billable expenses in Quickbooks desktop On the off chance that you play out help for a client, you cause billable costs for their benefit. You can rapidly monitor billable expenses with the goal that your client might repay you once they accept your receipt
Billable Expenses: About
Whether you enter your expense into QuickBooks as a bill, check, or expense, you can mark it as billable. This means you will both enter the name of the customer that the expense will be paid for by, as well as check off the billable box. If you want to markup the cost you can enter the applicable percentage. When you save your transaction the expense gets recorded as usual, and a non-posting transaction is also recorded called a billable expense.
Create Billable Expenses
Above is a sample expense screen for some lights purchased from Dan’s Lighting that was for a project related to customer Diego Rodriquez. If you don’t see the billable, customer, and markup fields on your screen you may have to activate them first or upgrade to a higher level of QuickBooks Online.
Step 1 – Set Up
Make sure you are using QBO Plus or a higher version. To activate these options click the Gear icon in the upper right of QBO, then Account and Settings. Under the Expenses tab make sure the following two features are turned on: “track expenses and items by customer” and “make expenses and items billable.” Also, tick the box for “markup with a default rate of X%.” You can leave the default percent as 0.
Step 2 – Categorize the Expense
Then within the expense or bill screen, tick the box for billable and enter the customer name that pertains to the charge. You can also indicate a percent mark up if applicable. The description entered on the expense will flow through to the invoice, but can be edited later.