Over time this clutters your chart of accounts, leading to slower analysis and more administration.
Xero’s job tracking gives you the ability to do all this without cluttering up your chart of accounts.By setting up tracking categories to transactions, you’ll be able to generate reports by tracking category. Over time, you’ll have a large cache of data from which to drive your reports. All of this without cluttering up your chart of accounts.
For example, you can track sales and associated costs by salesperson, region, and/or division. Alternative methods could be to track your products grouped into separate categories.
Please note that Xero tracking is not designed for more complicated job costing. However, there are many add-on solutions in the Xero marketplace that may be your potential solution.