When to use this

This guide is for finance teams whose costs depend on milestones, units consumed, or percentage completion rather than calendar time. Set up a usage based cost account once, then update it manually or sync it from a Google Sheet (or Microsoft Excel) each month — ScaleXP recognizes the cost on each bill based on the usage data you supply rather than line item dates.

For bills that should simply spread over a fixed period, ScaleXP’s standard expense recognition handles this automatically — see How to automate expense recognition journals in ScaleXP. For costs incurred before the bill arrives, see How to automate accrued cost journals.

Step 1. Open the usage based cost recognition rules

On the main journals page, scroll down to Update Usage Based Cost under section 4. Review Cost.

Click on the box with arrow to open the page.

Then click on the cog symbol to open the usage based settings.

Note: You can also access this page by selecting Usage Based Recognition from the three dots menu on any Journals Expense page.  You’ll then land directly on the Configure Usage Based Recognition Rules screen for costs.

Step 2. Select the GL account

Select the GL account you want to flag as a usage based cost account. 

Every bill posted to that account from this point forward will be recognized using the usage data you supply, rather than using ScaleXP’s default text-recognition AI.

Step 3. Add additional usage based accounts, if needed

To add another usage based cost account, click Add Usage Based Account and select the next GL account.

How to revert an account to standard cost recognition

To return an account to standard cost recognition, use the bin icon next to the rule on the Configure Usage Based Recognition Rules screen. 

ScaleXP will revert that account to default text-recognition AI from that month forward; historical postings stay as they were.

Step 4. Allocate usage based spend

Once your accounts are set up, update the usage figures each month — manually, or by refreshing the Google Sheet or Excel sync — and ScaleXP recognizes the matching slice of each bill. For the ongoing month-end flow, see How to update usage based costs.

Related articles

• How to update usage based costs
• How to automate expense recognition journals in ScaleXP
• How to automate accrued cost journals
• How to set up usage based revenue recognition
• How to set and change expense journal settings
• How to set up usage based data from Google Sheets
• How to set up usage based data from Microsoft Excel