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info-lewis-robin
Level 1

How do you add expenses to invoices so that the client pays it but it doesn’t add towards your tax. For example I have a job and I get a taxi but then bill the client

 
Solved
Best answer April 13, 2022

Accepted Solutions
RenjolynC
QuickBooks Team

How do you add expenses to invoices so that the client pays it but it doesn’t add towards your tax. For example I have a job and I get a taxi but then bill the client

Glad to see you in the Community space, info-lewis-robin.

 

Let me give some overview about the billable feature and help you go over the steps.

 

In QuickBooks Online, we have the billable expense feature. If the situation is you pay the expense and then bill your client for it and they reimburse you this would be the best method to use. In order to use that option we first need to enable the feature by following these steps:

 

  1. Go to the Gear > Account and settings.
  2. On the left panel, click the Expenses tab.
  3. From the Bills and expenses section, turn on the following: Show Items table on expense and purchase forms, Track expenses and items by customer, and Make expenses and items billable.
  4. (Optional) Set up the following: Markup rate and Billable expense tracking.
  5. Choose the Bill payment terms.
  6. Hit Save.

Next, record the expense and make it billable to your client.

 

Here's how:

 

  1. Go to + New > Bill, Expense, or Check.
  2. Select the payee and in the Category column, choose the expense account for transaction.
  3. Enter the description and amount of the expense, then select the Billable checkbox.
  4. In the Customer or Client column, select the client you want to bill for this expense.
  5. (Optional) Enter or make sure the markup % is correct
  6. Click Save and close.

Finally, create an invoice from the billable expenses.

 

Here are the steps:

 

  1. Go back to + New > Invoice.
  2. From the Customer or Client drop-down menu, select the client you created a billable expense for. This opens the Add to invoice window.
  3. Click the Add link on the billable expense you want to charge to your client.
  4. Hit Save and close.

For reference, please check out this article: Enter billable expenses.

 

When you're ready to add the client's payment, the step by step instructions are included in this link: Record invoice payments in QuickBooks Online.

 

Feel free to drop by the Community again if you have any other concerns. I'll be right here to help. Have a great day ahead.

View solution in original post

1 REPLY 1
RenjolynC
QuickBooks Team

How do you add expenses to invoices so that the client pays it but it doesn’t add towards your tax. For example I have a job and I get a taxi but then bill the client

Glad to see you in the Community space, info-lewis-robin.

 

Let me give some overview about the billable feature and help you go over the steps.

 

In QuickBooks Online, we have the billable expense feature. If the situation is you pay the expense and then bill your client for it and they reimburse you this would be the best method to use. In order to use that option we first need to enable the feature by following these steps:

 

  1. Go to the Gear > Account and settings.
  2. On the left panel, click the Expenses tab.
  3. From the Bills and expenses section, turn on the following: Show Items table on expense and purchase forms, Track expenses and items by customer, and Make expenses and items billable.
  4. (Optional) Set up the following: Markup rate and Billable expense tracking.
  5. Choose the Bill payment terms.
  6. Hit Save.

Next, record the expense and make it billable to your client.

 

Here's how:

 

  1. Go to + New > Bill, Expense, or Check.
  2. Select the payee and in the Category column, choose the expense account for transaction.
  3. Enter the description and amount of the expense, then select the Billable checkbox.
  4. In the Customer or Client column, select the client you want to bill for this expense.
  5. (Optional) Enter or make sure the markup % is correct
  6. Click Save and close.

Finally, create an invoice from the billable expenses.

 

Here are the steps:

 

  1. Go back to + New > Invoice.
  2. From the Customer or Client drop-down menu, select the client you created a billable expense for. This opens the Add to invoice window.
  3. Click the Add link on the billable expense you want to charge to your client.
  4. Hit Save and close.

For reference, please check out this article: Enter billable expenses.

 

When you're ready to add the client's payment, the step by step instructions are included in this link: Record invoice payments in QuickBooks Online.

 

Feel free to drop by the Community again if you have any other concerns. I'll be right here to help. Have a great day ahead.

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