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Level 1
June 7, 2019
Solved

What is the difference between office expenses and supplies expenses?

  • June 7, 2019
  • 1 reply
  • 11 views
The office expenses section says to not worry about any expenses I have already entered (in supplies expenses). Which leads me to believe that they are the same thing. Which expenses do I put in which category? Does it matter?
Best answer by AnthonyC

They can be similar depending on the type of business activity.  Office expenses are expenses related to maintaining an active office such as pens, paper, post stamps, ink toner, etc.  Supplies expenses are expenses more closely related to the actual production of a product but aren't directly related to the cost of goods sold - think something like a box of nails or screws that you may use over the course of a year or a gallon of paint.

In the end, all of these expenses get totaled together, so if you aren't entirely sure where to put some items the more important thing is that you don't double count them.  The distinction is there to help keep your records accurate in case you ever need to prove your expenses.  

1 reply

AnthonyCAnswer
Level 12
June 7, 2019

They can be similar depending on the type of business activity.  Office expenses are expenses related to maintaining an active office such as pens, paper, post stamps, ink toner, etc.  Supplies expenses are expenses more closely related to the actual production of a product but aren't directly related to the cost of goods sold - think something like a box of nails or screws that you may use over the course of a year or a gallon of paint.

In the end, all of these expenses get totaled together, so if you aren't entirely sure where to put some items the more important thing is that you don't double count them.  The distinction is there to help keep your records accurate in case you ever need to prove your expenses.  

Level 2
June 7, 2019
TurboTax 2017 defines Supply Expense as everything you're saying should go under office expense. It says that Office Expense only pertains to the cost of maintaining the office, plus data back-up and archiving for some reason. VERY CONFUSING! Especially since Quicken defines Office Expenses as you have above. It would be helpful if the two products agreed with each other.
Level 2
May 2, 2020

No kidding! I can't delete a figure in Office Expense (entered in error) and put it instead in Supplies! I keep deleting it and deleting it and it won't go away! Can someone help? Need to get this done ASAP so I can submit for my SBA PPP loan!