First steps to use Landed Costs with Inbound Shipments include:
Next, you will need to setup Cost Categories in Accounting Lists by going to Setup > Accounting > Accounting Lists, change the filter type to “Cost Category”, then click the “New” button:
Once you have created an inbound shipment record, you can add landed costs associated with the shipment.
To add landed costs to the inbound shipment record, you…
You will also want to make sure you enter the vendor’s freight bill in NetSuite.
Typically, you would have created an “other charge for purchase” item type for Freight, whereby, the item master record points to the same Expense Account:
Then you would enter the vendor bill using that Freight-in Item:
The GL impact of the vendor bill shows that the expense will be incurred on 7/21/2021 in the Freight-in Expense account. When the goods arrive at your warehouse, you would receive the inbound shipment on 7/21/2021, and upon receipt the Freight-in Expense account is credited $8,000 and the Inventory account is debited. The result is the cost of the inventory item is equal to the purchase price plus the landed cost to get the goods to the warehouse.
In addition to the landed costs associated with the inbound shipment, Concentrus has a saved search to provide visibility into the status of inbound shipments indicating what is in the warehouse versus in transit versus not processed yet. Please refer to my Short n Suite video Inbound Shipment Execution Status Saved Search to see this saved search.
If you need any NetSuite support, are in the middle of a NetSuite implementation, or are deciding if NetSuite is your next ERP system, please reach out to us at Concentrus. Our consultants are ready to support you.
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