What’s a billable expense?
A billable expense is a work expense you can bill a customer for.
For example, if your customer reimburses travel expenses, and you take a taxi to meet them, you can record your cab fare as a billable expense and then add it to their next invoice.
To record a billable expense, it’s as easy as setting it, expensing it, and invoicing it.
Step 1: Set it
- Click the Gear icon > Company Settings > Expenses > Bills and expenses.2
- Turn on Track expenses and items by customer and Make expenses and items billable.3
Step 2: Expense it
- Click Create (+) > Expense.2
- Enter the expense, mark it billable, and specify a customer.
- (Optional) At the bottom of the expense form, attach the actual taxi receipt!
Step 3: Invoice it
- Click Create (+) > Invoice.2
- When you enter a customer’s name, related billable items appear on the right.
- Click Add to move a billable expense to the invoice.
Your invoice will then look like this:
- Click the link icon to view more about a billable item or remove it from the invoice.
- If you click the trash icon to delete a line, you can choose to unlink its related billable item as well.
- The billable expense feature is available in QuickBooks Plus only.
- Don’t know where Create (+) or the gear is? Here’s the basics on getting around.
- If you see the old Preferences screen instead of the Settings screen, click Vendors & Purchases in the left column, and then select the “Use billable expenses and products/services” checkbox.
- Want to try billable expenses? Enter a sample one at the QuickBooks test drive.