Thousands of small and medium businesses use QuickBooks Online to run their businesses. Users can access QuickBooks at any time from anywhere, making business operations much easier. Many people are still using QuickBooks desktop, so they are under the impression that converting from QB desktop to QB Online is a hassle and a risk of losing data. However, this is not the case, as QuickBooks Online offers many advantages and the whole process is straightforward.
Benefits of Converting QuickBooks Desktop to QuickBooks Online
- QuickBooks Desktop can be converted to QuickBooks Online for free. Intuit does not charge for importing data to the online version.
- It is easy to compare reports from one year to another.
Is QuickBooks Online Good for Me
|I use QuickBooks Desktop to…||Can be done in QuickBooks Online||Can be done in QuickBooks Desktop|
|Access my company file and manage my data||Backing up the data||All editions||All editions*|
|Revert to prior version of my company file||Not available||All editions, with backups|
|Work with my accountant||All editions||All editions|
|Accessing company file remotely||All editions||All editions**|
|Allow multiple users to access my company file||Essentials, Plus||All editions|
|Maintain multiple company files||Requires additional subscriptions||All editions|
|Work with multiple QuickBooks windows open at once||All editions||All editions|
|Work with my customers||Create and manage invoices and bill customers||All editions||All editions|
|Create and manage estimates, send to customers, convert to invoices, and use progress invoicing||All editions; Progress invoicing in Plus only||All editions|
|Track sales, accept payments, and calculate sales tax||All editions, with QuickBooks Payments||Not available|
|Track sales and expenses in multiple currencies||Essentials, Plus||All editions|
|Track projects including time expenses, pending payments, unbilled work||Plus||All editions|
|Invoice with batch invoicing||Not available||All editions|
|Prevent sales to customers with overdue invoices||Not available||Enterprise|
|Work with my suppliers||Manage bills and pay suppliers||Essentials, Plus||All editions|
|Billable expenses||Plus||All editions|
|Track and manage contractors||All editions||All editions|
|Manage employee data||Track employee time, including billable hours||Essentials, Plus||All editions|
|Pay employees, e-file payroll taxes, and print and file T4s||All editions, with Enhanced Payroll||All editions, with Payroll subscription|
|Connect to my bank, download transactions, and reconcile||All editions||All editions|
|Use online banking||Undo previous bank reconciliations||By an accountant, in QuickBooks Online Accountant||All editions|
|Use the FIFO method to track inventory quantities, sales revenue, and COGS||Plus||Enterprise, with Advanced Inventory|
|Use Average Costing method to track inventory||Not available||All editions|
|Manage inventory||Set and manage inventory reorder points||All editions||All editions|
|Track income and expenses and organize according to tax categories||All editions||All editions|
|Run custom, Profit & Loss, expense, and balance sheet reports||All editions||All editions|
|Create and run reports||Forecast sales and expenses||Plus||Premier, Enterprise|
|Create custom reports with Intuit Statement Writer||Not available||Enterprise|
|Use Advanced Reporting||Not available||Enterprise|
What are the steps to move your QuickBooks desktop to QuickBooks online?
In fact, QuickBooks Online is being used by thousands of small and medium businesses all over the world. Users can access QuickBooks anywhere from anywhere, making business operations much easier. In fact, they can back up their data from anywhere. This is one of the reasons why so many people are switching from QuickBooks desktop to QuickBooks Online. Here we are going to look at how you can do it in three very easy steps.
Step 1: Verify the Data
Verifying data is the first step. To do this, click on “File”, then “Utilities”, and then “Verify”. If there are any problems when you try to “Verify Data”, you will need to “Rebuild Data.” Once the data is rebuilt, verify it again to see if the problem has been resolved. Contact QuickBooks support if the problem persists.
Step 2: Save the company file as a QuickBooks Online file
Make a copy of your company file in QuickBooks desktop version that is also compatible with QuickBooks Online. For QuickBooks online, select “Files”, then “Utilities,” and “Copy Company Files.” Once done, “Save the file” on your desktop. A new QuickBooks file with the extension “OE.qbw” will result from this process.
Step 3: Import QuickBooks Desktop files into QuickBooks Online
Using Internet Explorer, you can easily import QuickBooks Desktop files to the online version after completing the first two steps.
- Select “Company”, then “More”, and then “Import QuickBooks Desktop Data”.
- Select the “File” you want to import and wait for the importing process to complete.
- A confirmation email will be sent once the importing of data is complete.
How to convert QuickBooks desktop files to QBO
Here are seven quick steps to convert your QuickBooks Desktop files to QuickBooks Online (QBO).
Step 1: Check the File Requirements
- In the first 60 days of your subscription, you can import your data to QuickBooks. If it is longer than 60 days, you can still import your data.
- Find a QuickBooks ProAdvisor who can convert your subscription to 180 days.
- Set up a new QuickBooks Online subscription using a new email address.
- Verify the data.
Step2: Prepare the Data
- Finish all outstanding tasks related to payroll, bank accounts, inventory, etc., before converting from the desktop version online.
- Make sure all your data is up to date before converting.
- In QuickBooks Desktop, go to File, then Back Up Company, then Create Local Backup before converting your data.
Step 3: Create an account with QuickBooks Online
- As soon as you have completed all the data work, create a QuickBooks Online account and provide all the necessary information.
- After completing the process, log out of your QuickBooks account.
Step 4: Open QuickBooks Desktop
- Open QuickBooks Desktop once you have logged out of your new QuickBooks Online account. Be sure to download the latest update before exporting.
- If not, select QuickBooks Update from the Help menu.
- Afterward, select Export Company File to QuickBooks Online from the Company Menu.
Step5: Sign in back into your QuickBooks Online account
- When you select Export Company File to QuickBooks Online, you will be asked if you want to export your existing inventory.
- In QuickBooks Online, inventory is valued using the FIFO method (first in, first out).
- From the mentioned start date, the inventory value will be recalculated using the same method.
Step 6: Select a QuickBooks Online company
- The QBO company to which you want to import data must be selected from the drop-down menu.
Step 7: Copy the Data File
- The data file will take some time to copy once you select the company file.
- When all the data has been copied, you will receive a notification and need to click OK Got It.
- You will receive an email confirmation once your data is ready in QuickBooks Online, and you will be asked to complete the setup.
- You can run a profit and loss statement and a balance sheet report and compare QuickBooks Desktop and QuickBooks Online before you begin working with QuickBooks Online.
- You will receive an email notification similar to the one below once your data is ready.
- Log into QBO and review your data by clicking the “Complete your setup” button.
QuickBooks Online is much easier to use than QuickBooks Desktop, and that’s why more and more people are switching to it. Hopefully these steps will guide you through the conversion process.
We offer QuickBooks helpline number so you can reach out to our US based best accounting experts if you are unable to follow these steps or are experiencing any problems. You can reach out to our QuickBooks online support team 24/7 by calling our helpline, +1-800-986-6821.