Partial Purchase Orders are Easy

Have you used the Partial Purchase Orders feature in QBO? This feature seems to be needed by QuickBooks Online users pretty often, but not all users know how. There are no extra steps to turn on the feature if Purchase Orders are turned on in QBO.

Did you know Purchase Orders can be created for both Non-Inventory and Inventory Items? This increases the scenarios in which it can be used. There are many features inside of QBO to aide users who need to track their goods, Purchase Orders is just one of the available pieces for Items.    

When to create a Purchase Order? Anytime goods are needed from a vendor. Another benefit is Purchase Orders can be emailed directly to Vendors from inside QBO. A pro tip is to add a Preferred vendor to an Item for easy tracking of where you buy goods.

How to Create Purchase Orders

1) Verify Purchase Orders are turned on

2) Go to Gear Icon, then Account Settings, select Expenses, Purchase Orders On

3) Click Quick Create, Purchase Order

4) Add the Vendor, plus the Non-Inventory and/or Inventory Items to Purchase Order

5) You can add the Customer and Classes to Purchase Orders (if applicable)

6) Then Save and Send the PO to Vendor for Order fulfillment

How to Create Partial Purchase Order Fulfillment

1) Open your Purchase Order

2) Click Copy to Bill

3) Edit/Delete each line on Bill to match Items received

4) Save

5) Repeat Process until the balance of Items are received

6) Open the Original Purchase Order and edit/delete remaining Items on Purchase Order

Reports

There are two Reports in QuickBooks Online to view Purchase Orders:

  • Open PO List by Vendor
  • Open PO Detail

Creating and using Partial Purchase Orders is easy. The original requested quantity is entered on the Purchase Order, but each Partial Order can be edited by adding, reducing or deleting received Items, and even the cost can be edited. And - markup % can be added to the cost if you want to create a sales price, if you are creating a billable expense.