For the best possible experience with Pleo, you should set up categories for your clients. Expenses can be matched to a line in their chart of accounts with matching tax codes, without the employees even knowing they’re doing it.
It will allow their employees to easily assign a spending category to their expenses, and after using Pleo for a short period of time, the system will try to auto-categorise incoming expenses.
Best Practice: Having your subcategories as self-explanatory and intuitive to select when clients make their expenses.
Setting up expense categories with an accounting integration
If your client is using one of our supported accounting systems, you can import the expense categories. You can find guides to setup expense categories for our most common integrations here: Xero, QuickBooks, e-conomic, Fortnox, Visma eEkonomi.
Setting up expense categories without an integration
If they're not, you can still setup Pleo to work with the system that they are using.
To set up your expense categories in Pleo, go to Settings in the Main Menu and head to the Categories tab. Here you'll find 11 default category groups each based on one of the 11 category types set by Mastercard - this last part is what helps us auto-categorise expenses.
You can create as many groups as you like, name them anyhow, including the default ones, as well as setting the category type as per your need so we can better auto-categorise expenses.
Under each category group you can create as many sub-categories as you would like, see examples below:
Afterwards, add the appropriate nominal codes and tax rates
Once set up, the user will be able to choose the subcategory after making a purchase.
All groups and subcategories are archivable if you should ever want to reevaluate your list of categories available to the expense owners
As you can see, the category is attached to a nominal code and a tax rate - this is all done to save you time in the bookkeeping. When exporting, the right nominal code and tax rate will be applied.