The more your business grows, the more critical it will befor you to leverage accounting tools to grow your business. However, that
growth can also make accounting and reporting more difficult.
Once your business has multiple departments or productlines, it can be hard to separate the performance of one particular area from
the whole. While your business may be profitable, you may have one particular
product category that’s a complete flop.
By eliminating (or improving) the one category that’s fallenbehind, your business as a whole could profit even more.The overall point is
that as your business expands, segmentation becomes more important.
Class tracking inQuickBooks is a feature that allows you to group expenses and invoices.You can segment by location, department, or any other way you categorize your
business.
What Is Class Tracking In QuickBooks?
Class tracking inQuickbooks is an opt-in feature that allows users to group expenses orinvoices by location, department, or any other meaningful segment of your
business. According to QuickBooks’ own guide, you can assign a class to many
types of transactions, including:
Estimates
Invoices
Sales Orders
Sales Receipts
Statement Charges
Credit Card Charges
Refund And Credits
Bills
Checks
Paychecks
Purchase Orders
As you can see, nearly all of the most common transactionscan be assigned a class. And that’s a good thing because it makes it easier to
filter by multiple classes, departments, or locations to create reports.
