Stock & Shop
Expenses & Profit
Record the costs that aren't stock, and read a real profit figure — gross margin, net profit, margin by item, stock valuation and the day book.
Once stock and cost are being tracked, InvoiceKaro can tell you what you actually made — not just what you billed. Add your running costs and the profit report becomes a real one.
Record an expense
- 1Open Profile → Stock, Purchases & Expenses → Expenses.
- 2Tap Record an expense.
- 3Pick a category — rent, salaries, utilities, transport, supplies, marketing, fees, repairs, tax or other.
- 4Enter the amount, any GST paid, a short note and the date. Save.
Stock you buy is not an expense
Buying stock moves money into inventory; it becomes a cost when the stock sells. Recording a purchase bill as an expense would count it twice and make a restocking month look like a loss.
Note
GST paid on an expense is recorded but not treated as a cost, because for a registered business it's recoverable. It's reported on its own so you can still claim it.
How profit is worked out
| Line | What it is |
|---|---|
| Revenue | What you billed, minus anything refunded. GST collected isn't yours, so it isn't counted. |
| Cost of goods sold | What the items you sold actually cost you, recorded at the moment each sale was issued. |
| Gross profit | Revenue minus cost of goods sold — the money you made on trade. |
| Expenses | Rent, salaries and everything else that isn't stock. |
| Net profit | Gross profit minus expenses — what's actually left. |
The other reports
Stock valuationWhat the shelf is worth at average cost. Negative counts are excluded rather than subtracted.
Margin by itemUnits sold, revenue in, cost out and margin % for each item.
Day bookOne day at a glance — sales, purchases, payments, expenses and every stock movement behind them.
Note
Invoices with no catalogue-linked lines have no cost behind them, so they're left out of the per-item margin figures rather than shown as 100% profit.
Who can see what
Money you charge is ordinary business data. Money you paid is not — cost price, average cost, cost of goods sold, margin, stock valuation and the whole profit report are owner-only.
| Role | Stock counts | Record bills | Expenses | Costs & profit |
|---|---|---|---|---|
| Owner | Yes | Yes | Yes | Yes |
| Admin (bookkeeper) | Yes | Yes | Yes | No |
| Manager | Yes | Yes | No | No |
| Staff | View only | Yes | No | No |
| Viewer | View only | No | No | No |
Tip
This means a staff member can record what physically arrived, and a bookkeeper can enter the rent, without either of them seeing your margins. See Team.