'Costs of Goods Sold' is the total of the costs to create a product or service which you have provided. 

Where you have to buy materials to make a product or deliver a service for your Clients, you would load these into Hnry as a Business Expense under the 'Cost of Goods Sold' Category, along with the receipt.

Business Expenses are different from Client Reimbursements, which are purchases that you and your client have agreed that they will reimburse you for in full. Client Reimbursements are automatically added to any invoices you generate in Hnry, whilst Business Expenses are not. 

When you are setting the prices for your Services and agreeing costs with your Client, you should factor in the cost of any materials you need to make or deliver that Service.

N.B. Given that Client Reimbursements are reimbursed in full, we do not deduct tax from reimbursements when Clients pay.

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