QuickBooks Online Purchase Order Partial Receipts – How to do this

Orders in a business are placed when something you are buying for your inventory is going out of stock or meanwhile you are reorder point is marked, so here is a purchase requisition filled with lot of numbers and quantities and obviously also the product names or anything that you use to differentiate items in your inventory like part number or product code so the time has come that you ask your vendor for some more material or inventory so you can keep your business operations alive, after the purchase requisition is filled and approved from procurement it is now sent to the vendor in the form of purchase order and that purchase order is also sent to your accounts dept. in which people are managing and maintaining your QuickBooks Online so here after that brief history and what a PO is I am gonna tell you about how you can make purchase orders in QuickBooks online and plus how you can make partial purchase orders in QuickBooks Online a new feature that wasn’t available in QuickBooks Online but is available in QuickBooks desktop.

Besides we are all the fans of QuickBooks Online because of its cloudy nature here are some things that we are not gonna like for some reasons I am going to describe the whole features that QuickBooks Online has in itself about making and tracking things with a Purchase Order.

Automation Settings:

Before getting into it I will discuss here the automation settings which you can find in the “Advanced” tab of your “Accounts & Company Settings” section. You will see that in the very first line there is an option “Pre-filled forms with previously entered content” if this feature is “On” than I am gonna tell you what it could bring to you

Whenever you record a source document (forms in QBO)and save it you will see that the next when you are going to fill the same form let’s say Purchase Order so if you recorded a Purchase Order before and now you are going to enter a new one, If this automation feature is ON you will see all of the information of the previous purchase order is already filled, This way you can make same purchase order again and again with no extra time but if you are ordering a pizza from Pizza Hut at one day and after that day you are ordering Ham Burgers this approach isn’t going to work that’s why I am not a big appraiser of this let’s say if you have entered a Purchase order of 40 items and after that purchase order you are need to enter a new one but will all different 40 items you have to delete the items that was copied due to this feature manually by clicking on the trash can which each item line have on its right side. I am not the appraiser of this as there is a rare chances that you are going to order same items again and again you should also have knowledge that when you create the transaction (expense transaction) or Bill out of this Purchase order the quantities may be copied and you could face overstocking I am not using this it’s just a thought you can ask about it for the support if you find this feature helpful for you.

Purchasing The Orders in QBO:

If your purchase orders are not enables you can enable them by the following way.

Gear Icon > Accounts & settings  >  Expenses Tab (from the left) > Purchase Orders

The following screenshot will be your visual aid for this process of enabling the POs for your QBO,


Now you can create Purchase orders, for demonstration I created a Sample Purchase Order so I can tell you about the whole process,

I created a Purchase Order with two items after initiating the purchase order you have to enter a bill for this purchase order as in Quickbooks Online you can’t enter the check directly so first you make a Bill against that purchase order and after that we assign that bill to the check we paid out for that bill.

One thing here is worth mentioning is that in the Bill form when you enter a Vendor name in the top and you have an open Purchase order for that vendor a Box on the right side of the bill appears showing that a Purchase Order is available for this vendor this allows you to attach that Purchase order to this bill, you see that there is an “Add” button in that box when you click the Add button the line items and all the other necessary information of that Purchase Order is copied into this Bill fields,

The following screenshot will be visual aid for this,

Here you can clearly see that after I hit add button the line items are for that Purchase order is automatically added as I described above.

Partial Receipts some are received some remain Un-received:

Keeping the above example in mind if I haven’t received all the items for this purchase order what happens than meanwhile I just receive the item X1 but not the T2 than what are my options Will QBO allows me to create two bill for one purchase order?

Here in the above visual you see that I have removed one line item and now I am going to receive one item “X1” from that purchase order leaving “T2” un-received.

Now I am making another bill to receive the un-received items which are “T2”,

Before entering any further details I just enter the Vendor name and look what happens a Box on the right again open up with 10000 in balance of a previous purchase order and one more thing that you will notice that as I haven’t click on the add button yet there is a line item already created in the items why the bill states the same as the bill we made before? It is due that Automation feature “Pre-filled with previously entered content” now assume that you received 40 items in the last bill so you have to delete them all manually this is the thing which is Yucky!,

So now look what happens after I hit the add button again,

You see after hit the add button again it enters the rest of the purchase order into the bill.

Now you can see you can enter the partially received purchase orders in QuickBooks Online which you weren’t able to do previously, you can link one or more transactions to one purchase orders as you receive your items against that Purchase order.

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