How do you set reorder points in QuickBooks Online?

In QuickBooks Online, open Products and services, edit an inventory product, type a number in the Reorder point field, and save. QuickBooks then flags the product as low stock when its quantity on hand drops to that number, and you can select low stock products and turn them into a purchase order with the Reorder batch action.

What do you need before setting reorder points?

You need QuickBooks Online Plus or Advanced with inventory tracking turned on. Intuit states that inventory features, including low stock alerts and purchase orders, are available only on those two plans; Simple Start and Essentials users would need to upgrade or add inventory separately.

To turn on inventory tracking, Intuit's help article says to go to Settings, then Account and settings, then the Sales tab. In the Products and services section, turn on the options to show the Product/Service column on sales forms, to track quantity and rate, and to Track inventory quantity on hand.

Each product you want alerts for must be set up as an inventory product, with a starting quantity on hand and an as-of date. Non-inventory and service items do not carry a quantity, so a reorder point means nothing for them.

How do you add a reorder point to a product?

You can enter the reorder point when you first add an inventory product, or edit an existing product later. The steps below follow Intuit's current help article for QuickBooks Online (US), last updated August 2026, which uses the All apps menu.

1. Go to All apps, select Sales & Get Paid, then Products & services.
2. Find the product and select Edit in the Action column.
3. In the Reorder point field, enter the quantity at which you want to reorder.
4. Select Save and close.

When adding a new inventory product, the same Reorder point field sits next to Initial quantity on hand and As of date. While you are there, set the Preferred vendor and Purchase cost in the purchasing section; both make the purchase orders you create later quicker to fill in.

How do you see which products are low or out of stock?

Open Products and services and look at the indicators at the top of the page. QuickBooks shows a count of low stock and out of stock products, and selecting See all next to either one filters the list to just those products.

A product counts as low stock once its quantity on hand reaches its reorder point. Products without a reorder point never appear in the low stock filter, even if you have only one left, so the filter is only as complete as the reorder points you have entered. Intuit also notes that when you hover over the quantity on a purchase order, QuickBooks shows what you have on hand and the product's reorder point.

For a wider view, Intuit's reports article lists the Inventory Valuation Summary (quantity on hand, value and average cost per product) and the Open Purchase Order Detail report, which shows quantities still on order and received. Find both under Reports, then Standard reports.

How do you create a purchase order from low stock products?

From the low stock or out of stock view, select the products you want, choose Reorder under Batch actions, and QuickBooks starts one purchase order for those products.

1. In Products & services, select See all next to Low stock or Out of stock.
2. Check the box next to each inventory product you want to reorder.
3. Under Batch actions, select Reorder.
4. Fill in the vendor, shipping address and quantity for each line.
5. Select Save and send.

Intuit describes this as creating a purchase order for a single vendor, so group your selection by vendor. If your low stock list covers three vendors, run the batch three times.

What does a worked example look like?

Here is a simple way to choose a reorder point, using example data. Brightline Supply sells a 3/8-inch drive ratchet bought from Ironwell Tools.

• It sells about 40 units a month, or roughly 2 units per business day (20 business days a month).
• Ironwell Tools takes about 10 business days to deliver.
• Brightline wants 5 business days of cushion for slow deliveries or a busy week.

Reorder point = daily sales x (lead time + cushion) = 2 x (10 + 5) = 30 units. Brightline enters 30 in the Reorder point field. When stock falls to 30, the ratchet shows under Low stock, and the buyer orders enough to cover the next month or so, about 40 units, plus whatever is needed to get back above 30.

QuickBooks does not do this arithmetic for you. The reorder point is a fixed number you choose, so if the ratchet starts selling 4 a day, the reorder point of 30 is now too low until someone changes it.

What mistakes should you avoid?

Most reorder point problems come from numbers that were set once and never revisited, or from quantities that are not accurate.

• Setting it once and forgetting it. Demand and vendor lead times change. Review reorder points for your best sellers at least each quarter.
• Using the same number for every product. A product that sells 2 a day and one that sells 2 a month need very different reorder points.
• Ignoring what is on order. A product can sit in the low stock list while a purchase order is already on its way. Check Open Purchase Order Detail before ordering again.
• Bad quantities on hand. Low stock alerts are only as good as your counts. Negative or stale quantities make the list wrong.
• Leaving products without a reorder point. They never appear under Low stock, however few are left.

Can something calculate reorder quantities for you?

Yes. ReorderOwl reads three standard QuickBooks Online reports that you export and attach in ChatGPT, and returns a reorder workbook and your most urgent products, based on how each product actually sells. It is free to start.

It does not change your reorder points or create purchase orders in QuickBooks; you still create the POs. See ReorderOwl for QuickBooks Online for the reports to export and how it works.