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Expense Categories

Create and manage categories for organizing expenses. Navigate to Payments → Expense Categories to manage categories.

Expense Categories - List Page


Overview

Expense Categories help organize and track different types of business expenses. Proper categorization enables accurate financial reporting and cost analysis.


Creating an Expense Category

Click Add Expense Category.

Expense Categories - Add/Edit Form

Name (Required): Category name (e.g., "Food Supplies", "Utilities", "Marketing")

Description (Optional): Brief description of what belongs in this category


Category List View

Shows all categories with expense count and total spent per category.


Common Categories

  • Cost of Goods Sold (COGS): Food ingredients, beverage supplies
  • Operating Expenses: Rent, utilities, salaries
  • Marketing & Advertising: Promotions, ads
  • Maintenance: Repairs, equipment servicing
  • Administrative: Office supplies, licenses

Best Practices

Specific Categories: Create specific, meaningful categories rather than generic ones

Consistent Use: Use same categories consistently, train staff on proper categorization

Not Too Many: 10-15 categories sufficient for most restaurants, too many categories complicate tracking

Review Periodically: Add/remove categories as business needs change

Standardize

Use industry-standard expense categories when possible. Makes comparing with industry benchmarks easier and financial statements clearer.