How AI Enhances QuickBooks Online Experience
The integration of Artificial Intelligence (AI) into accounting practices, especially with tools like QuickBooks Online (QBO), is revolutionizing the field. AI is a helpful partner in not only streamlining daily tasks but also in making them more precise and efficient. Plus, when you understand how these tools work, you’ll save time, resources, and be able to spend more time ON your business, not IN your business.
Let’s look at how AI can help your business and accounting needs.
Use ChatGPT for Accounting Queries
AI platforms like OpenAI’s ChatGPT have become invaluable resources for bookkeeping and accounting. They offer insights into accounting principles and best practices and make complex concepts more user-friendly and accessible. You’ve probably already asked ChatGPT tax guidance questions, like “how much can you deduct in entertainment expenses,” or “can you clarify regulations on 1099 withholdings”, or even easier ones, like “what’s the 2024 IRS mileage rate?” Ask and it is given comes true – within limits, so double check all facts. AI can even help determine when you need receipts to comply with tax laws! Experiment with your prompts for the best results.
Read more about ChatGPT from the Journal of Accountancy and see how it’s sav ing accounting.
AI and Transaction Entries in QBO
Inputting transactions in QuickBooks Online can be streamlined using AI, too. Instead of relying solely on manual searches, AI allows for interactive and detailed follow-up queries – and its capacity to streamline transaction coding through automation is significant. Imagine uploading a spreadsheet for bill mapping and having AI automatically code line items. That alone would drastically reduce your team’s effort and time.
DEXT and Third-Party Apps – Pioneers in AI Automation
Companies like DEXT are leading the charge in AI-driven automation. They’re crafting smart AI tools capable of scanning bills and seamlessly matching vendor item numbers. What’s truly impressive is their ability to then swap those numbers with your own item numbers almost instantly. When you think about doing this for a long list of items, the efficiency of AI becomes strikingly clear (and makes your work so much easier).
But the magic doesn’t stop there. This kind of accounting software isn’t just a tool, but a smart assistant. That’s what DEXT and similar apps are aiming for. They’re designed to integrate with your existing systems, and make sure that your transition to AI-assisted accounting is as smooth as silk. It’s not just about saving time; it’s about improving accuracy. By automating tedious tasks, these apps minimize human error and provide financial data that are spot-on every time.
Enhance Financial Analysis with AI
AI can also significantly help you understand the numbers in your QBO. It can analyze comparative financial reports, like Profit & Loss statements, highlight key expense categories and their variations over time. It can even go deeper and identify which vendors contribute to these expenses and whether they’re new or ongoing relationships.
What’s more, AI can identify key clients contributing to the majority of revenue, validating the 80/20 rule in your business model. Another important use is verifying data. You know that comparing vendor statements to open items in QuickBooks Online can be (to say the least) tedious. AI can digitize these statements, extract essential data like invoice numbers and balances, and compare them with your QBO data for discrepancies.
AI Transforms Banking and B2B Transactions
If you’re not up to date on how AI is transforming the banking world, you’ll want to read this article. It talks about how NCR Voyix is making strides in this field with a tool that enhances your bank’s efficiency and keeps an eye out for your safety. Using AI, the company helps banks and credit unions spot trends and sniff out any unusual activities in their business dealings. Their goal? To be your banking buddy, guide you to pick the best payment options, from the trusty ACH to lightning-fast real-time payments. Note: watch this trend grow in 2024.
Learning and Productivity Tools Enhanced by AI
AI’s role isn’t limited to just data analysis; it also serves as a learning tool. Some of your team might struggle with Excel functions like VLOOKUP, especially if they’re not well-versed in advanced Excel features or if they’re more accustomed to using specialized accounting software. Through platforms like ChatGPT, you can learn how to create these formulas correctly, which improves your skills in Excel and PowerBi.
What’s the Future of AI in Accounting?
In just one year, look at how business and society have changed with the use of AI. Its role in accounting isn’t just futuristic speculation, it’s a current reality with enormous potential. From automating transaction entries to enhancing financial analysis, AI is set to redefine efficiency and accuracy in accounting.
As technology evolves, AI will continue to be an indispensable asset for accountants and financial professionals. But, even with the advancements in AI and automation, human involvement in accounting is still vital – and like it or not, the IRS still requires you to file your taxes (digitally of course) every single year, though deadlines may change. Read more on this in our December blog, “Tax Season is Coming: How Should You Prepare?”.
And if you’re wondering why AI won’t replace accountants? Read our article, 5 Reasons Accountants Are More Valuable Than AI, just published on our blog.
One 8 Solutions continues to remain focused on trends in the global business community to ensure we have your best interest in mind. Setting your business up for success with accurate and efficient business expertise is what we stand for. Click here to schedule a no-cost, no-risk Zoom call to see how we can help you.