What occurs when you create an estimate for a customer and do not invoice it?

When you create an estimate for a customer in QuickBooks Online and do not invoice it, the correct outcome is that no change occurs in the financial records. Estimates are essentially proposals that indicate a potential future sale or service, but they do not affect your financial statements until they are converted into an invoice or a sales receipt.

Because estimates are not recognized as revenue until they are fulfilled and invoiced, they remain as non-posting transactions. This means they do not impact your accounts receivable, income, or any other financial metrics within your accounting system until a corresponding invoice is generated and approved. Thus, the financial implications of the estimate—like affecting the customer’s balance or income accounts—are entirely contingent on progression to the invoicing stage.

Overall, while estimates are useful for planning and communicating with customers, they are not part of the recorded financial transactions unless acted upon further, which is why no changes occur in your financial records in such a situation.