Expenses in Zoho Billing : Overview

An expense is the outflow of money incurred while running the operational activities of your business. Recording and categorizing these transactions helps maintain accurate financial reports and assists in business planning.

Example Scenario:

Charles owns a gift shop and frequently delivers gifts across the city. The primary expenses he incurs include:

• Mileage for delivery trips
• Electricity bills
• Store rent
• Stationery purchases for gift wrapping

Using the Expenses module, Charles can record all these outflows systematically and keep track of his business spending.

Zoho Billing supports two types of expenses:

• Regular Expense: General business costs like rent, bills, supplies, etc.
• Mileage Expense: Expenses calculated based on distance traveled for business purposes.

Expense Tracking

Why It Matters

Tracking business expenses ensures:

• Improved budgeting and forecasting
• Accurate profit calculations
• Simplified tax filing
• Clear visibility into operational costs

Expense Categories

Navigate to: Expenses > Categories

Assigning categories helps you:

• Understand where money is being spent
• Generate insightful expense reports
• Filter and organize expenses efficiently

You can use existing categories or create your own to reflect your business structure.

Creating a New Expense

Navigate to: Expenses > + New

Steps to Add an Expense:

1. Click the + New button in the Expenses module.
2. Select the Expense Date.
3. Enter the Expense Amount.
4. Choose or create a Category.
5. Add a Vendor (optional).
6. Attach Receipts if needed.
7. Mark as Billable if reimbursable by a customer.
8. Add a customer, if billable.
9. Click Save.

Adding Expenses in Bulk

To save time, you can import or add multiple expenses simultaneously.

Navigate to: Expenses > Import

Steps:

1. Click Import.
2. Upload your CSV file containing expense records.
3. Map the fields to Zoho Billing fields.
4. Click Import to add the expenses in bulk.

Recording Mileage Expenses

Navigate to: Expenses > + New > Mileage

Steps:

1. Choose Mileage as the expense type.
2. Enter Start Location and End Location.
3. Enter Distance or let the system calculate it.
4. Add Purpose and Category.
5. Mark as Billable, if applicable.
6. Attach supporting documents or receipts.
7. Click Save.

Expense Preferences

Navigate to: Settings > Preferences > Expenses

Here, you can:

• Set the default mileage rate
• Define rounding preferences
• Customize the fields that appear in the expense form
• Enable or disable billable expenses

Custom Fields for Expenses

Navigate to: Settings > Preferences > Expenses > Field Customization

To Add Custom Fields:

1. Click + New Custom Field.
2. Set the Label Name, Type, and Default Value.
3. Choose where the field should appear (entry form, PDF, etc.).
4. Click Save.

Use custom fields to record additional data like internal codes, expense type specifics, or department tags.

Recurring Expenses

Navigate to: Expenses > + New > Make Recurring

Recurring expenses can be auto generated at regular intervals. Examples include:

• Monthly rent
• Subscription services
• Utility bills

Set the frequency, start date, and end date to automate this process.

Expense to Invoice

If an expense is billable to a customer:

1. Mark it as Billable while creating the expense.
2. Assign the corresponding Customer.
3. Navigate to Invoices > + New and link the expense.
4. The billable expense will appear in the invoice items.

This helps with client reimbursements and transparent billing.

Expense Reports

Navigate to: Reports > Expenses

Generate reports such as:

• Expenses by Category
• Expenses by Customer
• Recurring Expense Summary
• Unbilled Expenses

Use filters to customize time ranges, categories, or customer-wise data.

Listing of Expenses

Navigate to: Expenses

From the listing page, you can:

• Filter by date range, category, or billable status
• Search by vendor, amount, or notes
• Sort by amount, date, or category
• Export as PDF, CSV, or XLS

Customize visible columns using the column chooser for a tailored view.

Autoscan Receipts

Navigate to: Expenses > Autoscan

Zoho Billing supports automatic scanning of receipts:

1. Upload the receipt image or PDF.
2. Zoho extracts data like amount, vendor, and date.
3. A new expense is created with the extracted details.
4. Review and confirm the entry.

This helps save time and reduce manual entry errors.

More Actions in Expenses

From the Expenses module, you can also:

• Mark as Non-Billable
• Convert Billable to Invoice
• Export Selected Expenses
• Duplicate an Expense
• Attach Files
• Void or Delete entries if needed