pro · Lesson 2 · 8 min
Tracking categories vs classes and locations
Xero tracking is line-level and available without an upgrade dance. QBO classes and locations are powerful and plan-gated.
Dotted words have a reminder. Hover on a computer, tap on a phone.
From earlier
- QBO
Xero tracking
Two tracking categories can be active at once (Xero allows four in total, including archived). Each has options (e.g. Category “Region” with East/West; Category “Line” with Install/Maintain). Keep options to about 100 per category so reports stay fast. You can set them on each invoice, bill, and journal line. Reports then filter or compare. That is how a flat chart still answers “what does maintenance earn in the west?”
QBO classes and locations
Classes ≈ departments or product lines. Locations ≈ sites. Classes can be per line; location is typically per transaction. Classes need Plus or Advanced (and Advanced if you need a large number). Converting from Xero: tracking options become classes and/or locations, and mixed line-level location data can collapse — plan the mapping before you migrate.
Projects and jobs
Xero Projects and QBO Projects sit on top for job costing (time, costs, invoices). Use them when the unit of management is a job, not a region. Don’t build 400 tracking options named after jobs; that’s what Projects (or a job app) is for.
Check
Choices shuffle each visit. Misses send you back to the section. Look back clears the quiz so you can try again. Practice drills deal a new problem on try-again.
Choose an answer, then check.
This try
Xero tracking categories are applied: