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How to record Shopify sales in QuickBooks in 6 easy steps

Launching a Shopify store is full of possibilities. You can get creative with new products and connect with customers all over the world while turning a tidy profit. And when one in five sales happens online, there’s no shortage of demand.

However, many store owners lose their enthusiasm as their inventory grows. Tracking numerous sales across Shopify and QuickBooks becomes increasingly complicated and confusing the more products they add. Soon, all their time gets consumed by manually entering data and double-checking accounts to avoid costly tax errors.

Using the right integration to accurately sync sales and inventory data minimizes any paperwork you have to do. After the initial setup, you’re free to focus on running your store while the tool does all the heavy lifting.

Our guide will show you how to record Shopify sales in QuickBooks automatically using a sync like MyWorks. We’ll talk you through the setup, the benefits, and the best practices to make sure your ecommerce accounting is hassle-free.

 

How does Shopify integrate with QuickBooks?

Shopify integrates with QuickBooks using apps that allow the two platforms to share information. Once set up, apps like MyWorks can automatically map your accounts and sync sales data such as prices, processing fees, and inventory. All your accounting books will be up to date and consistent with your store so you can manage taxes more effectively.

So, why can’t you just connect Shopify directly to QuickBooks?


As Shopify is ecommerce and QuickBooks is bookkeeping software, the two platforms have different structures. They require a specialized integration to find the matches between their systems and transfer the data safely.

Store managers looking to cut costs might cut out the middleman and manually input the data themselves. While this method works for very small ecommerce stores, it quickly becomes unmanageable as you add more stock. You could end up copying hundreds if not thousands of data points when the integration could handle this for you.

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How to choose the right Shopify QuickBooks integration

Before you set up your Shopify accounting integration, you have to find the right sync tool for you.

No two businesses are the same so base the decision on your specific needs. You can consider your size, industry, and location alongside your budget and resources. For example, a small, inexperienced team might prioritize a beginner-friendly tool with expert 24/7 customer support.

Although you should consider your business context, there are some essential features to look for in a Shopify integration. Make sure whatever tool you choose checks off every item on this list:

  • Real-time data sync: Your chosen tool should keep Shopify and QuickBooks up to date to avoid inconsistencies.
  • A range of customization options: There should be a variety of features to tailor the software to your exact processes such as flexible mapping and granular filters
  • Unlimited orders: To accommodate business growth, the platform should be able to handle an increasing amount of sales.
  • Effortless setup: The integration should be easy to learn and quick to launch to avoid disruption to business operations.
  • An intuitive interface: If your team finds the integration easy to use, they’ll be more likely to adopt it and take full advantage of its features.
  • Affordable pricing: The best software has free plans and flexible pricing so you can find a plan that suits your budget. 
  • Responsive customer support: Quick access to experts is essential for troubleshooting issues as they arise.
  • Data security and privacy: Ensure your integration has encryption, two-factor authentication, and a comprehensive privacy policy to keep your business data safe.

 

Also, check if the Shopify integration you’re considering supports QuickBooks Online or QuickBooks Desktop, depending on which version you use.

 

How to record Shopify sales in QuickBooks on MyWorks

Setting up your Shopify QuickBooks integration to record sales is a straightforward, one-time process. However, you can guarantee the best results if you follow the right steps and tailor the software to your needs.

Here, we’ll talk you through how to set up MyWorks as an example so you’ll see how easy it can be.

 

Step 1. Connect Shopify to QuickBooks

Within the Shopify admin area or the app store, search for MyWorks. You can simply click ‘Install’ to download it. 

Once the installation process is complete, find MyWorks on your Shopify store menu under ‘Apps’. Click on the icon and you should have the option to connect to QuickBooks.

QuickBooks will open a pop-up asking you to log into the account you wish to connect. You may need to check it has the necessary permissions for data access and integration with your browser. Afterward, enter your login details and then click ‘Authorize’ to finish connecting the platforms. 

 

Step 2. Map your product data

MyWorks product settings

As soon as you’ve authorized QuickBooks, you can map all your products. If you’re not familiar with the term, ‘mapping’ is when an integration tells two platforms which of their fields refer to the same physical item.

You have the option to map your products either by manually selecting the QuickBooks products or by having MyWorks match them for you. You can also decide whether to sync products based on their names or stock keeping unit (SKU) codes.

But what if you only just got QuickBooks and haven’t added any items yet?

Mapping works a little differently if you’ve got no accounting data. Integrations can usually sync existing data from Shopify to QuickBooks to create it there instead of linking items across the two platforms.

In MyWorks, we have a separate ‘push’ function for this process. All you have to do is go to the ‘Push’ tab on our menu and select the data you want to sync. Everything you choose will appear on QuickBooks in the same place and with the same name as your Shopify account.

The result of mapping and pushing is the same—Shopify and QuickBooks will understand which of their products and customers match.

MyWorks lets you choose how deeply you link your Shopify and QuickBooks accounts. Using the settings, you can map everything from payment methods and customers to tax rates.

 

Step 3. Review your settings

myworks order settings

Now your Shopify and QuickBooks accounts should mirror each other. The next step is to sync all the necessary ecommerce data across both platforms to keep them consistent and up-to-date with each other.

Wait, didn’t I sync the platforms when I mapped them?

Syncing and mapping are similar but separate processes. While mapping creates links, syncing automatically updates the data between Shopify and QuickBooks. Taking this step means that when you make changes on one platform, they are immediately reflected on the other.

For instance, if you reduce some prices on Shopify, you can log into QuickBooks and see they’re lower there—all without having to adjust the fields yourself.

Like with mapping, MyWorks automatically syncs your new customers and orders. You have to decide which other data you’d like to reconcile. MyWorks lets you sync the following types of data under settings:

  • Customer and order data
  • Products and variations
  • Inventory levels
  • Pricing and discounts
  • Refunds and exchanges
  • Transaction fees
  • Gift cards
  • Purchase orders

Having this high degree of flexibility allows you to decide which information is relevant to your QuickBooks account. For example, a clothes store might need to sync product variants like size and color. Whereas an electronics store will be more concerned with recording brands and models. 

 

 Step 4. Account for Shopify fees

Shopify Fees

Before you start syncing sales, set QuickBooks to record Shopify fees via MyWorks.

While taking this step means a little extra work, it’s worth the payoff. By documenting Shopify processing fees as they happen, you’re getting the true cost of each item upfront. These charges add up and, if you wait until later to deduct them, you could easily overestimate your revenue and profitability.

Capturing Shopify fees through MyWorks also helps you record sales more accurately for expense reporting. This ensures you can claim all the deductions your business is entitled to and pay the correct taxes.

To start, check what payments you make to Shopify such as subscription and transaction fees. Create an expense account for each type of charge in QuickBooks.

Now you can log into MyWorks and map these expenses between Shopify and QuickBooks. We include this feature in our Map dashboard under the Payment Methods tab. You just have to enable the tool to record fees as a negative line item and scroll down to select the correct expense type.

 

Step 5. Check your sync

Everything on Shopify and QuickBooks should be ready to go. However, it’s still essential to check your sync works as expected. You’d much rather discover issues during a quiet moment than midway through a large sale on a busy day.

Create an example product in Shopify to see whether all the right details appear on QuickBooks. You may notice you haven’t synced all the relevant information such as color and size for accurate inventory tracking.

You can also compare QuickBooks and Shopify accounting reports to look for discrepancies. Inconsistent data suggests you haven’t synced all the items you need to.

Monitor orders over the first few weeks to check small details like discounts and taxes. After making a few sales, you’ll quickly see if you’ve got all the right information synced for business to run smoothly.

For example, if you have a small store, you might not require an extensive sync at this stage. You may find that mapping all customer information makes checking orders unnecessarily complicated and time-consuming. So, you can simply adjust your MyWorks settings to sync less data from that point onwards.

 

Step 6. Monitor and adjust

Your store will probably change whether that’s the range of products you offer or the volume of sales you make. That’s why it’s essential to continuously review your Shopify QuickBooks integration and check it’s still meeting your needs.

One surefire way to see how your system’s performing is to collect employee feedback. If they’re struggling with some aspect of the software, they can give you a detailed report. They may even have some ideas of how to adjust your setup to solve the problem.

Scheduling regular QuickBooks reviews can also help you pick up on improvements or issues. You could look at trends in metrics like inventory turnover, sales-to-labor ratio, and profitability to see if there are any changes over time. 

For example, you might notice there was an uptick in errors like under or overordering as you partnered with new suppliers. You may realize you need to upgrade your integration to access its purchase order sync feature and keep better track of stock.

 

 

Benefits of using a Shopify QuickBooks integration

As a business owner, you probably prefer to focus on big-picture ideas like introducing new products or branching out into different countries—not learning new software. You want to be certain every piece of tech you own simplifies running your store rather than adding to your to-do list.

Shopify QuickBooks integrations reduce the amount of time you need to spend managing both platforms. Instead of having to manually copy data across platforms, software like MyWorks does it automatically.

But, the benefits of integrations go beyond saving time. As technology is less error-prone than humans, it’ll make fewer mistakes. That means a lower risk of frustrated customers due to incorrect or missing orders or fines from inaccurate tax reporting.

Your employees will also be happier and more productive when they’ve got access to the right technology. In fact, studies say nine out of ten people want more automation at work. Investing in software like MyWorks could help you meet your staff’s needs and improve morale.

 

 

How to avoid common Shopify accounting mistakes and issues

Although using an integration can streamline ecommerce accounting, there are still potential pitfalls. Even the most optimal setup could face challenges like employee resistance or user errors. Here are the best practices to follow to prevent issues and get the best results possible from your software.

  • Maintain consistent accounts: Giving products and customers different names and formats increases the risk of confusion. Ensure you can easily match items by deciding on systems like weight, size, and color. For example, many international clothes stores have the US sizing system and add a comparison chart for the EU and UK.
  • Verify the data: Check for accuracy as well as consistency. If you’ve recorded crucial data like fees or prices wrong, you don’t want to risk copying that to QuickBooks and filing taxes incorrectly.
  • Decide how often to sync the system: You might think updating as frequently as possible is the best practice. However, if you’re finding your feet, you may prefer to sync hourly to give yourself a chance to catch errors before they get transferred to QuickBooks. Platforms like MyWorks let you choose how often to update, ranging from five minutes to an hour.
  • Stay updated with changes: As ecommerce changes, software providers will add new features. Keep ahead of the competition by regularly checking what’s on offer and making sure you’ve got all the tools you need.
  • Manage user access: Employees may need not access to the system to perform their tasks. Minimize the risk of errors or accidental data leaks by giving staff individual accounts with unique login and password details.
  • Train all relevant employees: Some team members may be unfamiliar with or even worried about using ecommerce accounting software. Showing them how to use the platform will make everyone more comfortable with using the software and help them get the most out of it.

 

 

Forget Shopify accounting issues with MyWorks

Shopify Accounting

Running a Shopify store can be a highly profitable, exciting venture. The catch is that as your operations expand, ecommerce accounting becomes increasingly complex. You might end up spending all day copying numbers into QuickBooks and double-checking figures.

That’s when a Shopify accounting integration like MyWorks Sync becomes essential. After a few simple steps, you can automatically share data between Shopify and QuickBooks. 

MyWorks stands out due to its ease of use, high level of customization, and quality customer support. You can tailor your sync to your exact business needs and let the automation handle most of the accounting. That way you free up your time to focus on introducing new products, finding untapped markets, and expanding your operations.  

Why not see for yourself? Book a demo to discover how MyWorks can simplify your ecommerce accounting.

 

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