Unlike other tabs, you can't create billable expenses directly under Billable expenses tab using New Billable Expense button. The reason is that when you record an expense for client, the expense will be recorded usually in one of these four modules:
• | Bank Accounts |
• | Cash Accounts |
• | Expense Claims |
• | Purchase Invoices |
To make a bank payment, cash payment, expense claim or purchase invoice to appear under Billable expenses tab, don't allocate the purchase invoice or spent money to regular expense account (such as Printing and stationery or Legal fees). Use Billable expenses asset account, then select customer who will be billed later this expense.
Any payment or invoice line item categorized this way will appear as a disbursement under Billable expenses tab.
What happens in the background is that any expense categorized this way will be posted to Billable expenses asset account instead of inflating your expenses.
The amounts under Billable expenses can be cleared by two ways:
• | Billing expenses to client |
• | Writing-off billable expenses |