Examining Expenses From Different Perspectives In Quickbooks

It’s nearing the time of year when you start to review your numbers and plan for next year. Granted, this year has been anything but typical! However, it’s still worthwhile to review what worked, what didn’t, where sales were up or down, types of work done that were great as well as those that were not. If all your job costs are up in your Cost of Goods and the rest of your expenses are down below, and/or if you have Overhead as a Class, then it’s easy to see what you spent in different areas of overhead.

While your actual numbers will always differ from year to year, looking at percentages can be a good first start. When you go to customize your report, turn on % of Income and % of Expense. Those percentages can help you budget for next year. Were they good? Did you spend more than you thought?

Percent of Row can be useful when you run a P & L by Class.

Any interesting observations or aha’s when you look at the percentages (whether by income, expense or class/row)? As you consider where you need to increase or decrease spending (and by how much), you might want also to review these two articles that discuss where spending more pays off and ways to decrease overhead.

For those who look at P & L by Job (or Job Summary), turning on percentages can also provide an interesting look.

Chances are, for year-end, you will look at several reports to help you in your decision-making process. This article gives you 5 steps that simplify and streamline the process of pulling these reports together so you can review.

If you’ve never tried these percentages before, do take the time to look. You might find you’ll use them more often than expected!

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