How To Use Lot, Bin, and Serial Numbers in QuickBooks Enterprise

QuickBooks Enterprise QuickBooks Enterprise Advanced Inventory

Pete Real

One great thing that QuickBooks Enterprise offers is a set of smart inventory management features. These features make it simple to track and create reports on the inventory of your company. Along with capabilities like mobile barcode scanning, order fulfillment, cycle counts, in-depth inventory reports, and multi-location inventory management, QuickBooks Enterprise now allows for serial and lot number tracking. See more in our guide to the advantages of QuickBooks Enterprise Advanced Inventory.

Remember that a serial number is a unique identification number that is assigned to a manufactured product by a manufacturer, while a lot number is one that is assigned to a group of products that have specific common properties. Before you begin using this functionality, you need to decide if you want to use serial numbers or lot numbers because QuickBooks Enterprise doesn’t allow for tracking of both. We suggest:

Using serial numbers if you:

Buy and sell inventory items that have unique serial numbers
Keep track of which customers bought specific serial numbers
Want to know which serial numbers are in inventory
Need a report that shows the invoices related to a specific serial number (this helps you track down a serial number’s history for a warranty)

Using lot numbers if you:

Buy items in lots
Keep track of which customers bought items from a specific lot
Need a recall report in case you have to track all the items from a specific lot (such as which items are in inventory and which customers purchased them)

When to Use Lot vs. Serial Numbers in QuickBooks Enterprise

Both methods live in the same Advanced Inventory module, but they solve different problems. The key constraint to remember: QuickBooks Enterprise tracks one method or the other, not both at the same time. Use this comparison to decide before you turn the feature on.

Factor	Serial Number Tracking	Lot Number Tracking
What it identifies	One unique number per individual unit	One number shared across a batch of units
Best for	Electronics, equipment, appliances, high-value goods	Food, pharmaceuticals, cosmetics, chemicals, perishables
Primary use case	Warranty history and tracing a single item to a customer	Recalls and expiration tracking across a whole batch
Typical report	Invoices tied to a specific serial number	Recall report listing every item and buyer in a lot
Industry fit	Manufacturers and resellers of unique items	Distributors and producers of batch-made goods

If you sell items customers may return for warranty service, serial numbers give you item-level history. If you produce or distribute goods in batches and may need to issue a recall, lot numbers let you trace an entire batch at once.

Tracking Bin Locations in QuickBooks Enterprise

Beyond lot and serial numbers, Advanced Inventory also supports bin location tracking. A bin location pinpoints exactly where an item sits inside a warehouse, down to the shelf or rack, and shows on-hand quantities plus serial or lot numbers for each bin. You can sort pick lists by bin to speed up order fulfillment and reduce the time staff spend walking the warehouse. Bin tracking is part of the same Advanced Inventory module and is available in QuickBooks Enterprise Platinum and Diamond.

Activating Lot and Serial Functionality in QuickBooks

As you manage inventory in QuickBooks, you will have the option of making serial and lot numbers mandatory for posting transactions on invoices, sales receipts, item receipts, inventory transfer, and more. In these cases, you will have to enter the serial or lot number to avoid getting an error on these activities.

First, you will need to turn on serial or lot numbers within QuickBooks Enterprise. To start tracking inventory items:

Choose the “Edit” ▼ drop-down menu, and select “Preferences”.
On the left side, choose “Items & Inventory”, and then select the “Company Preferences” tab.
Choose “Advanced Inventory Settings”, and then choose the “Serial/Lot Numbers” tab.
Select “Enable Lot or Serial Numbers”, then choose either “Serial Numbers” or “Lot Numbers”.
From Show serial or lot numbers on the following forms, choose what type of transactions you want to show the serial or lot numbers. QuickBooks adds a serial or lot number field to most purchase forms and sales forms including:
- Item receipts
- Bills
- Credit card transactions
- Checks
- Invoices
- Credit memos
- Sales orders and pending invoices
If you want to make tracking mandatory, go to “Default settings for the inventory and assembly items”, and select “Make it mandatory”. It will now be mandatory to enter serial or lot numbers on the following types of forms: invoices, sales receipt, item receipt, inventory transfer, and adjust the quantity on hand. This is where you will get an error message if the serial or lot number is missed.
Find the small arrow ▼icon and set your preferences for warnings for all inventory and assembly items.
Click “OK”.

Adding Lot and Serial Numbers To Existing Inventory

Perhaps you already have a lot of items in inventory with serial numbers. You don’t need to enter them all in QuickBooks right away. You can simply continue your current method of tracking while gradually entering all newly purchased or assembled items with serial numbers as you acquire them.

If you want to add serial or lot numbers to existing inventory, follow these steps, suggested directly from QuickBooks.

Adding Serial numbers

Go to Inventory then select Adjust Quantity/Value on Hand.
Select the Adjustment Type ▼ drop-down, then select Serial Number.
Select the Adjustment Date.
In the Item field, enter the item name, or select the small arrow ▼ icon and select it from the item list.
In the Serial number column, select Quick view for Serial Numbers.
Enter the serial numbers.
Repeat steps 3 and 4 for each item.
When finished, select Save & Close.
To confirm the accuracy of your entries, run the Serial/Lot Numbers in the Inventory report.

To save time, you can paste serial numbers from Excel or comma-separated values (CSV).

Using an Excel file

Copy the serial numbers from your Excel file.
In the Item field, enter the item name, or select the small arrow<▼ icon and select it from the list.
Select the Add Serial Numbers column.
Select the small arrow▼ icon and select Quick View for Serial Numbers.
Right-click and select Paste, then select OK.
Repeat as required, then select Save & Close.

Using a CSV file

Copy the serial numbers from your .csv file.
In the Item field, enter the item name, or select the small arrow ▼ icon and select it from the list.
Select the Add Serial Numbers column.
Select the small arrow ▼ icon and select Quick View for Serial Numbers.
Paste the serial numbers directly into the Serial Numbers field.
Repeat as required, then select Save & Close.

Adding Lot numbers

Go to Inventory then select Adjust Quantity/Value on Hand.
Select the Adjustment Type ▼ drop-down, then select Lot Number.
Select the Adjustment Date.
In the Item field, enter the item name, or select the small arrow ▼ icon and select it from the item list.
Enter the lot number in the Lot Number field.
In the New Count column, enter the number of items in that lot.
Tip: To assign a different lot number to more of the same item, or to assign a different lot number to a different item, repeat steps 4 and 5 as needed.
When finished, select Save & Close.
To confirm the accuracy of your entries, run the Serial/Lot Numbers in the Inventory report.

Still have questions? Need help?

It’s important to know that even with these advanced capabilities, there are some limitations of serial and lot numbers in QuickBooks Enterprise. If you need more sophisticated inventory management, it’s worth talking to one of our experts to learn about which options will best meet your needs. You can speak to one of them directly by calling 866.949.7267, or simply request a free consultation where our team can learn about your business and which accounting tools will be most useful to you. Lot, bin, and serial tracking require the Advanced Inventory module, included in QuickBooks Enterprise Platinum.

Frequently Asked Questions

Can QuickBooks Enterprise track both lot and serial numbers at the same time?

No. QuickBooks Enterprise lets you enable either serial number tracking or lot number tracking, but not both simultaneously. Decide which method fits your inventory before turning the feature on, since switching later means reworking your records.

Which QuickBooks Enterprise edition is required for lot, bin, and serial number tracking?

These features are part of the Advanced Inventory module, which is included in the QuickBooks Enterprise Platinum and Diamond editions. Lower editions do not include Advanced Inventory.

Do I have to enter serial or lot numbers for all my existing inventory right away?

No. You can keep your current tracking method and add serial or lot numbers gradually as you purchase or assemble new items. You can also paste serial numbers in bulk from an Excel or CSV file to save time.

What is the difference between a lot number and a serial number?

A serial number identifies one individual unit, which is useful for warranty tracking. A lot number identifies a group of units made or received together, which is useful for recalls and expiration tracking.

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