# Opening balances: direct costs and work in progress

URL: https://bimpsoft.com/en/help/getting-started/opening-balances-direct-costs/
Updated: 2026-11-06

> The "Direct costs" tab of the "Opening balances" document transfers costs already incurred on unfinished orders. Specify the accounting account, item, service, amount in the accounting currency and the order: without a link to an order the cost will not reach the product's cost price.

## What you enter on the "Direct costs" tab

On the "Direct costs" tab you enter costs already incurred on production processes or orders that are not yet finished, for example logistics or third-party services. This way they are not lost and increase the cost price of the final product.

Such costs work on the capitalization principle:

1. The cost accumulates on the order as work in progress.
2. When the products are released or sold, Bimp takes the purchase cost and adds the direct costs from this tab.
3. In the profit report, the cost price includes all costs paid before the start of work in Bimp.

## Before you start

Create the Opening balances document, see [Opening balances](https://bimpsoft.com/en/help/getting-started/opening-balances/). Set up [expense items](https://bimpsoft.com/en/help/getting-started/income-and-expense-items/) and create the [Customer order](https://bimpsoft.com/en/help/sales/customer-order/) or Work order the cost belongs to.

## How to fill in the tab

Open the document, go to the "Direct costs" tab and click **Add**.

1. "Accounting account": the ledger account where the costs accumulate: work in progress or another one you use.
2. "Expense item": a category from the expense items directory.
3. "Service": the service product that was paid for.
4. "Amount": the cost in the accounting currency.
5. "Order": the Customer order or Work order the cost belongs to. This is the key field.
6. Click **Save**.

![The "Direct costs" tab of the Opening balances document: an empty line with the columns "Accounting account", "Expense item", "Service", "Amount" (0 USD) and "Order"](https://bimpsoft.com/help/_img/cc7cf002-31cf-407c-b965-3813ea94b132.webp)

> [!WARNING] If you do not link the cost to an order, it stays on the balance sheet as a general expense and will not increase the cost price of a specific product.

## How to check the result

After products are released or sold under the order, check that the cost price includes these costs. The calculation rules are in the articles [Cost accumulation](https://bimpsoft.com/en/help/costing/cost-accumulation/) and [Cost price in Bimp](https://bimpsoft.com/en/help/costing/cost-price-guide/).

## FAQ

**Why is it important to choose an order?**

The cost accumulates on the order as work in progress. Without a link to an order, Bimp cannot automatically include it in the cost price of a specific product, and it remains a general expense.

**In which currency should I enter the amount?**

In the accounting currency. This amount is what increases the asset's cost price.

**When do these costs reach the cost price?**

When products are released or goods and services are sold under the order.