Utilizing QuickBooks Software on the Ranch
Keeping financial records is important on any ranching operation.
Keeping accurate and updated financial records is important to any successful operation, but where do you start? What programs offer an all-in-one service for recordkeeping, payroll, bills and invoices? How do you transfer records from one software to another?
Mark Dikeman, executive director of the Kansas Farm Management Association, suggests trying QuickBooks® as an alternative to Microsoft Excel or written accounting records. QuickBooks is an accounting software designed by Intuit.
“Obviously, it’s a piece of software where you need to be proficient in using the computer and handling that to really be successful with QuickBooks,” Dikeman says.
While financial records are part of any operation, keeping them updated regularly is essential.
“I know many people wait till the end of the year to start working on their records, and it’s frustrating for them. The records probably aren’t as accurate as they could be,” he notes. “Whether it’s every week or every two weeks, sit down and keep your records up to date throughout the year.”
Dikeman also encourages detailed notes on all financial records.
“There’s plenty of room in QuickBooks memos to leave yourself notes and the paper trail so you can remember a year from now what a transaction is all about,” Dikeman adds.
Once past the learning curve with the software, QuickBooks is a flexible program that is relatively easy to use.
“It’s likely that if you have an accountant or tax preparer, they’re already familiar with QuickBooks or how to use it, so it is easy to send files back and forth,” he says.
QuickBooks desktop version is an annual $600 subscription, and QuickBooks online is a monthly $30 subscription. Both services are geared toward small- to medium-sized businesses. QuickBooks online is cloud-based and offers a range of plans for business needs. QuickBooks desktop has industry-specific and inventory software built into the program.
Start small, Dikeman advises. “As you get started with QuickBooks, start simple. Don’t try to deal with everything at once. Try to get the basics down and start with being consistent in what you do.”
Dikeman says that finding the right fit for your needs, technological knowledge level and operation specifics is necessary to be successful.
Resources to learn QuickBooks or answer questions can be found online, at Extension offices, local farm management services or through your accounting firm.
Editor’s note: Maddy Rohr is a student in agricultural communications at Kansas State University. [Lead photo illustration by Leann Schleicher.]
