If you bill clients by the hour, it’s essential to provide them with accurate invoices. This means you have to accurately record the time you spend on projects. QuickBooks Online offers basic time tracking features that let you enter time entries for one-off tasks or single time activities.
In this article, we’ll cover single time activity timesheets and how to set them up in QuickBooks Online. We will also share some of the benefits of single time activity timesheets in QuickBooks.
Understanding Single Time Activity Timesheets
Single Time Activity Timesheets in QuickBooks are a feature that allows you to track and record the time spent on specific tasks, projects, or appointments for billing, payroll, and reporting purposes. This feature is particularly useful for businesses that need to track time for one-off activities, such as freelancers, consultants, contractors, or service-based businesses.
How to Enter a Single Time Activity Timesheet in QuickBooks Online
Step 1: Navigate to Single Time Activity window. To get started, click on +New on top of the QuickBooks Online homepage and select Single Time Activity under the Employees column.
Step 2: Complete the Single Activity form. Next, provide the required details in the Single Activity form, including the date, name of employee, customer, and service. Also, you must specify the actual time spent by the employee on the project or service, or you can enter the start time and end time, and QuickBooks will automatically calculate the total hours.
You can mark the item as billable if you wish to bill it to the customer, which then prompts you to enter the hourly rate for the service performed. QuickBooks Online will automatically calculate the total billable amount based on the rate and number of hours you entered.
Time Activity screen in QuickBooks Online
Step 3: Save the single activity timesheet. After providing all the necessary details, click on the Save button to record the new timesheet.
Benefits of Single Time Activity Timesheets in QuickBooks Online
- Accurate Billing: Single time activity timesheets allow you to bill clients accurately based on the actual time spent on tasks or projects.
- Faster Invoicing: QuickBooks Online allows you to convert time entries, including those created through single time activity timesheets, into invoices
- Employee Compensation: For businesses with employees or contractors, Single time activity timesheets are essential for calculating employee compensation. This ensures that employees are paid fairly for their time worked.
- Project Profitability Analysis: Time tracking data gathered through single time activity timesheets allows you to analyze the profitability of your projects or services. You can determine which clients or projects are most profitable and which may need adjustments.
- Resource Allocation: Single time activity timesheets help you allocate resources more effectively. By understanding how much time different tasks or projects require, you can assign personnel and budget resources appropriately.
- Project Management: For project-based businesses, single time activity timesheets aid in project management. Project managers can track the time spent on different project phases, identify potential delays, and allocate resources accordingly.
- Historical Data for Reference: Time tracking records serve as a historical reference, allowing businesses to revisit past projects, tasks, and client interactions. This can be valuable for resolving disputes, improving processes, and maintaining comprehensive business records.
Single time activity timesheets are a great way to efficiently and accurately manage time-related tasks and activities within your business. These timesheets offer several advantages that can streamline operations and improve various aspects of your business.