Preparing QuickBooks Online for integration with LeanLaw involves setting up the necessary accounts and ensuring they are correctly mapped. Watch this video or follow the step-by-step instructions to set up the QBO integration with LeanLaw:
Step-by-Step Instructions:
Open QuickBooks Online:
Go to your QuickBooks file and log in to your company.
Access the Chart of Accounts:
Click on the “Accounting” menu in QuickBooks.
Select “Chart of Accounts” from the options provided.
Review the Bank Section:
Check if you have an operating account listed. It should be set up as a bank account and the detail type designated as “checking.”
If you have trust accounts (like IOLTA trust accounts), make sure they are not set up as “checking,” as LeanLaw requires them to have a “trust account” detail type.
If you need to edit the IOLTA Trust Account detail type:
Click on the down arrow next to the IOLTA trust account.
Select “Edit” to modify the account details.
Change the tax form section to “Trust Account.”
Save the changes to properly detail the trust account.
Set Up Advanced Client Costs (If Applicable):
If you advance expenses for your clients (e.g., filing fees, medical records), you need an account called “Advanced Client Costs” to track these expenses.
Click “New” to create a new account.
Choose the account type as “Other Current Assets.”
Name the account as “Advanced Client Costs” and save it.
Trust Liability Account:
If you have a trust account you will need an offsetting liability account. The detail type must be “trust account liabilities”. If you don’t have one, there is no need to create it now, LeanLaw will create it for you during the integration process.
Create Income Account (Legal Fees, Legal Services, etc):
If you don’t have an income account for legal fees, you’ll need to create one.
Click “New” to add a new account.
Select the account type as “Income.”
Choose the detail type as “Service Fee Income” (not “Sale of Product”).
Name the account “Legal Fees” (or any name you prefer) and save it.
Recap the Required Accounts:
Trust Account: Ensure you have a trust account with the “Trust Account” detail type.
Operating Account: Verify that you have an operating account marked as “checking.”
Advanced Client Costs: Confirm the existence of the “Advanced Client Costs” account under “Other Current Assets.”
Main Income Account: Ensure you have an income account, such as “Legal Fees,” with the detail type “Service Fee Income.”
With the required accounts set up and properly detailed, your QuickBooks Online is now prepared for integration with LeanLaw.
By following these steps, you can make sure that your QuickBooks Online is ready to integrate seamlessly with LeanLaw, streamlining your legal practice’s accounting and invoicing processes.