QuickBooks Online Forecasting Tool- The Cash Flow Planner

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We all are well-familiar with the QuickBooks online application and its user-friendly plus effective tools. One such tool is the QuickBooks Online forecasting tool, which we will discuss in this post. With the advanced QuickBooks tools and functionalities, it’s easy to manage daily business financial and accounting chores. This blog will discuss how this online forecasting tool is helpful in managing the cash flow. Continue reading..! 

Forecasting a business budget is an effective approach for balanced cash flow management. Right? With the help of the QuickBooks forecasting tool, it’s easy to do so. We suggest you contact us at 1-855-603-0490 to make the best use of the tool. 

What’s the QuickBooks Online Forecasting Tool All About? 

If you’re looking for an advanced utility to forecast and manage your business finances automatically, the QuickBooks online forecasting tool is the perfect option for you. The tool effectively helps professionals forecast the cash flow reports to plan their business accordingly and address the upcoming potential crisis in a much better way. Fortunately, this QuickBooks Online tool is an estimate of cash flow over a particular period of time. Additionally, professionals using this tool can easily plan their business, avoid cash shortages, and manage cash surpluses for the future. 

Now, let’s continue reading and learn how to forecast with the help of QuickBooks online forecasting tool. 

Methods to Implement for Cash Flow Forecast in QuickBooks

We have mentioned two easy methods to manage cash flow forecast in QuickBooks Online. Have a look and start monitoring your QuickBooks Forecast Budget report: 

Method 1 – Direct Cash Flow Forecasting

  • In this method, the tool helps users address their business’s liquidity management for a short-term period. 
  • With the direct cash flow forecasting method, you will be able to manage your business’s cash flow for specific dates in the future. 
  • By using this method, the cash flow forecast in QuickBooks online is done by entering the transactions occurring at a particular time of the entire year. Here, you must make sure that it shouldn’t be more than 90 days.

Method 2 – Indirect Cash Flow Forecasting

  • It’s another method of forecasting your business cash flow in QuickBooks Online. 
  • Basically, users must implement this method at the beginning of the financial year while making business plans. 
  • As this method must be executed at the end of the last fiscal year, users have to manage a number of accounting and cash flow reports. 
  • These reports include income statements, balance sheets, and much more for cash flow forecast in QuickBooks. 

Instructions to Run the QuickBooks Online Forecasting Tool 

The process of creating a QuickBooks online cash flow forecast includes simple steps with the help of the excellent utility called the QuickBooks online forecasting tool. Perform the penned-down instructions to use the tool efficiently:

  • Firstly, you must add income sources, which means adding income and expense items. 
  • Continue choosing the Business Overview or Cash Flow tab.
  • Following this, click the Planner button and continue selecting the Add Item alternative. 
  • Now, here, you must choose the options accordingly by checking whether the item you’re adding is Money In or Money Out. 
  • Once decided and selected, continue naming the item. 
  • Finally, choose the Save option. 

Well the tool can also be used to edit or delete the income and expense items. For this, you must go back to the cash flow planner QuickBooks online tool and click the Customize button. By this, you can edit the added item. 

Further, you can also edit the cash flow planner tool, and this may include: 

  • Your business transaction type
  • Cash thresholds
  • Cash Balance account showing Money In or Money Out. 

Top Benefits of Cash Flow Planner QuickBooks Online

The cash flow planner QuickBooks online forecasting tool has a number of benefits, as given below. Take a look:

  • This cash flow planner tool helps streamline and manage cash flow forecasting with accuracy. 
  • Users can access features including planned vs. actual results, customer insights, VAT/GST forecasts, and scenario planning. 
  • With this QuickBooks online forecasting tool, users can easily edit the required transaction date, name, and amount wherever they need. 
  • The tool provides a time graph from which accountants can check their business bank account balance. 
  • By using this tool for your cash flow forecast management, you can even test the business’s future outcomes and analyze their impact on your business’s future. 
  • Also, with the help of this cash flow planner QuickBooks online tool, business accountants can view their cash flow in 1 month, three months, six months, plus one-year increments. 
  • The tool forecasts and ensures your QuickBooks data is more accurate and reliable for seamless QuickBooks online budgeting and forecasting. 

How to Manage Forecasting in QuickBooks Online?

Below are the quick steps to manage forecasting in QuickBooks online; carefully perform the given instructions to use the tool and forecast your business cash flow:

  • Firstly, you must open your QuickBooks online application and make sure you have a proper internet connection setup. 
  • Once you launch the application, move straight to the left menu of QuickBooks Online and go to the Reports section. 
  • Here, you will see the Search field; in this, you must type Statement of Cash Flows. Immediately after this, press the Enter key. 
  • In the next step, you must click the search results of Statement of Cash Flows to open the cash flow reports. 
  • Now, look for any necessary changes you need to make. If so, hit the Customize button to adjust the settings of the cash flow report. 
  • Finally, you must hit the Run Report button. 

What are the Different Types of Cash Flow Forecasts? 

In this section, we will discuss the types of cash flow forecasts specifically in detail. Carefully read out for better insights into QuickBooks online budgeting and forecasting. 

Short-term Cash Flow Forecast:

Firstly, we will discuss the Short-term cash flow forecast, which is basically used to manage your business’s daily cash requirements. With this type of cash flow forecast, you can get future insights ahead of a few weeks. Additionally, this forecast type includes a daily breakdown of cash receipts and payments. 

Medium-term Forecast type:

Talking about the medium-term forecast type typically spans 13 weeks. Sometimes, this forecast type may be longer or shorter based on the business’s requirements and conditions. Business accountants are suggested to opt for this cash flow forecast type when they are working on business liquidity planning. 

Long-term Cash Flow Forecast:

It’s a type of cash flow forecast that basically covers 12 months (a year). The long-term cash flow forecast type is typically a starting point for QuickBooks online budgeting and forecasting. If you’re looking to plan some long-term growth strategies for your business, go for the long-term cash flow forecast type. 

Mixed Period Forecast type Cash Flow:

The combination of all the cash flow forecast types above is the Mixed Period type. With such types, let’s say a business can forecast for six-week containing two-week day-to-day cash flows and maybe for a month with weekly cash flows.

For More Information, Contact Us..!

Hopefully, this comprehensive blog has given you enough insights about the QuickBooks online forecasting tool, how it can be used, and all the relevant information. We suggest you run the tool and make its best use for forecasting your business cash flow and make the decisions or plans accordingly. However, if you have any confusion regarding the tool, issues while running it, or need to know more from professionals, just connect with us via Live Chat Support. Our team of QuickBooks experts will answer your queries and assist you professionally. 

Frequently Asked Questions (FAQ’s) 

Ans: The QuickBooks cash flow forecast helps you to analyze and manage your:

  • Income statement
  • Balance sheet
  • Monthly or quarterly expense statements 
  • Your top-selling business items 
  • Top vendors by expense 
  • Your pending business bills 
  • Customers with due or upcoming invoices and payments 

Ans: If you’re looking for how to accurately calculate cash flow forecast in QuickBooks online, perform the given method:

Beginning Cash + Projected Inflows – Projected Outflows = Ending Cash 

Ans: Intuit has introduced an excellent and user-friendly utility for cash flow management and business planning. It’s the QuickBooks online forecast tool. It effectively helps professionals forecast the cash flow reports to plan their business accordingly and address the upcoming potential crisis in a much better way. Also, by using this tool for your cash flow forecast management, you can even test the business’s future outcomes and analyze their impact on your business’s future. 

Ans: Typically, there are five types of cash flow forecasts, including,

1. Short-term
2. Medium-term
3. Long-term
4. Mixed-term 

Ans. Ans: You can get in direct contact with our certified QuickBooks technical support team by ringing us anytime. Also, you can ping out our available QuickBooks experts via Live Chat Support. 

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