how do I enter shipping costs when receiving goods and incorporate them in unit cost

[oliviandaisy]

When receiving goods to be sold do I add shipping costs to unit cost or can I keep it separate? Is there anywhere I can enter shipping costs?

[Goldneye]

HI, if you are using the Online Store, you can add Shipping within the Online Dashboard.

Here are the breadcrumbs and screenshot to locate.

Online Dashboard, Settings, Shipping, Destination Regions & Rates, click Edit, determine how you want to add shipping

[TheBurrow]

Hi OLIVIANDAISY,

I have this same question and I've been searching endlessly without being able to find an answer. The provided answer below doesn't address our question, as you are talking about freight in, correct? The cost you paid to have the items shipped to you? I'm also confused as to how to account for this in quickbooks but that's a whole other headache. Did you ever find an answer to this or figure out a workaround?

[Candlestore · Accepted solution]

@TheBurrow ;

Now before I begin I am not an account but what I do is I add up the Subtotal of all items on the receiving report to get a total $ amount of the items I am receiving.  Then I total each item buy items purchased to get a % of the total items.  I use that % to calculate the % shipping cost for that items total then divide by the quantity of items.

I do know that because of my RoundUp my total Unit cost time the number of units then adding all this up will be over the total invoice price because of rounding but get me close.

Here is a sample from my Google Sheets :

 A                            B                      C                 D               E                F                   G                  H

Item	SKU	Cost per unit	units bought	Total Value	Total cost	Total Shipping	Unit Cost
item purchased	56[Redacted]	10.25	12	123.00	1966.50	246.49	$11.54
				C2xD2	From Invoice	From Invoice	ROUNDUP(((((E3/F3)*G3)/D3)+C3),2)

If you have Google Sheets or Excel you can input these calculations and numbers from your Invoice.

So as you see I have this Spread sheet I enter the Item in :

A2 (Item Purchased) 

B2 SKU or the sellers identification number

C2 Cost of the units from invoice

D2  Quantity of Units I purchased 

E2 This is calculated by typing in "=C2*D2" and then you can copy it down the cells where 2 changes to the row

F2 is typed in from your invoice total of Items bought

G2 is typed in from the invoice as the total cost of shipping to you from the supplier

H2 is then calculated as the Unit Cost that you can enter into Square and Quickbooks

      In H2 you type in "=ROUNDUP(((((E3/F3)*G3)/D3)+C3),2)"  

Do not type in the " in space E2 and H2, neither the leading nor the trailing "

       so what this is saying is 

 You take the values from E3 and divide by F3   (123/1966.50) = .0625......

Then you take the .0625..... X G3     (.0625*246.49)  = 15.405

You then / D3 from the last answer   so 15.405/12  =  1.2838  ---- this is the shipping cost per item of this product

Then you take the 1.2838 and add it to the Unit cost (C3)   or 1.2838 + 10.25   =  11.5338

Then the RoundUp function comes in so 11.5338 is Rounded up to the , 2 Decimal places..... or 11.54 for the unit cost of each Item in this example.  

Square nor QuickBooks has a place for you to enter this information and calculate the Unit cost with Shipping.

This is how I calculate it for me to get an idea of what I need to charge.... 

You can then use the 11.54 and multiply it by a % mark up or by a Factor to get an idea what price to sell at

[TheBurrow]

Hi Keith 😊

Thank you so much for taking the time to explain your process, I really appreciate it. I do believe I have found the way to have square do all of this for us though 😁 If you create a purchase order, and then receive the purchase order, there is an additional field when receiving where you can add the freight-in cost. When adding that, there is a box you can check that distributes the freight cost to all items within the order. This will not change the unit cost, but in the cost of goods sold report, you'll find the items will have a slightly higher price to account for their individual shipping cost. It's kind of a bummer because I now have to create PO's for all of the items I already imported, but if it saves me from having to do all the extra math on my own, I'm happy! 

[Candlestore]

@TheBurrow 

You're welcome.  I do no math now and have the formulas in a spreadsheet.  Most of my orders are done through suppliers for Items I do not sell or my suppliers have an online site to order through and do not want emailed orders.  SO the purchase order through Square does not work for me.  As with any business there may not be one way to get the result you want but do what works best for you and is the most efficient.

Good luck with your business and getting the costs in for you.

[foxnull778]

I am attempting to find this feature, are you using the Square dashboard or an app? I can find the area to add a fee to the PO and am wondering if this is what you are referring to but I cannot find a check box to distribute it evenly

Edit - NVM I see it is the "received items" check box.

[Candlestore]

@foxnull778 ;

That would be great if Square updated this to having it spread the cost of shipping over all the items.  When I did this before I was unaware or missed this option.  Maybe it was an update between June 2023 and October 2023.  Just glad that this is all inside Square Now!