Recording expenses in the LeanLaw platform is two-part: one part LeanLaw, one part QuickBooks. LeanLaw deals with two types of expenses, both of which end up on your client invoices:
Expenses created in LeanLaw (“soft” expenses): This is an expense that you want to be reimbursed for by your client, but you did not pay to a vendor. Examples can include general overhead charges, photocopies, or mileage.
Expenses created in QuickBooks (“hard” expenses): This is an actual expense that you paid or will pay to a vendor. Examples can include filing fees, expert witnesses, or court reports.
This article will walk you through adding an expense in QuickBooks. You can then bill the expense through LeanLaw!
1. Create a Check in QuickBooks
Select the Gear icon in the top right, then "Check".
2. Fill in the required fields to create the expense.
Once opened, fill out the necessary information. An example is given below. Make sure not to mark the expense as "Billable" as you will enter that expense into LeanLaw to recoup the reimbursement.
This new Check increases the necessary Prepaid Expenses asset account (in this example we used an asset account), and is used to account for hard costs. It pairs with Expenses created in LeanLaw to paint a full picture of the accounting footprint.
The expenses added to LeanLaw will flow to the same prepaid expenses account for reconciliation purposes. The money goes out via QuickBooks, and is recouped via the LeanLaw workflow.
Review the below articles once you've entered the expense in QuickBooks: