Expense Category

This video explains how to set up Expense Categories to standardize the types of costs employees can claim and automate accounting.

• Standardizing Inputs: The video explains that categories like “Travel,” “Meals,” or “Office Supplies” help organize expenses for better reporting.
• Accounting Integration: Each category can be linked to a specific Expense Account in the Chart of Accounts, which the video shows prevents manual entry errors.
• Tax Configuration: The video demonstrates how to set a default tax (e.g., GST or VAT) for a category so it is automatically applied to every expense filed under it.
• Unit of Measure: For items like mileage, the video shows how to set a unit price (e.g., $0.60 per km) so employees only need to enter the distance traveled.
• Re-invoicing Customers: The tutorial highlights the “Re-invoice” setting, which allows the company to automatically add the expense cost to a customer’s next sales invoice.