Peterjw
Level 1
‎March 07, 2022 04:14 PM

Expense category

Hi,

I make hiking gear from fabric purchased overseas. I have a full time job and this is a side business (sole trader) which doesn't collect GST as I'm well below the 75K threshold

 

I was wondering how I make an expense category for materials purchased (from multiple suppliers)? I do not need to track inventory but do need to treat it as an expense or cost of sales.

 

Best regards

 

Peter

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AileneA
Moderator
Moderator
‎March 07, 2022 05:49 PM

Move to QuickBooks Online

Adding new expense categories in QuickBooks Online is pretty easy and I'd be glad to help you how, Peterjw. Let's get started.

 

You can go to your Chart of Accounts and add the new expense categories from there. Below are the steps to complete the process:

 

  1. Sign in to your QuickBooks Online (QBO) account.
  2. Click Accounting in the left panel and choose Chart of Accounts.
  3. Tap New. 
  4. Choose a Category/Account type (Expenses or Other Expenses). 
  5. Fill in the needed details and hit Save & Close once done. 

 

Also, I'd still suggest consulting an accountant to help and guide you on what's the best way to handle this. Your accountant can provide more expert advice in dealing with this concern. 

 

To learn more about creating a category and changing the view options, you can check out these articles: 

 

 

Please keep me posted on how it goes. I want to make sure this is resolved for you. Take care and stay safe.

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