Billable expenses

Billable expenses are costs you're charged as part of a job that you want to recover from your customer. You might also refer to billable expenses as oncharging, onbilling, recharging, reimbursables, or pass on costs.

How billable expenses work in Xero

Assign items as billable to a customer

Add a one-off bill or spend money transaction in Xero and assign the customer's name to the expenses that you want to recover.

You can't assign expenses on repeating bills.

Add a billable expense to a bill

Add a spend money transaction

Xero prompts you to charge back expenses to your customer

When invoicing that customer in the future, you have the option to add the expenses to their sales invoice.

Add outstanding expenses in an invoice

Run a report to get a list of outstanding billable expenses

Billable Expenses - Outstanding report