How can you track expenses by project in QuickBooks Online?

Tracking expenses by project in QuickBooks Online is best accomplished by enabling the “Projects” feature in the settings. This functionality allows users to associate specific expenses directly with individual projects, providing a clear overview of project costs. By categorizing expenses this way, users can monitor their project profitability, analyze the financial health of each project, and generate reports that detail all expenses tied to a particular project. This integration within QuickBooks ensures that data is maintained in one platform, streamlining financial management and reporting.

The other methods, such as creating specific vendor accounts, using tags and labels, or maintaining separate spreadsheets for tracking expenses, do not provide the same level of integration and ease of use. They can complicate data management and reduce the accuracy and efficiency of tracking project-related expenses. Therefore, using the built-in "Projects" feature is the most effective and efficient method for managing and tracking expenses directly related to specific projects in QuickBooks Online.