Types of Items

QuickBooks gives you the option of creating 10 types of items. Any items that you create must fit into one of these 10 categories:

• Service Labor charges and professional fees.

• Payment Money received that reduces the amount owed on an invoice.

• Inventory part Merchandise your company purchases, keeps in stock, and resells.

• Non-inventory part Products you sell but do not normally keep in stock or products you do not purchase (such as livestock that you raised or food dishes that you prepared).

• Group A group of related items that are saved as one item. Typically you sell the entire group as a whole, but you can also reserve the option to sell pieces of the group individually.

• Discount An amount of money subtracted from a total or subtotal cost of an item, such as a sale markdown or a reduction in sales price of a specific item.

• Sales tax A sales tax item calculates a sales tax at a specified rate that represents the amount you pay to a sales tax agency.

• Sales tax group You can combine related sales tax items, such as state, county, and city tax, as one group, and the group will appear as one item on an invoice.

• Subtotal This item serves the purposes of providing a subtotal on an invoice; you can use this subtotal in calculations.

• Other charge Items that don't fit in the other groups, such as freight, finance charges and late fees, special handling charges, and rush charges are all considered to be Other Charge items.