calculate the total for each line item and the overall estimate total.

6. Include a Message or Memo: You can add a message or memo to the estimate for any additional information.

7. Customize Estimate Settings: If needed, you can customize estimate settings, such as the template, currency, and sales tax.

8. Save or Send the Estimate: You have two options:

   • Save as Draft: If you want to save the estimate but not send it to the customer immediately.

   • Save and Send: If you're ready to send the estimate to the customer, you can email it directly from QuickBooks.

Tracking Estimates:

1. View Estimates: To view your existing estimates, go to the "Sales" menu, select "Estimates," and you'll see a list of your estimates.

2. Mark Estimates as Accepted or Rejected: When the customer responds to the estimate, you can update the estimate's status to "Accepted" or "Rejected." This helps you keep track of which estimates have turned into actual jobs or projects.

3. Convert Estimates to Invoices: If the customer accepts the estimate, you can easily convert it into an invoice. To do this, click on the estimate, and then click the "Create Invoice" button. QuickBooks will populate the invoice with the estimate details.

4. Run Reports: QuickBooks offers reports like "Estimates by Customer," which can provide insights into your estimated vs. actual revenue.

5. Payment Tracking: If the customer accepts the estimate and you create an invoice, you can track payments on that invoice within QuickBooks.

By creating and tracking estimates in QuickBooks, you can streamline your sales process, maintain a record of your proposals, and easily convert accepted estimates into invoices. This can help you stay organized and provide better service to your clients while managing your finances efficiently.