There are two ways to manage bill payments in QuickBooks:
Enter bills when you get them and pay them when
This method lets you keep your money in your business for as long as possible,
and it enables you to track how much money you owe. You can run reports at any time to see
how much you owe, and to whom. This method also keeps a record of all your bills, both before
and after they're paid.
Use the Enter Bills window to enter bills into your
Accounts Payable account.
Use the Pay Bills
window to pay them when they're due.
You can set up QuickBooks to
remind you to pay bills when
Important: If you've entered a bill in the
Enter Bills window, you should always use the Pay Bills window to pay that bill.
Otherwise the bill will not be marked as paid.
Pay bills as soon as you receive them.
Use this method only if the bills
have not been entered and you don't need to track them.
If you're paying with cash, check, or any form of payment other than a credit card,
Write Checks window.
If you're paying the bill with a credit card, record the payment in the
Enter Credit Card Charges window.
In either window, assign the charge to an expense account.
Setting up reminders for recurring bills