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QuickBooks Expense Tracking: Organize Business Expenses & Bills

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• By Jonathan Browns
• Feb 20, 2026
• Accounting
• 7 min read

Tired of figuring out how to organize and locate your financial data? QuickBooks Expense Tracking is a powerful accounting solution that helps small businesses take control of their expenses, manage cash flow, and organize expense receipts efficiently.

This top-notch expense tracking software allows you to monitor business spending anytime, anywhere. As a result, it saves time and minimizes errors that occur during expense management.

In this blog, we cover everything about QuickBooks expense reports, QuickBooks expense categories list, expense transactions in QuickBooks, and billable expense income in QuickBooks. Let’s get started.

Need help running the QuickBooks Expense Tracking software to keep track of expenses accurately? Connect with our QB professionals by Call Us : +1-866-408-0444, and they will assist you in the best possible manner.

What is QuickBooks Expense Tracking Software?

QuickBooks Expense tracking is a software designed to record, categorize, and handle business expenditures through Desktop software or a mobile app. It also connects bank accounts for importing the transactions and uses AI technology to scan expense receipts.

Moreover, it prepares real-time QuickBooks Online expenses to help monitor cash flow and profitability. Above all, it simplifies tax preparations and helps businesses claim tax deductions easily.

Learn More About Intuit QuickBooks Expense Tracking Features

Using Intuit QuickBooks Expense Tracking software, businesses can automate workflows, manage expense transactions in QuickBooks, and generate taxes more efficiently.

1. Connect Your Accounts-

By linking your bank or credit card account to QuickBooks, transactions are automatically imported and categorized. You can also edit the automatic categorisation or create custom rules based on your QuickBooks expense categories list.

2. Track expenses instantly-

With the QuickBooks mobile app, you can capture and upload QuickBooks expense receipts directly from your phone and attach them to expense transactions. This feature simplifies expense documentation and tax filing.

3. Simplifies Your Tax Burden-

QuickBooks Online allows you to track expenses throughout the year to avoid missing tax deductions. It organises tax categories automatically and tracks applicable sales tax rates.

4. Access & Share Expense Reports-

You can also get proper access to your company’s financial details. QuickBooks provides built-in reports, like Profit & Loss and expense reports. These QuickBooks Online expense reports can be shared for better financial planning.

5. Attach receipts with invoices-

You can upload receipts, mark an expense as billable, and attach it to a customer invoice. This ensures accurate billing and documentation.

Pricing Plan For QuickBooks Expense Tracking

To buy the QuickBooks Expense Tracking software, let’s learn more about the pricing plan, which helps you make the right choice for your business.

Features	Simple Start	Essentials	Plus	Advanced
	US $2 monthly & Save US $19 monthly for 3 months	US $3 monthly & Save US $28monthly for 3 months	US $4 monthly & Save US $42 monthly for 3 months	US $8 monthly & Save US $81 monthly for 3 months
	30 Days Free Trial	30 Days Free Trial	30 Days Free Trial	30 Days Free Trial
Track Income & Expenses	✓	✓	✓	✓
Send unlimited custom invoices & quotes	✓	✓	✓	✓
Connect your bank	✓	✓	✓	✓
Track GST and VAT	✓	✓	✓	✓
Insights & reports	✓	✓	✓	✓
Progress invoicing	✓	✓	✓	✓
Items in Chart of Accounts	250	250	250	Unlimited
Manage bills & payments	—–	✓	✓	✓
Track employee time	——	✓	✓	✓
Multi-currency	——	✓	✓	✓
Recurring transactions and bills	——-	——-	✓	✓
Track inventory	——	——	✓	✓
Manage budgets	—–	—–	✓	✓
Unlimited Classes and locations	—–	—–	——	✓
Data sync with Excel	—–	—–	—–	✓
Customise role permissions	—–	—–	—–	✓
Manage Users	For one user, plus your accountant	For three users, plus your accountant	For five users, plus your accountant	Manage users (up to 25)
Automate Workflows	—-	—-	—-	✓
Custom reporting fields	—–	—–	—–	✓
Customise dashboards	—–	—-	—–	✓
Backup online & restore data	—-	—-	—-	✓
Manage revenue recognition	—-	—-	—–	✓

How to Enter and Manage Expenses in QuickBooks Online?

Recording expenses properly helps maintain accurate books and track profit. You can record, edit, and delete expense transactions in QuickBooks Online easily.

Record An Expense

Use the following steps if you have previously paid for a business expense and want to record it in QuickBooks.

• Choose the + New or + Create option and click the Expense tab.
• From the Payee field, choose the supplier and pick the account you wish to pay for the expense.
• Mention the date for an expense and choose how you paid for the expense.
• In case you want detailed tracking, provide the Ref No. This step is completely optional.
• Add the expense details and then choose the expense account that you wish to track expense transactions. Later on, give a description and enter the Amount along with the Tax.
• If you decide to bill a customer for the expense, pick the Billable checkbox. Insert the name within the Customer or Customer /Project field.
• When you are all sorted, click the Save and Close option.

You can provide the notes in the Memo field. These mainly reflect in the Account History and on reports.

• If you are using the expense vouchers, hit the Print option to get a paper copy of the voucher.

Managing Expenses

Perform the following steps to manage the expenses in QuickBooks Online.

Edit an Expense

As you have already paid for an expense in QuickBooks, you can modify it anytime. In case you have chosen to bill your customer for the expense, changes you will make will automatically reflect in the Invoice you send them ahead.

Here’s how to edit expense categories in QuickBooks Online.

• s, look for the expense you wish to edit and click View/Edit from the Action column.
• Now, update the transaction according to your preference.
• Choose the Save and Close option to complete the process.

Review Your Expense

You can obtain the income and expenses for each customer using these steps.

• Use this link to perform the steps in product.
• After that, run an Income by Customer Summary report.

Delete an Expense

• Use this link to perform the steps in product.
• Now, start looking for an expense you wish to delete and click View/Edit drop-down menu. Choose the Delete option.
• After this, head to the Delete option to confirm that you wish to delete the transaction.

Important Tip: After successfully deleting an expense, it will disappear from the reports. But you can still access those reports from the Audit log.

Result: With this, your expenses are recorded appropriately and can be edited or removed easily. Thus, it will help in keeping your business records up-to-date.

What is Billable Expense Income in QuickBooks?

Billable expense income in QuickBooks is an expense incurred on behalf of a customer. Later on, this expense is reimbursed via an invoice. These may include travel costs, materials, or subcontractor fees. Once it’s added to an invoice, the amount appears as income when the customer pays.

How to Enter Billable Expenses in QuickBooks Online?

To enter the billable expenses accurately in QuickBooks Online, perform the following steps.

First Step: Turn On Billable Expense

For recording the billable expenses, turn on billable expense tracking.

• Move to the Settings menu and click the Account and Settings option.
• Choose the Expenses tab and then tap on the Edit icon.
• After this, ensure to enable the following settings:
  • Show the items table on expense and purchase forms
  • Track expenses and items by customer
  • Make expenses and items billable
• (Optional) You have to set up the following settings:
  • Markup with a default rate of (percentage%).
  • Track billable expenses and items as income.
• (optional) Pick the bill payment terms by clicking the Default bill payment terms drop-down arrow.
• Finally, tap on the Save and then the Done option.

Second Step: Enter Billable Expenses

The following are the steps you must perform to bill a customer for an expense.

• Choose the + New or Create option.
• After this, pick a transaction that you have to customize.
• Now, browse to the payee by clicking the Payee drop-down arrow.
• From the Category column, pick the expense account for the transaction.
• Provide the Description and amount of expense. Then, mark the Billable checkbox.
• Within the Customer or Customer/Project column, choose the customer you wish to bill for the expense.
• (Optional) Insert or be sure that the markup % is correct, and click the Tax option for charging for the tax.
• Finally, hit the Save and Close option.

Third Step: Add Billable Expenses to Invoices

Important Tip: To get the reimbursement for the cost, link the billable expense with your customer’s Invoice.

• Move to the + New or Create option and click Invoice.
• Choose the Customer drop-down menu and the customer you generated a billable expense for. With this, it will launch the Add to Invoice window.
• Now, click the Add option on the billable expense you wish to charge to your customer.
• Finally, hit the Save and Close option to complete the process.

What is the difference between bill and expense in QuickBooks?

Herein, we have explained how to take care of bills to be paid later and bills to be paid instantly through bills, cheques, or expenses.

When to Enter Bills

• You must add the bills received from suppliers for reporting Accounts Payable (A/P), especially while running reports on an accrual basis.
• For tracking Supplier balances, it’s mandatory to add bills to determine how much you owe to your suppliers.
• Record a bill for any services or items received that you have to pay later, regardless of whether an actual bill was received from the supplier.

When to Enter Bill Payments

• Use the Pay Bills to close the bill when you have originally recorded a bill in QuickBooks. You also have the option to print a bill payment cheque or pay through a credit card.
• Adding a bill payment via Pay Bills will ensure that the Supplier balance decreases appropriately.
• If you have paid for a bill through electronic payment, mention EFT in the Reference number field.
• Accessing a cheque or Expense may affect the bill to reflect unpaid on your reports.

When to Record Expenses

• The expense report treats a transaction as both an expense and a payment.
• If you paid for something using a credit card, use the Expense.
• When something is paid via EFT, you can use the Expense. For that, you have to provide the EFT into the Cheque no or Ref No. Field.
• When bills are for payables, Expenses are incurred for the services.

What is a QuickBooks Expense Report?

A QuickBooks expense report summarizes business expenses for tracking or reimbursement purposes. Employees submit receipts, and once approved, reimbursement is processed. These reports help monitor spending patterns and maintain compliance.

Easy Steps to Create an Expense Report in QuickBooks

Herein, we have provided you with the step-by-step instructions to create an expense report in QuickBooks.

Step 1: Choose a Template or Use an Accounting Software

You have the option to either select a template or expense tracking software for generating an expense report.

Method 1: Download QuickBooks Free Excel Expense Report Template

You can visit the official Intuit site to download the QuickBooks Free Excel Expense Report template. Using this template, you can mention data items in their assigned columns and insert extra columns for additional expense categories. Moreover, it will make your calculations fast so that you can add accurate amounts in the corresponding columns.

Method 2: Using an Expense Tracking Software To Create Expense Reports

Creating an expense report using the Expense tracking software will let you connect your bank account to the software. Then, you can download transactions, organize, and add expenses to get enough time at your end.

Second Step: Add or Delete Columns

The MS Excel template comes up with the standard expense categories, which can be modified according to the type of expense your business incurs. For example: If your employees travel for business purposes more often, you have to add the “Travel & Meals” column.

With the help of an expense report, it gets easier to itemise expenses according to the tax categories. Also, it will fast track your taxes as there are some of the expense categories on which you can claim for deductions by you as a business.

Third Step: Report Expenses as a Different Line Item

Herein, you have to report each expense in a different line and provide all the necessary information. You must ensure that you enter the information, such as the client for whom specific expenses are incurred, to track the expenses accurately.

Above all, you have to report expenses in the same manner they were incurred. It means you have to report the latest ones first and then the old ones. After reporting all the expenses, include each expense amount, including the tax amount.

Fourth Step: Calculate the Total

There are multiple expense categories having a subtotal along with the total of all expenses. However, adding grand totals and sub-totals to your expense report helps in making expense tracking more convenient. Thus, it also helps you determine how much money is being spent.

Fifth Step: Attach Associated Receipts

As discussed earlier, expense reports are used by employees who request reimbursement. So, they need to attach proof of the incurred expenses along with the corresponding receipts. Moreover, they can also submit a scanned copy or photocopy of the receipts, depending on whether they are submitting electronically or in a printed format.

Sixth Step: Print or Send the Report

Before printing or sending the report, cross-check the subtotals and totals listed. After that, with the help of expense tracking software, you can easily export the expense reports to Excel. You can also send the reports via email or in PDF format.

Conclusion

QuickBooks Expense Tracking helps businesses record expenses, manage bills, track reimbursements, and generate QuickBooks Online expense reports efficiently. By organizing your QuickBooks expense categories and regularly uploading expense receipts, you can maintain accurate financial records and improve tax compliance.

If you need further guidance, you can connect with our BizBooksAdvice professionals for immediate help.

Frequently Asked Questions (FAQ’s):-

Question 1: How do I record expenses in QuickBooks?

Ans. If you have paid for a business expense in advance, then add it as an expense. Whereas, if you plan to pay for expenses in the future, include them as a bill.

Question 2: Can I use QuickBooks to track personal expenses?

Ans. Yes, you can run QuickBooks to manage your personal finances. This software will let you track expenses, automate bill payments, and create financial reports that give a clear picture of your spending habits and financial health.

Question 3: How to use QuickBooks to categorise expenses?

Ans. To categorize the expenses in QuickBooks:

• Choose the Categorised tab and apply a filter for Auto-categorised.
• Check the categorised expenses.
• If any transactions need re-categorisation, choose the current category to pick a different one.

Question 4: Is QuickBooks expense tracker safe to use?

Ans. Yes, the QuickBooks expense tracker uses high-tech security protocols to make sure that your expenses and transactions remain secure. Once you connect with your bank feeds, the data is read-only, which means QuickBooks can only read your expenses. Thus, it lets you organize the transactions, preventing any unauthorized access.

Question 5: How does QuickBooks Expense tracking software work?

Ans. QuickBooks Expense tracking enables you to connect your bank account and then automatically import and organize your expenses. Also, it enables you to categorise rules and then re-classify transactions according to your business requirements.

Question 6: How do I keep track of business expenses?

Ans. QuickBooks Online expense tracking software helps in tracking and recording business expenses, which saves your precious time. Also, it lets you stay compliant with the latest taxation laws and helps you in providing a clear insight into your business finances.

Question 7: Can I upload receipts to QuickBooks with my mobile?

Ans. You can simply download the free QuickBooks Online mobile app on your iOS or Android device and then take a snap of the receipt. After this, you can easily extract your important data to accomplish your task.