I know a way to keep track of billable expenses in QuickBooks Online Essentials, @StaceyHZ.
You’re right. The ability to record billable expenses is available in QuickBooks Online Plus and Advanced. Since Essentials is your top plan, you can set up a Billable Expense Income account and transfer the expense to it as a workaround.
You can follow the outlined instructions below to track billable expenses on the Essentials version of QBO:
- Go to the Accounting menu and select Chart of Accounts.
- Click New and choose Income as the Account Type.
- You can name it as Billable Expense Income.
- Enter all the details needed, hit Save and Close.
Then you’ll want to make a journal entry to move the expense to the Billable Expense Income account. Once done, create an item and assign the Billable Expense Income as an Income account. Here's how:
- From the Sales or Invoicing menu, choose Products and Services.
- Select New and choose an item type.
- Enter all the details needed.
- On the Income account drop-down, choose the Billable Expense Income you've created.
- Click Save and close.
You can visit this reference for depth information about adding product and service items in QBO. This provides steps to easily track the amounts you make and spend on each product or service.
Don’t hesitate to add a comment below if you have additional questions about billable expenses. I’m here to help. Always take care!
