How to job cost bill records in Xero

Job costing supplier bills means tagging each bill line to a job so you can see cost against budget for every job.

Before you start

Where to find it: Accounting > Accounting settings > Tracking categories; Projects > All projects

Create a Job tracking category with one option per job, or create a project (Projects > All projects).
Code each bill line to the tracking option, or assign the line to the project on the bill.
Run Profit and Loss by tracking category, or the project reports, for job cost.

Two active tracking categories (four in total).
A project must be in progress before you can assign a bill to it. You cannot assign to a draft or closed project.
You need the edit all projects permission to assign bill lines to a project.
Xero Central says tracking is not designed for job costing. Xero Projects is the tool for that.

In Projects you can add estimated expenses and compare them with actual bills. Only assigned bills and spend money are posted to the general ledger and standard reports.

Tracking category. A label you add to each bill line, such as Job or Site, so reports can be split by it.

Forward the supplier's invoice to Pulsify. Pulsify reads every row as its own line.
Review each line's account and set the job where it applies.
Route bills to the person who knows the job, using approval rules.
Approve. The bill is created in Xero with each line.

Pulsify connects to Xero in one click. Approved bills are created in Xero with the source file attached.

What Pulsify does not do here

Example Steel Supplies sends one bill. You have a Job tracking category with options Job 201 and Job 202. Amounts are ex GST.

Job 201 costs $5,550.00 and Job 202 costs $2,150.00 before GST. Run the Profit and Loss by tracking category to see both.

Planning on three active tracking categories. Only two can be active at any time.
Trying to assign a bill line to a draft or closed project.

Last checked 2026-10-19. Confidence: confirmed.

Use a Job tracking category with one option per job to report by job. Use Projects if you want estimated expenses compared with actual bills.

Four in total, but only two can be active at any time.

A project must be in progress. You cannot assign a bill to a draft or closed project and you need the edit all projects permission.

No. Enter separate lines with set amounts.

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