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How to use and create Expense credit accounts?

How to use and create Expense credit accounts?

Alexandra Gallisová avatar
Written by Alexandra Gallisová
Updated this week

What is an Expense Credit Account?

An Expense Credit Account helps you manage situations where your agency buys services or media in bulk, but the cost and usage are spread out over time for different clients. For example:

  • You purchase a yearly SEO credit package or 10 PR articles in advance and use them gradually across multiple clients.

  • A supplier gives you a 10+1 deal (e.g. 10 articles paid, 1 free), but you still invoice the client for all 11 -> so you need a way to track that 1 free article as non-cost.

  • You’ve bought services upfront but haven't sold them to a specific client yet -> they sit as a credit until allocated.

Instead of tracking these manually in spreadsheets, you can now manage them directly in Allfred using Expense Credit Accounts. This feature allows you to:

  • Create a single incoming invoice (expense),

  • Gradually allocate the credited value to different projects over time.


How do I create an Expense Credit Account?

To create a credit account:

  1. Go to + New → Expense.

  2. Fill in the contractor, date, total amount, invoice details, etc.
    This works like a standard expense.

  3. Scroll down to the Expense items section – here, you have two options:

a) How to split an expense into a project + credit account?

  • Click + Expense item to assign part of the amount directly to a project and budget item.

  • Then click + Credit account to assign the remaining part to a credit.

  • Make sure the total at the top matches the sum of the two rows.

b) How to create a credit account only (without assigning to a project)?

  • Click + Credit account only.

  • Delete any other expense items rows – the credit account should be the only one listed.

After entering the details:

  • Click Save approved if you are CFO or Admin, or

  • Submit for approval (For financial approval or For items approval), depending on your role.

The credit will now appear in Finance → Credit accounts → Tab: Expense.

Note: The "Brand" tab is for outgoing invoice credit accounts.


How do I use (draw from) an Expense Credit later?

When you're ready to assign the credit to a specific project:

  1. Open the Project you want to draw the credit into.

  2. Do NOT click + Add expense (this creates a new expense). Instead, click the value "Expenses received."

  3. In the window that opens, click Get credit.

  4. Choose the correct credit account (make sure to name your credits clearly).

  5. Enter the amount and date of the draw.

  6. Click Get credit to confirm.

Alternatively, you can transfer credit directly from the credit account:

  1. Go to Finance → Credit accounts → Tab: Expense.

  2. Click on the ID of the credit account.

  3. Click Transfer credit.

  4. Choose Transfer to project as the transfer location.

  5. Select the target project.

  6. Choose the relevant expense budget item within the project.

  7. Enter the amount and select the transaction date.

⚠️ Important: You cannot draw credit on a date earlier than the credit’s original creation date.


How do I return a used credit?

If you want to undo the draw from a project:

  1. Go the project detail and budget item where the credit was used.

  2. Click into the Expenses received section of the budget item.

  3. Click Return credit.

  4. Enter the amount to return and confirm.


Where can I see an overview of credit usage?

Go to Finance → Credit accounts → Tab: Expense.

  1. Click on the ID of the credit account.

  2. You’ll see:

    • The original expense that created the credit (top section),

    • All draws listed in the "Debits" section below.

You can also rename the credit account and add a note via the Edit option.

How to transfer credit to a different Expense Credit Account?

If you want to move funds from one credit account to another:

  1. Go to Finance → Credit accounts → Tab: Expense.

  2. Click on the ID of the credit account you want to transfer from.

  3. Click Transfer credit.

  4. Choose Transfer to credit account as the transfer location.

  5. Select the target credit account.

  6. Enter the amount you want to transfer.

  7. Select the transaction date.

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