Last Updated on November 18, 2020 by Editor Team
Again Accountwizy is here, with a new and unique informative topic, ‘Using tags & groups in QuickBooks’. Through this topic, you can know the uses of tags and groups in QuickBooks, and can use the tags in the right direction. We hope, this article will be very interesting for you. Then, why are you waiting, let’s start the blog.
Save Time & Effort
Get help from expert
Get your accounting work done by experienced accountants. Fix all your accounting software errors & problems. Dial our toll-free number +1-888-461-1179.
Tags are customizable labels that allow you to track transactions, but you can tag invoices, expenses, and bills as you wish. Group tags get together and run reports on how specific areas of your business are doing. They do not affect your books. Instead, they are a way for your team to track the information that matters the most to you. Now let’s first start with the ‘what are tags and groups?’.
What are Tags and Groups in QuickBooks
If you want to track your business expensed then tags are customizable labels that make to track your money but it’s possible when you want to.
And when you tag in groups, then you get an in-depth knowledge of how your business is doing. And also. you will need groups to get the report for your tag.
Note:- Don’t worry if you don’t see the tag. We are adding this facility to new companies all the time. Also, we hope to turn the tag on for everyone soon.
What to Tag
If you want to know what you can tag then provide the details that you can tag transactions such as invoices, expenses, and bills. At the moment, you cannot tag general journal entries or transfers. And you also cannot tag things like customers or items.
If you want to use more than one tag from the same group then you can add as many tags as you want to the transaction. But remember one thing that you can choose only one tag per group.
Here provide an example for you, suppose you run an event company, and you want to see how much you earned and spent for each event. Then, you need to make a group or tag and your group and tag will look like this (below image):-
And when if you want to see and manage your tags, then you need to go to Settings ⚙️ and click on the option of Tags.
Difference Between Tags and Categorizes, Classes, Locations
Here we have clearly, distinguish between tags and categorizes, classes, locations. Read the below section, you will understand all things clearly.
Difference between Tags and Categories
Below, provide the details of the comparison between tags and categories. Check the details below:-
As compare to categories the Tags are more flexible. And also you can track things as you wish in tags and they do not affect your books.
The categories are used on your chart of accounts and also used by accountants for tax purposes in the small and mid-size companies.
Difference between Tags and Classes
Below, provide the details of the comparison between tags and classes. Check the details below:-
If you need to track things at the transaction level, then that time the tags help you to track them. And, if you want a simple way to take care of information, then also that time use can tags.
Here, the classes help you to when if you need to spend on things like income and job costs, budgeting, or fund accounting, use classes. And also you can also use classes to track specific line items.
Difference between Tags and Locations
Below, provide the details of the comparison between tags and locations. Check the details below:-
As compare to locations the Tags are more flexible. And also you can track things as you wish in tags and they do not affect your books. If you need to track things at the transaction level, then that time the tags help you to track them. And, if you want a simple way to take care of information, then also that time use can tags.
You can use locations to track income, expenses, and assets for multiple sites or regions. Also, you can use the locations to work well when you need to collect sales tax based on the address.
We hope, you like the article and get all the details regarding the use of tags and groups in QuickBooks. You can get our ProAdvisor support at any time and anywhere if you have any kind of doubts regarding this article. You can get a fast response from our QuickBooks experts. So don’t be hesitate to take our support.