Linda Artesani walks through QuickBooks Online's new usage limits starting July 1: 250 accounts maximum, 40 combined classes/locations, and billable-user seats ranging from 1 to 25 depending on your plan. Desktop conversions are grandfathered in and don't count toward the limit.
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Hi there, Linda Artesani, Artesani Bookkeeping. So I wanted to talk usage limits because on July 1st, they're going to start to enforce the usage limits on the QuickBooks Online files. So the good news is if you've converted from QuickBooks Desktop, you've got the ability to have a little bit more accounts than you would with if you were straight up coming in with a fresh file in QuickBooks Online. Let me take you to my file. This is a file, the law firm, it's the one I talked about last week. It's a file that I use to— I bought 5 for $5 and I'm using as my sample file. And I actually found, I think it was 2015, used to be able to download sample files by industry. So I used a law firm one. and imported it in. And how do I know that this is the case? Well, if you come over here, you can see that I— this, this could be very similar to what you have. You can see here's my trust account, my bank account. I'm just going to take this account here. I'm going to make it inactive. And as you can see, it says make it inactive, but it won't reduce usage. Why? What if I want to get my account under $250 and I want to reduce it? It's not going to reduce my usage. I'm going to hit inactivate. And it still says— but if you look here, the key is it says I'm using 16 of 250 accounts. So all those accounts I imported from desktop don't even count. They don't count towards my usage. So I'm only using 16 of 250, even though I've got clearly more than 16 accounts here. None of these are counting that came in from the imported file. So hopefully that clears some of that up, because I know a lot of people were freaking out. They went in to clean up their usage and they were like, what is going on here? But it said make an active won't reduce usage. But if you look, you can see that I'm only shown as using 16 accounts, 16 accounts that I've added since I imported and converted my file from QuickBooks Desktop to QuickBooks Online. So hopefully that'll calm the waters here because I know that a lot of people are going to be like freaked out a little bit. I've got some clients that need to move to Advanced and I'll be doing maybe some videos in the near future on, on that product. I've got a I've got a client in there now and I'm really having a blast using the custom feature, adding custom fields and using some of the features that are in there that— and I'm starting to really delve into Fathom. So you'll see that in a future video. But I wanted to just touch upon the usage limits because it's going to be— and I'll take you here— how to manage the usage. What is usage? So this is the new usage limits. So it's 40. Classes, you don't get classes or locations in Essentials or in Simple Start, so it's not really relevant. But 40 is the limit. It's a combination. You can use either 40 alone or 40— you could use 40 classes or 40 locations or 20 and 20. It can be a combination, but that's the limit limitation. Billable users, again, this is your billable users, and that is 1, 3, and 5. And then you're up to 25 and 25 plus with Advanced, you get 3 seats for bookkeepers. accountants, which is pretty cool. And that has come up where I would want to have that extra one. Sarah and I are working on a file right now. And it's nice to have her and I and then the CPA. So that is something and it makes sense that they would put that in Advanced because it's for more mid-market client. And then of course, time tracking. And it just explains what you need to do. I'll link this into the, into the notes as well. Limits on the dashboard, you can see them. How do you upgrade? Very simple to upgrade. And here's a test drive if you ever want to try the test drive for advanced. You can manage your classes. And this is just separate articles that will take you there using the product— projects feature instead of using the classes if that works for you, depending on what you're using classes and locations for. And it just goes through all those things. So I'll— we'll put that in. There's a lot of detail here. And you will find that on July 1st, those limitations are going to be— you're going to be set in, grandfathered in at where you're at. And if you're at 355 on the Chart of Accounts and you're only supposed to have 250, you're going to stay there. They're not going to push you into it. However, if you want to add a new account, you're going to have to move to Advanced or find an alternate way of working it. Convert back to Desktop. You don't have the limitations, but then again, you're in Desktop. So that's another option or change to another software. Those are your options. Highly recommend looking at Advanced. It's a pretty cool product. And if you have any comments or questions, you can reach out to me. Please feel free. And if I can't— don't know the answer, I will find it for you. I hope you all have a wonderful week, and thank you for watching. Bye now. Bye.
