Understand business-paid expenses

Know when to enter an expense and how drafts, approvals, posting and bank matches differ.

Who can do this
Owners, or staff with expense viewing access; each action needs its own expense permission
Where
Expenses & bills, then Expenses
You'll need
Accounting enabled
On this page

Business-paid expenses record purchases already paid from business cash, a bank account or a credit card. They keep the purchase, category lines, supporting receipts and accounting entry together. Recording updates your books; it does not send a payment.

If a bill already records the purchase, settle that bill with a bill payment. Entering an expense as well would count the purchase twice. Employee reimbursements and personal funds are separate from this workflow.

Read the accounting status

Status Meaning
Draft Saved for later; no accounting entry yet.
Awaiting approval Submitted to the configured workflow; details are locked during review.
Rejected Returned by a reviewer; still a draft and editable.
Posted Recorded in the ledger. Payment details and amounts cannot be overwritten.
Voided Original purchase retained with its reversing entry and reason.

Read the bank status

Bank matching is separate from posting. A posted purchase can remain unmatched until the withdrawal appears. Matching connects the evidence without another journal. Removing a match leaves the purchase posted. Completed reconciliations must be corrected before removing their links or voiding matched purchases.

Use the list filters to find a date range, vendor, category, payment account, accounting status, receipt presence or bank state. The summary cards follow those filters. Recorded spend includes standing posted purchases, including eligible asset purchases; operating cost includes only expense-category lines. Drafts and voided purchases do not add spend.

Was this helpful?

Reviewed · View as Markdown