QuickBooks Integration in Practice Pro

You can enable QuickBooks in your firm settings to allow expense, invoices, payments, and trust transactions to get sent automatically to QuickBooks when created in Practice Pro.

Be sure to Setup QuickBooks for Practice Pro for the best experience in Practice Pro before enabling QuickBooks.

Connect QuickBooks to Practice Pro for your Firm

In the top right corner, select the down arrow next to your name
In the navigation menu, select "Firm Settings"
On the Firm Settings page, click the "Integrations" tab
Under QuickBooks, click the "Settings" button

Click the "Connect" button
You will be redirected to the QuickBooks website and be prompted to login
Login to QuickBooks to confirm that you want to integrate with Practice Pro

You will be redirected back to Practice Pro integrations page.

Configure QuickBooks Integration in Practice Pro for your Firm

Once you've been redirected back to the Practice Pro integration page for QuickBooks Online, then click the "Settings" button to configure the integration.

Additional Configurations

QuickBooks integration has two new configuration options to “Group Invoice Lines By Member/Class” and “Skip Zero Amount Invoices”.
- When choosing to group invoice lines by member/class, Practice Pro will push to QuickBooks 4 line items per member for fees, hard costs, soft costs and interest on the invoice when available.
- When choosing to skip zero amount invoices, Practice Pro will not push to QuickBooks any invoices that are $0 bill amount. Go to Firm Settings > Integrations > QuickBooks and click on Settings to enable on the new options.

Setup Accounts

First, you should configure the Accounts in Practice Pro that align with the related QuickBooks Online Chart of Account.
Set the Following QuickBooks Accounts for Practice Pro:
- Note: QuickBooks integration will now show a warning when you set the A/R account that you must ensure the selected A/R is the default A/R account in QuickBooks. The “default” A/R account in QuickBooks would be the A/R account that is debited when a new invoice is created.

Account Name	Account Type	Detail Type	Sub-Account
Billed Fees	Income, Other Income	Service/Fee Income
Checking	Bank	Checking
Accounts Receivable (A/R)	Accounts Receivable (A/R)	Accounts Receivable (A/R)
Accounts Payable (A/P)	Accounts Payable (A/P)	Accounts Payable (A/P)
Client Cost Advanced - Paid	Accounts Payable (A/P)	Accounts Payable (A/P)	Accounts Payable (A/P)
Client Cost Advanced - Pay When Paid	Accounts Payable (A/P)	Accounts Payable (A/P)	Accounts Payable (A/P)
Unbilled Client Cost Advanced	Fixed Asset, Other Asset, Other Current Assets	Other Current Assets
IOLTA	Bank	Trust Account
Unallocated Funds	Other Current Liabilities, Long Term Liability	Other Current Liabilities
Credits/Discounts/Write Offs	Expense	Other Business Expenses
Soft Costs	Income	Service/Fee Income
Interest	Income	Service/Fee Income
Client Refunds	Accounts Payable (A/P)	Accounts Payable (A/P)	Accounts Payable (A/P)
Firm Expense	Expense, Other Expense	Office/General Administrative Expenses
Blackbook Expense	Expense, Other Expense	Other Business Expenses

Here is an example of QuickBooks Accounts with the Type and Detail Type

Setup Vendors

Next, you will also need to add a Firm Vendor in which to track expenses that are tied to the firm.
In QuickBooks, create a new vendor for your firm vendor.
In Practice Pro, under the "Vendors" > "Firm Vendor" dropdown, select your vendor.

Vendors created in Practice Pro will be created in QBO automatically, if they doesn't exist, once a transaction is sent to QuickBooks Online (i.e., create an expense, update expense, etc.).
Customers created in Practice Pro will be created in QBO automatically, if they does not exist, once a transaction is sent to QuickBooks Online (i.e., create an invoice, create trust transaction, etc.).

Setup Expense Accounts

Finally, you will setup Expense Accounts in Practice Pro that align with the QuickBooks Online Chart of Accounts.
- There are three types of expenses you can send to QuickBooks from Practice Pro.
  - Client Expense: These are expenses you create from the Time & Expenses list page that will be added to client invoices and billed to the client. A QuickBooks Bill will get created for the client/customer account. The client expense will be available in Practice Pro from the Time & Expenses list page.
  - Firm Expense: These are business expenses incurred to operate your business, such as inventory, payroll, and rent. Typically these are entered directly into QuickBooks, however using the quick add "+" icon in the top header bar near your name, you can send the firm expense to QuickBooks without having to leave Practice Pro. Click the "+" icon, then "Add Expense" and you will see a dropdown option to choose "Firm" for the expense type. A QuickBooks bill will get created, however the firm expense will not be available in Practice Pro.
  - Blackbook Expense: These are tax deductible business expenses. Typically these are entered directly into QuickBooks, however using the quick add "+" icon in the top header bar near your name, you can send the blackbook expense to QuickBooks without having to leave Practice Pro. Click the "+" icon, then "Add Expense" and you will see a dropdown option to choose "Blackbook" for the expense type. A QuickBooks Bill will get created, however the blackbook expense will not be available in Practice Pro.
    What is a blackbook expense? A blackbook expense is a tax deductible expense that the firm has not decided to reimburse as a "firm expense" – but it allows partners to get a tax benefit. For example, a partner will take a reduction in salary equal to the amount of a reimbursable blackbook expense. The firm will take the tax deduction for the expense and reimburse the partner. The expense reimbursement is technically not income to the partner. This means that a partner can effectively pay for expenses that would otherwise be tax-deductible with pretax rather than post-tax money.
When an client Expense is created in Practice Pro, then a QBO Bill will be created.
When an Invoice is created in Practice Proand sent to QBO, then the time entries and fixed fees are created as line items on an invoice. These will affect the “Fees Billed” account.

Enable QuickBooks for your Firm

Click the toggle button that is shaped like a circle on a line to enable.
The toggle button should now be blue.

QuickBooks should now be enabled.

You can now start using QuickBooks to manage your invoices, expenses and payments for your legal practice.

Note: Once you've setup QuickBooks, it is important that you make changes directly in Practice Pro. Any changes to expenses, invoices, payments and/or trust transactions within Practice Pro will be pushed to QuickBooks. However, any changes in QuickBooks will not directly sync to Practice Pro.

QuickBooks Audit Logs

Now that you have QuickBooks integrated with Practice Pro, you can view the audit logs to see all the things that are happening in your QuickBooks accounts. Practice Procreates a series of journal entries to track all of the transactions that occur in Practice Pro and gets sent to QuickBooks automatically.

You can view your QuickBooks audit logs by going to the top right corner and click the gear icon.

From the open menu, select "Audit Logs".

On the Audit log page, you can then click the "Filter" button and view all of the possible ways you can filter your audit logs to view logs for a certain time, by user, or even by transaction.