What's the Difference Between 'Bills' and 'Subscriptions'?
Quick Review
What: Two types of recurring transactions you can designate in Simplifi
Why: Organize recurring expenses based on their importance and payment flexibility
How: Choose type when creating recurring transaction or edit in Settings > All Recurring
Note: The distinction is entirely at your discretion
Overview
When creating a new Recurring Bill in Quicken Simplifi, you can designate it as either a 'Bill' or 'Subscription'. This distinction is purely for your organizational preference—Simplifi provides these options for you to categorize recurring expenses in a way that makes sense for your financial management.
Ashley uses this distinction to separate critical payments from optional services. They mark rent and utilities as Bills, while Netflix and Spotify are Subscriptions. This mental separation helps them know which payments to prioritize during tight cash flow months.
Suggested Uses
Billss
Recommended for expenses that typically:
Have late fees or penalties
Are essential services
Impact credit if unpaid
Examples:
Phone bill
Utility bills
Mortgage or rent payment
Insurance premiums
Loan payments
Subscriptions
Recommended for expenses that typically:
Don't incur late fees
Can be cancelled anytime
Are discretionary services
Examples:
Streaming services
Amazon Prime
Magazine or audiobook subscriptions
Gym memberships
Software subscriptions
How to Change Between Bill and Subscription
If you need to recategorize:
Go to Settings > All Recurring
Find the recurring series to change
Click Edit series
In the Type of transaction section, switch between 'Bill' and 'Subscription'
Click Update
Ashley's Organization Method
Ashley initially marked everything as "Bills" but found it overwhelming. Now they use:
Bills: Only for items with real consequences if paid late
Rent (eviction risk)
Utilities (service disconnection)
Insurance (coverage lapse)
Subscriptions: Everything else
Entertainment services
Professional memberships
Software tools
This separation helps Ashley immediately identify which payments are truly critical versus those that can be paused if needed.
The Bottom Line
The Bill versus Subscription distinction in Quicken Simplifi is a flexible organizational tool. Use it however best supports your financial planning—whether that's separating essential from discretionary expenses, fixed from variable costs, or any other system that makes sense for you.
Hint: Review your recurring transactions seasonally and recategorize as needed. Ashley discovered that their gym membership (initially marked as Subscription) had a hefty cancellation fee, so they reclassified it as a Bill. Similarly, when they switched to annual billing for some subscriptions to save money, they moved those to Bills since missing the annual payment would mean losing service for a full year.