Thank you for your response.  Are you saying that quickbooks does not handle the processing of pass through expenses?  I have an accountant and have been running our consulting business for years.  I wanted a system for all my processing instead of the manual processes I have in place today.  The more I hear from all the responses it seems that your system cannot really handle what a large consulting company needs to do.  I am very surprised at this and disappointed.  Please confirm that you cannot process pass through expenses.