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Caesar's Brook Babblings
QuickBooks News You Can Use 
January 2010 - Vol 3, Issue 1
In This Issue
Useful Year End Resources
Preparing 1099s with QuickBooks
Prepare and File 1099s Online
ViewMyPaycheck Sneak Preview
Caesar's Brook

White TigerWelcome to the January issue of Caesar's Brook Babblings.

Happy New Year.  In the Chinese calendar, 2010 is the Year of the Tiger.  I know that, like me, most of you are looking forward to grabbing all the opportunities this new year brings by the tail.  However, those of us responsible for keeping the books can't put 2009 behind us just yet, so this month's issue is full of year-end resources and comes to you a week early so that you can take full advantage of them. 

Our feature article provides step-by-step directions for preparing 1099s in QuickBooks.  We also introduce you to a new service that allows you to file your 1099s online.
And don't forget, I'll be presenting a Getting Started With QuickBooks workshop for SCORE at 5:30 pm on January 27 at the Bedford Public Library.  If you know anyone thinking about making the move to QuickBooks, pass the word along.  Registration and more information at

QuickTip of the Month

Useful Year End Resources
QuickBooks Year End Guide - Did you know QuickBooks has a built-in Year End Guide and Checklist?  It's located on the Help pull down menu.  Double-clicking on any topic will open a help window giving you more how to information.
Previous published articles - If you are looking for a quick refresher course, you may want to review these previously published articles: "Year End Cash Basis Accounting in QuickBooks" (December 2008) and "Closing Your QuickBooks File at Year End" (January 2009)
FeatureFeature Article
1099-MISCPreparing 1099s with QuickBooks
If you have independent contractors or pay rent or royalties, you will most likely need to prepare 1099-MISC forms.  Here's a step by step guide to preparing these forms with QuickBooks.

Step 1: Turn on the 1099 Preference
Select Preferences from the Edit pull down menu.  On the company tab for Tax: 1099, select yes to the question "Do you file 1099-MISC forms?"  Save and close the preferences.  We'll come back later to map the accounts.
Step 2: Identify Target Vendors
You probably know who most of your 1099 vendors are, but a quick way to check that you haven't forgotten anyone is to create a report that lists your vendors sorted by the total amount you paid them last year.  From the reports menu, select Custom Summary Report.  On the Display Tab, select the settings shown below.
Modify Report options
On the Filters Tab, verify that Accounts is set to "All income/expense accounts" and run the report.  Draw a line at $600 and look for anyone you might have overlooked such as the electrician who re-wired your office or the handyman who installed shelving for you.  For more information on who should receive a 1099 from you, refer to the 1099-MISC instructions available at
Step 3: Verify Vendor Information
Edit the vendor and verify that the name and address fields are correct. QuickBooks uses the following fields to complete the 1099 form:
Recipient's Name Line 1: <First Name> <M. I.> <Last Name>
Recipient's Name Line 2: <Company Name>
Street Address: <Address Line 2> <Address Line 3> <Address Line 4>
City, state, and ZIP: <City> <State> <Zip>
On the Additional Information Tab, verify that the "Vendor eligible for 1099" box is checked and that the tax id has been entered correctly.  Social Security numbers should be formatted as xxx-xx-xxxx and EINs as xx-xxxxxxx.
Step 4: Map Your Chart of Accounts
On the Reports Menu, under Vendors, select the 1099 Detail Report.  Change the 1099 Options shown at the top of the report to include "All allowed accounts".  This report will give you a list of all the accounts that you need to map to the various boxes.  I run this report every year and verify that the mapping is correct and up-to-date.
Return to the Tax: 1099 Preference and map the accounts.  Click in the account column and select the appropriate account.  To map more than one account, select "Multiple Accounts" and then check all appropriate accounts.
Step 5: Verify the 1099 Report
On the Reports Menu, under Vendors, select the 1099 Summary report.  Set the 1099 Options to: Only 1099 Vendors, Only 1099 Accounts, Use Thresholds.  This report will show you for whom QuickBooks will prepare a 1099, and what amounts will appear in what boxes.  Verify that it is as you expect.  Make any necessary corrections before proceeding.
Step 6: Printing the 1099s and 1096 Forms
QuickBooks only prints the vendor information; you will need to purchase pre-printed forms.  Forms are available for purchase at office supply stores or can be ordered online.  In addition to the appropriate number of 1099 forms for your vendors, you will need at least one 1096 transmittal form for each company for which you are filing forms.  I recommend buying extra quantities of all forms.  No matter how careful I am, I always end up reprinting some forms and you will need the extras if you have to file any corrected forms.
Selecting Print 1099s/1096 from the Vendor pull down menu will take you to the 1099 and 1096 Wizard.  We've already completed steps 1 - 3 on the wizard, so go directly to Print 1099s.  Follow these steps:
  1. Select the date range.
  2. Select the first two vendors only.
  3. Select your printer and print on blank paper to use as a test sample.
  4. Verify that your company information is correct.  Make any necessary corrections on the Company Information screen available from the Company pull down menu.
  5. Hold your sample and a 1099-MISC Copy A form up to the light.  If you need to adjust the alignment, repeat steps 1 - 3, selecting Align rather than Print in Step 3.  Use the arrows to adjust the alignment.  Print a new sample.  Repeat as necessary.
  6. Verify how the forms are inserted into the printer; they will go in the same way (face up or face down) as your checks do.
  7. Print your forms in small batches by selecting two, four, or six vendors, for example, to minimize waste if something goes wrong.
You must mail the vendor copies of the 1099 forms no later than February 1st.  However, Copy A and Form 1096 do not need to be filed until March 1st.  I recommend waiting until close to the deadline to print these forms, so that any corrections requested by vendors can be made. 
Prepare and File 1099's Online
Speed E FilerIf printing forms isn't your thing or you need to file forms not available in QuickBooks, such as 1099-INT, check out  You can upload your data, drag and drop it on the forms, and choose whether to have them print and mail the forms to the recipients and e-file with the IRS for you ($4.95 per filing for 1-10 filings), or just print and mail the recipient forms ($4.35 per filing), or just e-file ($.95 per filing).  When the filings are complete, they post a PDF copy for your files or to send to state and local governments.  An added benefit is that e-filed IRS E-filereturns are not due until March 31, giving you extra time to make any corrections.
ViewMyPaycheck Sneak Preview
IntuitIntuit's ViewMyPaycheck is a new online service that allows you to provide electronic copies of your employees' pay stubs and W-2s online. It's free to all Intuit Desktop Payroll users (Basic, Standard, Enhanced, Enhanced for Accounts, and Assisted) who use QuickBooks 2009 or QuickBooks 2010.
You can get a sneak preview at even though Intuit hasn't officially started promoting it yet.
banner 2I hope you found these babblings useful.  Your feedback is important to me.  Please drop me a line and let me know what you think.
Susan Dugdale
Caesar's Brook Business Solutions, LLC
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