The driver settlements function lets you calculate driver pay by the mile, load percent, or a flat rate per trip. IFTA reporting is also easy thanks to Rigbooks quicken bookkeeping importing the latest fuel tax rates for all jurisdictions automatically. Businesses may also need to pair multiple software solutions together.
Outsourced accounting lets you select only the specialized accounting services you need, keeping your costs down. Fuel cards can automatically track, organize, and display the information you need to fill out your IFTA expense reports. If you’re also using truck management software, you can usually link the two and automate your IFTA responsibilities completely. One of the primary problems with managing your small business accounting is the sheer amount of time and energy it takes. Running a trucking company alone is enough work to keep you busy, and trying to do both is a lot to handle at once. In addition to keeping records of your expenses, you should have documents that prove their validity, such as receipts, trip logs, and account statements.
Organize account names into one of the four account category types
Unfortunately, trucking is a business that requires you to be particularly diligent in your record keeping. It’s often even more difficult for truck drivers, whose gas and food expenses could easily be personal costs if they occurred outside of a trucking trip. QuickBooks integrates with a variety of other software programs, including GPS tracking software, payroll software, and inventory management software. This can help you streamline your processes and reduce the amount of time you spend managing your finances. However, if you’re not using a dispatch software, you can customize QuickBooks to create a more efficient process and obtain additional information from your QuickBooks company file.
- When I do that, general journal entries are being created in some of my accounts as «3100- Opening Balance Equity» and now my asset accounts are showing negative balances.
- Once you have your account, you’ll need to enter your company’s information, including your business name and address, tax ID number, and bank account information.
- Be sure to enter only the gallons in the memo area, without any additional wording, to allow for the calculation on the report.
- For example, TruckingOffice can be used trucking management and basic accounting functionality but needs Quickbooks for payroll.
- All business owners must make quarterly estimated tax payments to cover their income and self-employment taxes, and truck drivers are no exception.
The first step in using QuickBooks for your trucking company is to set up your account. You can choose between the desktop version or the online version, depending on your preference. Once you have your account, you’ll need to enter your company’s information, including your business name and address, tax ID number, and bank account information. Additionally, Quickbooks integrates with multiple trucking management solutions so companies that start with Quickbooks can always add on additional trucking software down the line. While Quickbooks can be used for trucking companies, some trucking-specific features are missing such as cost-per-mile calculations and IFTA reporting. However, some companies use other solutions for those tasks and find Quickbooks meets their accounting needs.
Download a QuickBooks Chart of Accounts Template for Contractors
For instructions on importing your Chart of Accounts from Microsoft Excel, see Import a chart of accounts. One of the best ways to streamline your IFTA reporting is by using a dedicated fuel card. These work much like any other credit card, except they’re tied to a unique driver number and provide fuel discounts.
Trucking Accounting Software vs Trucking Management Software
Accountants sometimes perform bookkeeping services and vice versa. ProTransport modules cover all of the major accounting needs, as well as dispatching and maintenance management. Fleet management offerings are also robust with features like live GPS tracking, two-way messaging, and maintenance reminder alerts. Your chart of accounts is a living document for your business and because of that, accounts will inevitably need to be added or removed over time. The general rule for adding or removing accounts is to add accounts as they come in, but wait until the end of the year or quarter to remove any old accounts.
Knowing how to keep your company’s chart organized can make it easier for you to access financial information. The web connector is syncing, however it is not mapping my data to the correct COGS accounts. There is nowhere in Shopify for me to indicate an Expense, Income, and COGS account for the items we sell, as we had in the old QuickBooks POS system. The web connector support team told me I have to edit every item we sell to make them Inventory Parts. When I do that, general journal entries are being created in some of my accounts as «3100- Opening Balance Equity» and now my asset accounts are showing negative balances. My accounts are all incorrect in Chart of Accounts and we have been trying to manually correct them.
Kevin’s Trucking Company: Income Statement 2019
Once done, open your freight account report again to check if the shipping charges are no longer deducting from your COGS. You will add it to an invoice like any other line item, and you’ll do the same on bills. If you have any questions about these steps, leave me a comment below. He can be paid based on what he hauled the same as the other drivers. But any pay will still be shown as owners draw as long as he operates as a sole proprietor. The Work In Progress (WIP) schedule is an accounting schedule that’s a component of a company’s balance sheet.
It may be worth handling some lower-level aspects, but you’re better off outsourcing the more complex and time-consuming parts. Bookkeeping and accounting are closely related business functions. While they’re theoretically distinct, the line between them is somewhat blurred.