How To Identify & Charge reimbursable expenses in Quicken ?

15 March, 2019

How to Identify & Charge reimbursable expenses in Quicken - Hints

To know about reimbursable expenses, kindly read this article.

When the expenses are paid on customer's behalf while working on a project, it can be called as 'Reimbursable Expenses'. For instance: Travel expenses and delivery fees. However, billing for such expenses is a two-step process. Let's see how:
  • In the beginning, when the expenses are entered in Quicken, you can identify them as reimbursable.
  • After then, there is a need to include suitable charges. And when you invoice a customer from expenses list that hasn’t been invoiced yet.

Identify your reimbursable expenses!!!!

  • Find the new transaction line. Enter reimbursable expense as a transaction from suitable Quicken Bank, bills a/c to register or credit card.
  • Now, make a click in the Exp(expensive) field to mark the transaction as a reimbursable expense.
  • To show an expense for which you thought to invoice a customer, Quicken displays an E.
  • After this, give the description of expense in the Memo field.  
Note: You can see a list of expenses that are not yet invoiced to the client, whenever you are ready to invoice them. See how to charge reimbursable expenses:
  • First, click the Business tab, then Business Actions. Now, select Invoices and Estimates > Create Invoice.
  • Next, fill your customer details.
  • Tap Expenses.
  • You will then see reimbursable expenses dialogue showing the list of transactions. That you marked as expensive(E) but it hasn't been shown on the invoice.
  • Now, make a click on the 'Use column' to include the expense on an invoice.
  • If in future, you don't want to show this item on the window, click in Hiding column.
Do this, if you are sure that you won't use this item on the future invoice. You will see that the item is longer shown in Expenses window.
- Go to register transaction. Double-click there in E field to show it in the Expenses window.
- Now, choose Print selected expenses as one invoice item check box, if you wish the software to group all expenses as one line item on the invoice.
- The amount will be total of all reimbursable expenses shown in Use column.
- If reimbursable items are taxable, then pick 'Selected expenses are the taxable'        checkbox.
- The user is provided with a facility to calculate sales tax on these items (as per rate is given on invoice).
- Press OK.
- After completing the invoice, press Save and Done option.
- Note that reimbursable expenses you’ll include on this invoice won't appear in Choose
 Reimbursable Expenses dialogue.
 Therefore, this feature needs Quicken Home and Business or Rental Property Manager.

 Is Reimbursement a Taxable Income?

Always keep in mind that when reimbursement is provided to employee or business, then it should be properly recorded to be considered as Non-taxable. 
For instance, on employee’s income stub, reimbursement must be mentioned as such and not merely charged to his other income. Also in a business’s chart account, note that it's a reimbursable expense. By doing so, you can cross-check against your income list to see that it's not taxable.

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