How bills link to expense categories
How bills link to expense categories
Bills are linked to expense categories through their bill items.
This is important because expense categories help Bizwazi explain where your business money is going.
For example, one supplier bill may contain different types of costs:
| Bill item | Expense category |
|---|---|
| Milk stock | Stock purchases |
| Carrier bags | Packaging |
| Delivery fee | Transport |
Instead of putting the whole bill under one general category, Bizwazi lets you split the bill into proper categories.
Why this matters
Correct expense categories help you see:
- How much you spend on stock
- How much you spend on packaging
- How much you spend on transport
- Which costs are increasing
- Whether profit is being reduced by avoidable expenses
This makes reports more useful.
Example
You receive a bill from a supplier for KSh 8,000.
The bill includes:
- KSh 6,500 for stock
- KSh 1,000 for packaging
- KSh 500 delivery fee
Instead of recording one KSh 8,000 expense, you can record the bill with three line items.
That gives a clearer business picture.
Best practice
Use the most accurate category for each bill item.
Avoid putting everything under “Other” unless there is no better category.
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Bizwazi helps small businesses record sales, expenses, invoices, inventory, bills, transfers and daily balances so the money makes more sense.