Expenses

Not every penny you spend involves a Purchase Order or a warehouse delivery. Sometimes, you just need to pay the electricity bill, buy office coffee, or reimburse an employee for travel.

The Expenses module is designed for these direct, operational costs. It records the spending immediately, hitting your Profit & Loss statement without the complexity of the full procurement cycle.

Recording an Expense

To log a new expense, navigate to Accounting > Expenses and click New.

General Information

Date: When did the expense occur? (Supports Nepali date format, e.g., 2082-09-11).
Expense Category: This is the most important field. It determines where this cost appears on your reports (e.g., “Travel,” “Rent,” “Office Supplies”).
Note: Add a brief description to remind yourself later what this was for (e.g., “Client lunch meeting”).

Payment Details

Amount: The total value of the expense.
Tax: If the receipt includes VAT or other taxes, select the appropriate tax rule here to ensure you claim it back correctly.
Paid Through: Where did the money come from? Select the cash or bank account used (e.g., “Petty Cash” or “Nabil Bank”).
Reference#: Enter the receipt number or transaction ID for audit purposes.

Associations (Optional)

Vendor: If you want to track how much you spend with a specific supplier over time, link them here.
Customer: If this expense is billable to a client (e.g., travel costs for a project), link the customer here so you don’t forget to charge them later.

Proof of Purchase

Drop File Zone: Never lose a paper receipt again. Upload a photo or scan of the receipt directly to this record (Supports JPG, JPEG, PNG).

Save

Click Save to finalize. The amount will be immediately deducted from your chosen “Paid Through” account and added to your expense ledger.

Expenses vs. Bills: Which one do I use?

It can be confusing to know when to use an Expense versus a Bill. Here is a simple rule of thumb:

Feature	Use Expense When…	Use Bill When…
Timing	You paid for it immediately (Cash/Card).	You are paying later (Credit terms).
Inventory	You are buying services or consumables (e.g., Rent, Internet).	You are buying stock to resell.
Complexity	It’s a simple, one-off transaction.	You need to track partial payments or due dates.

Pro Tip: Consistently uploading receipts to the Drop File Zone makes tax season significantly less stressful. Your accountant will thank you!