Using Free On Board in QuickBooks
Free On Board (FOB) is the location from which shipping is determined to be the customer’s responsibility. This means more than simply paying for freight; it’s a statement that says, “At this point you have become the owner of this product.” If goods are lost, damaged, or stolen, the responsibility is then with the customer. In QuickBooks, to set the FOB language for customer invoices:
- Choose Edit | Preferences from the QuickBooks menu bar.
- Click the Sales & Customers icon on the left pane and click the Company Preferences tab.
- In the Usual FOB box, type in what you have set as your Usual FOB (“Shipping Point”, “Destination Point”, a specific city or other location).
- Click OK to save this setting.