Use Expense Categories to categorize expenses on expense reports. You can create the category at the same or greater level of detail as the GL Chart of Accounts. For example, a GL account might be for Travel – Meals. However, the Expense Categories that map to the account could include Breakfast, Lunch, and Dinner. Expense categories only have to point to a Project Account if it is being charged back to the customer. Therefore, you can use the expense report for entering both project and non-project related expenses. You can associate multiple expense categories with the same GL Account.
Creating Expense Categories
Go to Projects | Setup | Expense Categories.
Click New. Expense Category appears.
Type a description for the expense category in Description.
In Account, select the account that you want to set up as the default account for the Expense Category. You can also create a new Account by using the Quick Add feature. For more information, see Quick Add.
Specify the cost per unit for the expenses in the category in Unit Cost.
Click Save and New, or click Save and then click New, to save the current category and start adding the next.