Mary Kay inventory tracking

When I learned how to keep track of Mary Kay inventory, it changed my business. My process helps me know what I have in stock and what I need to order, boosts my sales, and makes me feel in control of my business.

My journey with Mary Kay began six years ago, and I must admit, when I first started, my inventory was not very organized.

With boxes labeled skincare, body care, and makeup scattered around, I was juggling a full-time job, raising three kids who were about to graduate high school one after another, and trying to build a business that I hoped would eventually allow me to become a full-time consultant.

This article is about how I fixed that.

Mary Kay Inventory Options: A Consultant’s Perspective

Managing inventory as a Mary Kay consultant is not a requirement, but having popular items like mascara, eyeliner, and travel-sized products on hand is incredibly beneficial.

It ensures you can meet last-minute customer needs, provide immediate gratification, and create spontaneous sales opportunities.

Keeping a well-organized inventory helps build customer loyalty, save time on reordering, and showcase the full range of Mary Kay products, enhancing the overall shopping experience for your clients.

Here are the main reasons I choose to hold some inventory for my business:

1. Customer Convenience: Having popular items like mascara, eyeliner, and travel-sized products readily available means you can easily meet last-minute customer needs. This convenience often leads to quick sales and happy clients.
2. Immediate Gratification: In today’s fast-paced world, customers appreciate the ability to purchase and receive products immediately. By having a well-stocked inventory, you can provide instant gratification, enhancing your customers’ overall experience.
3. Increased Sales Opportunities: A diverse inventory can lead to more spontaneous purchases. Customers who see and try products in person are more likely to buy additional items, boosting your sales.
4. Building Customer Loyalty: Demonstrating that you have the products your customers need when they need them helps build trust and loyalty. Satisfied customers are more likely to return and refer others to you. I want repeat business and long-term clients. I want my customers to reach out to me when they need something.
5. Showcasing Product Range and add-ons: With an on-hand inventory, you can showcase the vast range of Mary Kay products during consultations and parties, providing a comprehensive shopping experience. This also helps “build the sale.”
6. Seasonal and Limited-Edition Products: Stocking seasonal and limited-edition items creates a sense of urgency and exclusivity. Customers are more likely to purchase these unique products when they know they’re available for a limited time.

As mentioned above, I’ve been a Mary Kay consultant for six years. It honestly took me a couple of years to find a great system that worked for me and my customers.

Amidst the chaos, I figured out a good system for organizing my Mary Kay inventory. I bought shelves to store my products and limited my inventory to a few of each item to ensure I had room for everything my customers might need.

Then, after speaking with my director, I started keeping a spreadsheet of all the products I had on hand. While this was a great step forward, it still required updating each time I sold something and printing out the updated list to take with me to parties or facials, most of which were held in client homes.

I’ve since replaced this process with my Mary Kay accounting software, Direct Sidekick, and I couldn’t be happier.

One of the biggest lessons I’ve learned is the importance of having and managing my inventory effectively. In the early days, I faced challenges keeping track of products and ensuring I had the right items for my customers.

However, with time and experience, I discovered strategies to stay organized, which boosted my sales and customer satisfaction.

I learned that women are impulse buyers. They want something when they see it and don’t want to wait for it to arrive in a few days or even a week.

I physically organize my inventory into skincare sets, supplements, body care, makeup, and Limited-Edition products. When new items arrive, I log them into Direct Sidekick, adding them to my inventory count, and then make an adjustment in the system for the items I ordered for my personal use or demonstrations.

I learned how to keep track of my Mary Kay Inventory, and I’ll share my exact system below.

Mary Kay inventory tracking the easy way

After trying various methods of Mary Kay inventory tracking, I discovered Direct Sidekick, which has been a game-changer for my business.

Direct Sidekick has a 3-step process for finishing my accounting. Below, I discuss steps 2 and 3, adding and removing items from inventory. Step 1 automates entering my income and expense transactions, but I’m only talking about my inventory tracking system today.

Here’s how I use it to streamline my inventory management:

1. When I place an order for new products for my inventory, I log a purchase order in Direct Sidekick. This adds my new products to my inventory.
2. Next, when I sell products from my inventory, I enter an invoice. I can send this invoice directly from the system to my clients, and they can pay me using my Square Pay Now button directly from the invoice.
3. Lastly, I make an adjustment in the system for the items I ordered for my personal use or for demos.

Here are the benefits of using Direct Sidekick for my Mary Kay tracking:

1. Centralized Inventory Tracking: Direct Sidekick lets me keep all my inventory information in one place. I can easily log every product I have on hand, including details like shades, quantities, and scents. This centralized system ensures I always know what I have in stock without manually checking multiple sources.

1. Real-Time Updates: One of Direct Sidekick’s biggest advantages is real-time inventory updates. Whenever I sell a product, I can instantly update my inventory through the online platform. This eliminates the need for manual tracking and reduces the risk of errors.
2. Mobile Access via Browser: Although there isn’t a dedicated app, I can access Direct Sidekick online through my phone’s browser. Whether at a party, a facial, or on the go, I can quickly check my stock levels and make updates as needed. This mobility ensures I always have the most accurate information at my fingertips.
3. Helpful Reports: I love knowing exactly how much I’m earning by looking at the Profit & Loss report, which is always updated. The platform generates other helpful reports that show me important details like Cost of Goods Sold (COGS) and in-stock items on my shelf. These reports provide valuable insights that help me make informed decisions about my Mary Kay inventory.
4. Invoicing Capabilities: One of the most convenient features of Direct Sidekick is the ability to invoice directly from the system. Whether I’m using my computer or mobile browser, I can quickly generate and send invoices to my customers, streamlining the sales process.
5. Creating Purchase Orders: Direct Sidekick allows me to create purchase orders to add items I have ordered from Mary Kay. I can choose my own purchase order numbers using the order number Mary Kay gives me when placing my orders. This feature helps me keep my records consistent and organized.

Mary Kay Inventory Reduction Sales

If I want to reduce my inventory, I can choose to have a sale. Direct Sidekick allows me to customize the price of items when invoicing customers during these sales.

It also connects to Square for invoicing, making getting paid by my clients easy.

This flexibility helps me manage my stock levels effectively and offer attractive deals to my clients.

Understanding Mary Kay Inventory for Taxes

Managing inventory is not just crucial for keeping your business running smoothly, but it also plays a role during tax season.

You cannot deduct your Mary Kay inventory when you buy it. Our costs are added to cost of goods sold (COGS) when we sell them.

Trust me, it would be much, much easier to track the other way, but that’s not what the IRS allows, and I don’t want to risk an audit!

Here are a few key points to consider:

1. Track Your Inventory: Keep accurate records of your inventory purchases and sales. This helps you determine the cost of goods sold (COGS), which is a key component in calculating your taxable income. Direct Sidekick does this automatically for you every time you add an order!
2. Year-End Inventory Count: Conduct an inventory count at the end of the year. This helps determine the value of the inventory you have on hand, which can affect your tax reporting. Again, Direct Sidekick automatically calculates your ending inventory for you!
3. Expense Deductions: Many inventory-related expenses, such as the cost of goods sold, storage, and shipping, may be deductible. Keeping detailed records will help you when it’s time to file taxes.
4. Consult a Tax Professional: Since tax laws and requirements can be complex, it’s a good idea to consult with a tax professional. They can provide specific advice tailored to your business needs.

How to Claim Mary Kay on Taxes

As a Mary Kay Independent Beauty Consultant, you are considered a self-employed individual or small business owner. Here’s a brief overview of how to claim your Mary Kay business on your taxes:

1. Keep Detailed Records: Maintain thorough records of all your income and expenses related to your Mary Kay business. This includes product purchases, sales receipts, business-related travel, and other expenses.
2. Report Income: All income from your Mary Kay sales must be reported. This includes direct sales to customers, commissions, and bonuses.
3. Deduct Expenses: You can deduct business-related expenses from your taxable income. Common deductions include (full list of tax deductions here):
   • Cost of Goods Sold (COGS)
   • Business supplies
   • Home office expenses
   • Travel and mileage
   • Marketing and advertising
4. Calculate my home office deduction: I have a home office, which allows me to deduct part of my home expenses, such as my mortgage, utilities, and garbage service.
5. File the Correct Forms or give your reports to your accountant: As a self-employed individual, you will typically file a Schedule C (Profit or Loss from Business) along with your Form 1040. You may also need to file a Schedule SE for self-employment tax.

That’s my process for tracking my Mary Kay inventory. If you have suggestions to add, please comment below. I’m always looking for ways to improve!