Create and send estimates in QuickBooks Online

Learn how to set up estimates in QuickBooks Online.

Create an estimate when you want to give your customer a quote, bid, or proposal for work you plan to do. The form looks similar to an invoice, but has a different purpose – it helps you start discussing details with your customer.

When the work is done and you’re ready to invoice your customer, you can convert the estimate to an invoice so you don’t enter it twice. Here’s how to create a brand new estimate, convert it, or attach it to an existing invoice.

Step 1: Create an estimate #

  1. Select + New.
  2. Select Estimate.
  3. Select a customer from the Customer dropdown.
  4. If the work has already started, select a status from the Pending ▼ dropdown. This is optional.
  5. Set the Estimate Date and the Expiration Date.
  6. Enter the products and services you plan to sell.
  7. Enter any other info you need.
  8. When you’re ready, select Save and send.

Step 2: Update an estimate’s status #

When your customer accepts the work, or decides they don’t want to continue, update the estimate’s status. This keeps your accounts accurate and up-to-date:

  1. Go to the Sales menu.
  2. Select the All Sales tab.
  3. Find the estimate.
  4. In the Action column, select the dropdown▼ and then Update status.
  5. Select Accepted or another status. Then select OK.

Tip: Estimates aren’t considered transactions on your books until they’re accepted.

Step 3: Convert an estimate to an invoice #

Convert the estimate to an invoice so you can bill your customer:

  1. Go to the Sales menu.
  2. Select the All Sales tab.
  3. Find the estimate.
  4. In the Action column, select Create invoice.
  5. Select Remaining total of all lines option if you want to create invoice on the entire estimate amount.
  6. Select Create invoice
  7. Make any changes to update the invoice.
  8. Check the customer field and make sure the invoice is going to the right person.
  9. Make sure there’s a linked Estimate link on the invoice. This shows the converted estimate. QuickBooks won’t create a separate transaction.
  10. When you’re ready, select Save and send.

Add an estimate to an existing invoice #

Step 4: Review open estimates #

  1. Go to the Sales menu.
  2. Select the All Sales tab.
  3. Select the Filter ▼ dropdown.
  4. In the Type dropdown, select Estimates.

You can also run a report to get more details:

  1. Go to the Reports menu.
  2. Look for and open the Estimates by Customer report.
  3. Select your date range and select Run Report.

This gives you the customer name, estimate number, status, and Invoice No. if it’s been converted.

Delete an estimate #

Focus on your business, not your books. #

Your QuickBooks-certified bookkeepers will get to know your business and industry and customize your setup accordingly. Learn more about QuickBooks Live Bookkeeping.

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