> ## Documentation Index
> Fetch the complete documentation index at: https://dronelist.io/docs/llms.txt
> Use this file to discover all available pages before exploring further.
# Expenses
> Track business expenses and feed cost data into profitability analysis
# Expenses
Track every cost of running your drone operation — from equipment purchases to software subscriptions. Expenses are organization-level, so your whole team works from a single source of truth. Expense data feeds directly into [Profitability](/docs/features/profitability) calculations.
## Creating an expense
Navigate to **Expenses** and click **New Expense**. Fill in the details:
| Field | Description |
| --------------- | ------------------------------------------------------------- |
| **Receipt** | Optional — upload a receipt image to auto-fill fields with AI |
| **Description** | What the expense is for |
| **Amount** | Cost in USD |
| **Category** | One of 16 predefined categories (see below) |
| **Date** | When the expense occurred |
| **Recurring** | Whether this expense repeats on a schedule |
***
## Receipt scanning
Upload a receipt photo (JPEG, PNG, WebP, or PDF) in the create or edit expense dialog. Once uploaded, click **Scan Receipt** to extract details automatically using Vision AI:
* **Merchant name** — fills the expense description
* **Total amount** — fills the amount field
* **Date** — fills the expense date
* **Category** — suggests the best matching category from the 16 available options
* **Tax amount and raw text** — added to notes for your records
The AI fills the form but never saves directly — you always review and confirm before submitting. If the scanner's confidence is low, a warning is shown so you can verify the extracted values.
In edit mode, the scanner only populates empty or default fields. It will not overwrite data you have already entered.
***
## Expense categories
Every expense is assigned to one of 16 categories. These categories determine how the expense is classified in [Profitability](/docs/features/profitability) calculations — as overhead, equipment, or excluded.
| Category | Examples | Profitability class |
| ------------------ | -------------------------------------------- | ------------------- |
| **Equipment** | Drones, cameras, accessories | Equipment |
| **Maintenance** | Repairs, servicing, component replacement | Equipment |
| **Supplies** | Batteries, props, cases, consumables | Equipment |
| **Software** | Subscriptions, apps, tools | Overhead |
| **Insurance** | Drone insurance, liability, hull | Overhead |
| **Accounting** | Bookkeeping, tax prep, professional services | Overhead |
| **Marketing** | Ads, website, branding, SEO | Overhead |
| **Licenses** | Part 107, business licenses | Overhead |
| **Facilities** | Office rent, storage, utilities | Overhead |
| **Training** | FAA courses, workshops, certification | Overhead |
| **Permits** | Airspace authorizations, special waivers | Overhead |
| **Data & Storage** | Cloud storage, processing platforms, backups | Overhead |
| **Overhead** | General overhead costs | Overhead |
| **Travel** | Mileage, fuel, accommodation | Excluded |
| **Labor** | Subcontractors, assistants, crew | Excluded |
| **Other** | Miscellaneous expenses | Excluded |
**Excluded** categories (Travel, Labor, Other) are tracked for your records but are not included in automated profitability overhead or equipment calculations. Travel costs are handled separately in the profitability calculator via mileage rates.
***
## Recurring expenses
For costs that repeat on a regular schedule, mark the expense as recurring and select a period:
| Period | Frequency |
| ------------- | -------------- |
| **Monthly** | Every month |
| **Quarterly** | Every 3 months |
| **Yearly** | Once per year |
### How recurring expenses affect profitability
The [Profitability](/docs/features/profitability) module normalizes recurring expenses to calculate their contribution to any given project. For example, a $1,200/year insurance policy contributes $100/month — so a 2-week project would be allocated approximately \$50 of that cost.
***
## Managing expenses
### Editing
Click any expense in the list to edit its details. All fields are editable.
### Deleting
Delete individual expenses from the expense detail view or use **bulk delete** to remove multiple expenses at once. Select expenses using the checkboxes in the list view, then click **Delete Selected**.
### Filtering
The expenses list supports filtering to help you find what you need:
* Filter by **category** to see all expenses of a specific type
* Filter by **date range** to focus on a time period
* Sort by amount, date, or category
***
## Expenses and profitability
Expenses are a key input to the [Profitability](/docs/features/profitability) module. Here is how they connect:
Add your business costs with accurate categories and amounts throughout the year.
The profitability engine pulls all expenses for the current year and classifies them as overhead or equipment costs.
Total overhead expenses are divided by your annual revenue (from [Proposals](/docs/features/proposals) and deals) to determine your actual overhead percentage.
When you run a profitability analysis on a [Project](/docs/features/projects), overhead and equipment costs are allocated proportionally based on your real expense data.
***
## Tips
The [Profitability](/docs/features/profitability) module can use estimated percentages or actual expense data. The more complete your expense tracking, the more accurate your per-project profit analysis becomes.
Insurance, software subscriptions, and facility costs are usually fixed. Mark them as recurring so you only enter them once, and the system handles normalization for profitability calculations.
The category you assign determines whether an expense counts as overhead or equipment cost in profitability analysis. A misclassified expense can skew your margins.
Since profitability calculations aggregate expenses by year, take time to review and clean up your expense data periodically for the most accurate analysis.