Enable and Use Purchase Orders in QuickBooks Online

QuickBooks Online is known for the proper management of data that makes organizations store and retrieve information properly. Besides listing the names of vendors and customers, the software also organizes other details related to sales and purchases.

The mention of purchase-related data brings the focus to Purchase Orders that is a document that users send to clients, thereby specifying the purchase details relating to different products and services.

Purchase Orders in QuickBooks Online, however, is active only when it is enabled in QB Online. Bigxperts people are the best guide to help you understand how to check whether the Purchase Orders is enabled or turned off.

How to check if Purchase Orders is enabled or disabled?

Purchase Orders option is available in QB Online Plus as well as in older versions of the software. To find out if the option is enabled:

1. Choose the (+) sign
2. Select Purchase Order
3. Of the option is not there, click on More
4. On selecting, if you get an error message “We’re sorry! Purchase Order is turned off”, it means the PO is disabled
5. In this case, you are required to enable it

How to enable Purchase Order?

1. Go to Gear icon
2. Select Account and Settings or Account and Company Settings
3. Choose Expenses. You will find the option in the left pane
4. Choose the pencil icon
5. Tick the Use Purchase Orders checkbox
6. Input titles for almost three custom fields [OPTIONAL]
7. Enter a Default Message on PO [OPTIONAL]
8. Click Save
9. Click Done

How to use Purchase Order?

To make sure you can use the PO feature after enabling the option:

• Enter a purchase order
• Apply PO to a transaction
• Receive or pay part of the PO
• Run PO reports

Enter a purchase order

1. Choose the Plus (+) sign
2. Select Purchase Order
3. Select/Add a vendor from the drop-down list
4. Select the ship from the drop-down list
5. Choose the customer to whom the product is to be delivered
6. Fill the custom field if applicable
7. In the Account section, enter the purchases and other details
8. Click Save
9. Click Send
10. Choose Save or Close at last

Apply a purchase order to concerned transactions

1. Record a bill or keep a check or expense record
2. This will be a proof of your payment made once the PO is accepted and the process is complete
3. On the right side of the screen, under PO section, choose a vendor/supplier for a transaction
4. Choose Add option on the PO to add a purchase order to a transaction
5. It will be added on the first line of the Item details or Account details
6. If each and every quantity or amount relating to the PO is added to the linked transactions, the PO section will automatically shut down
7. In case a PO to a transaction is mistakenly added, you should:
   1. Choose the Trash icon
   2. Remove that item from the list
8. The date of the transaction is also a great concern. It should to either on or after the date of the PO when you link a bill or check or an expense to a purchase order

Receive or Pay part of the PO

If you receive a partial amount on a PO, you should add part of the PO to a transaction. To achieve this, you can:

1. Click the [+] sign
2. Choose Bill/Check or Expense
3. Choose/add a vendor/supplier from the drop-down list
4. A PO section appears on the right side
5. Click Add to add a PO to a transaction
6. It will be added on the first line of the Item details or Account details
7. To make sure the partially paid amount is recorded in the details, you must edit the quantity or amount for each line

Run the purchase order reports

1. On the left pane, click Reports
2. Click All Reports
3. You will find review Expenses and Purchases Choose it
4. There you will get numerous reports options, including Open Purchase Order List
5. Choose to run the report
6. You can also customize the report according to your needs