Classes and subclasses are an additional dimension by which you can categorize data in QuickBooks (in addition to account, customer, vendor, etc.). For example:
Classes are very versatile, but you must be careful to select how you filter, sort and total them, as shown in the cases below.
Your P&L report shows a lot of amounts in the Unclassified, which defeats the purpose of using Classes. You could QuickZoom (double click) on each amount in the column to see some of the unclassified transactions; however, a better way is to QuickZoom (double click) on the Net Income amount at the bottom of the column. This opens a Transaction Detail by Account report showing all of unclassified transactions, but only unclassified transactions. Memorize this report if you cannot classify all of the transactions at one sitting.
As you recall a transaction, enter the appropriate classes and save it, the transaction will fall off the detail report.
If you have the same subclass under several classes, you might want to see a P&L report showing only the same subclass, e.g., subclasses 1C, 2C and 3C. The best that QuickBooks can do is:
NOTE: In QuickBooks for Mac, click the Filters Icon on the Icon Bar to open the Report Filters window. Check or uncheck a filter to add or delete it. Click Apply and close the window to save the changes.
If you run the Unpaid Bills Detail report from the menu, and add the Class column and Sort by Class, you will not see Account = All Accounts Payable which limits the report to source information from the open bills. The class is assigned to the targets and target information is not included in the report.
You can obtain the report you need by changing the filters:
Now the report shows the target data from the open bills and you can sort the report by Class.
The report shows only invoices for which a class has been selected at the top of the invoice and the report is filtering for the A/R account. When you select a class at the top of the invoice, it associates that class with the A/R account. If an invoice has multiple classes, they would have to be selected in the Class column of the invoice and be associated with the target accounts. Since this report is not filtering for those other accounts, it will not put the invoice under the correct classes in the report.
Also, partial payments for invoices showing under a particular class will not reflect properly on this report. This is because the payments are unclassified, while the invoice you are paying may be classified. Because of this, only Unclassified balances will be correct on this report after receiving partial payments. Invoices with classes on this report must be paid in full to be correct.
Note: This report cannot be memorized but it can be created very quickly each time you want to use it.
Note: This report cannot be memorized but, it can be created very quickly each time you want to use it.