QB Self-Employed: Personal vs Business Expenses?

You NEVER link your personal bank or personal credit card to QB.

"Anything that is irrelevant to my work I mark as “Excluded.” So what is a/would be considered a personal expense?"

Anything not Business.

"I’ve been browsing this forum and remember someone saying to keep track of both business and personal expenses bexcuse it “could mess with your numbers” or something like that."

It's the opposite; You never track Personal in the business accounting. Do not try to manage Personal accounting, personal bank or personal credit card in the business.

This is Wrong: "For example, I marked my work clothes and shoes as business expenses."

Unless that is Specialty Safety wear, such as Tyvex Jumpsuits and Pressurized Air Hoods, such as for an Asbestos abatement business. "Wearing" for business does not make your personal clothes a business Expense.

"Since I linked my bank accounts, it shows all of my transactions."

Unlink them.

This also is wrong: "Basically, any small purchases like fast food or random store purchases that don’t relate to my work"

Because Fast Food is not Work. Business Meals would be, for instance, you travel out of town and are gone for three overnights. Just because you are out and about on business one day, any meals Out as Personal Spending, not Business. Even if you met with a Client or took your employee with you, you need to understand that the Dec 2017 tax reform changed Everything.

Here is what you do: You either Open Business Checking and Credit Card and stop Commingling.

Or, you do it like this: Make one Bank account and name it Owner Funds. You enter all Business spending here. We don't track that you paid by personal check, debit card, credit card or cash. All this is for, is tracking Owner Paid for Business needs. You will also deposit Sales here. Now, periodically, or at least at year end, you would bring this account to 0 as Check to pay Owner Draw from Equity, or Deposit from Owner Equity.

And you need to sit with your own CPA to review all the business activities that you think are business, because it appears you likely had this wrong in the past, and especially wrong for the New Tax Rules that apply to 2018 and now.

Thanks for your reply but I think you misread a lot of what I posted.

"Unless that is Specialty Safety wear, such as Tyvex Jumpsuits and Pressurized Air Hoods, such as for an Asbestos abatement business. "Wearing" for business does not make your personal clothes a business Expense."

I am a entertainer/dancer (self-employed/independent contractor) so yes, the clothes I wear for work I buy specifically for work and can only be worn at work. 

"This also is wrong: "Basically, any small purchases like fast food or random store purchases that don’t relate to my work"

 Because Fast Food is not Work."

That's why I literally said I mark these transactions as "Excluded." I obviously know they are not business related. I was more asking whether I keep them as "Excluded" or consider them "Personal."

I linked both of my bank accounts because I deposit into both of them (I get paid cash only) and I thought I would need to show ALL of my income. I used both accounts for buying business-related purchases, but there are also some purchases that are NOT business-related. I did not know if I should mark those transaction as "Personal" (meaning not work-related) or "Excluded" (so they don't appear at all). That was mainly what I was trying to ask about. 

I completely understand this: "I am a entertainer/dancer (self-employed/independent contractor) so yes, the clothes I wear for work I buy specifically for work and can only be worn at work."

So is my spouse. The Tuxedo is not a business write off. The Cleaning is a business expense. The tuxedo is only owned and worn for Performances. Buying specifically For Work is not applicable if they are street clothes. Unless, of course, you are a Vegas Showgirl or Ice Dancer  :) and in that case, this is Specialty wear. That's the point I was making. "Specialty" not Specifically Bought For. Two Different Concepts.

"I was more asking whether I keep them as "Excluded" or consider them "Personal." "

Stop linking the accounts, and nothing shows up that needs to be Excluded at all. Don't attempt to manage a Mixed Use Bank account or credit card.

"I linked both of my bank accounts because I deposit into both of them (I get paid cash only) and I thought I would need to show ALL of my income."

Yes, I explained that; put sales into the Owner Bank.

"I used both accounts for buying business-related purchases, but there are also some purchases that are NOT business-related."

Which is called Commingling and frowned upon by the IRS. so, Unlink Them.

"I did not know if I should mark those transaction as "Personal" (meaning not work-related) or "Excluded" (so they don't appear at all). That was mainly what I was trying to ask about."

Stop Doing It entirely.