How to Use Expenses to Improve Business Decisions

Expense tracking is most valuable when it leads to action.

• Compare recurring costs from month to month.
• Review spending by category to find rising overhead.
• Compare payroll and staffing costs with sales trends.
• Check whether marketing costs are producing enough revenue.
• Identify vendors or payees receiving increasing payments.
• Use net profit—not sales alone—when evaluating performance.

Investigate unusual changes by opening the underlying expense records and attachments.