How do you bill a customer for time or expenses (time tracking and billable expenses)?

• A. Enable Time Tracking, create a Time Activity or Expense with Billable checked, link to a customer, and later bill them via an invoice.
• B. Create a standard invoice without time.
• C. Time cannot be billed.
• D. Use a Purchase Order.

Answer: (A)

To bill a customer for time or expenses, you record those items as billable and attach them to the customer, then generate an invoice that includes them. In QuickBooks Online, you enable Time Tracking and create a Time Activity (for hours) or an Expense entry, checking the Billable box and linking it to the customer (and setting the rate if needed). These billable entries are stored and ready to be invoiced. When you’re ready to bill, you create an invoice and add those billable time and expense lines so the customer sees them on the invoice. This approach allows you to recover labor and expense costs directly through the customer invoice. The other options won’t bill for time or expenses: a standard invoice without time ignores billable hours, time can indeed be billed, and a Purchase Order is used for vendors, not customer billing.