# How to job cost with tracking categories in Xero

Create a tracking category called Job. Add one option per job. Pick the job on each cost line of every bill. Then run a profit and loss report filtered by tracking to see cost per job.

## Short answer

1. Create a tracking category called Job in Settings.
2. Add one option per job.
3. Pick the job on each cost line of every bill.
4. Run a Profit and Loss report by tracking to see cost per job.

## Before you start

You need a Xero user who can change settings. Decide what a job is: a job number and name works best. Decide who picks the job. Cost is only as good as the lines that carry it, so it helps if the bill has the job number on it or the PO does.

## The manual way in Xero

1. Go to Settings > General settings and choose Tracking categories.
2. Add a category and name it Job. Add an option for each job.
3. Go to Business > Bills to pay and choose New bill.
4. Pick the supplier and add the lines. On each line choose the Job in the tracking column.
5. For a bill that covers two jobs, add one line per job. Split the amounts so they add up to the invoice.
6. Save and approve the bill.
7. To see cost per job, run Reporting > All reports > Profit and Loss and choose the Job tracking category in the report options.

Limits to know:

- Xero allows two active tracking categories, so Job may compete with Region or Department.
- Tracking is set line by line. Xero has no bulk edit for tracking on bill lines. Xero staff have pointed users to Find and recode for a group of lines, and a recode cannot be undone, so try it in the demo company first.
- A bill with 14 lines and one job still means 14 clicks.
- Tracking is not job budgeting. For quotes, time and invoicing by project, Xero has separate project tools.

## The Pulsify way

1. Forward the bill to your Pulsify address. Pulsify reads each line and codes the account and GST from past bills.
2. Tracking: if the bill matches a purchase order that carries tracking, Pulsify uses the PO's selections.
3. Otherwise, if you turn on tracking pre-selection under Company settings > General > Processing, each line is pre-selected from that supplier's past choices. It is off by default.
4. In the invoice, use Bulk edit above the line items to set a tracking option on every line. In the queue you can select several bills, choose Edit > Bulk edit and set a tracking option on all of them.
5. Check the job on each line. Approve. The bill is created in Xero with the tracking on each line.

Pre-selected tracking is a guess from history. Check it, because a supplier who works on two jobs at once will be guessed wrong sometimes.

## Worked example

Example Electrical Supplies sends a bill for $3,300.00 including GST. Three lines go to jobs.

| Line | Amount ex GST | Job |
|---|---|---|
| Cable 100 m | $900.00 | J101 Smith St |
| Switchboard | $1,500.00 | J101 Smith St |
| Conduit and fittings | $600.00 | J104 Park Ave |

Total ex GST is $3,000.00 and GST is $300.00. In Xero, run Profit and Loss by Job. J101 shows $2,400.00 of materials and J104 shows $600.00. Without the tracking, all $3,000.00 would sit in one materials account.

## Common mistakes

- Making a tracking option for every supplier or cost type. Keep it to jobs.
- Leaving tracking blank on some lines. The report then has an unassigned total.
- Using one tracking option per month instead of per job.

## Next step

Try an invoice at [app.pulsify.tech/sign-up](https://app.pulsify.tech/sign-up). Or [book a call](/contact/) to find out how customers have saved hours per week after switching.

Read the [PO matching guide](/guides/po-matching/). The [automated line item coding](/automated-line-item-coding/) page explains how accounts and tax codes are learned. For MYOB, see [How to split a bill across jobs in MYOB](/how-to/split-a-bill-across-jobs-in-myob/).

## Common questions

### How many tracking categories can Xero have?

Xero allows two active tracking categories, with up to four in total including archived ones. Many firms use one for Job and one for Region or Department. Check Xero Central for the current limit.

### Can I split one invoice line across two jobs?

Not on a single line. Each line carries one option per category. Split the cost into two lines, one per job, with amounts that add up to the original line.

### Does Pulsify pick the job for me?

It can pre-fill tracking from past bills for that supplier, if you turn on the setting. Treat it as a first guess and check it. When a PO carries tracking, the invoice uses the PO's tracking.

Source: https://www.pulsify.tech/how-to/job-cost-with-tracking-categories-in-xero/ (last checked 2026-10-19)