Expense Category

Amazon Web Services (AWS)


Amazon Web Services (AWS) primarily falls under the 'Software' expense category, specifically within subcategories like 'Cloud Computing Services', 'Data Storage and Management', and 'IT Infrastructure Software'.

Role of the Expense in Business

AWS offers a range of cloud-based services crucial for various business operations, including hosting applications, managing data, and providing IT infrastructure solutions.

Practical Example

A tech company using AWS for hosting its web applications categorizes these expenses under 'IT Infrastructure Software'. An analytics firm using AWS for data storage and analysis places these costs under 'Data Storage and Management Software'.

Specialized Expense

For a small business using AWS for basic web hosting, it might be more appropriate under a general 'Web Services' subcategory.


In summary, AWS is predominantly categorized under the 'Software' expense category, with its diverse applications dictating more specific subcategories.

The information provided in this article does not constitute legal or financial advice and is for general informational purposes only. Please check with an attorney or financial advisor to obtain advice with respect to the content of this article.
Amazon Web Services (AWS)
“Accurate classification of expenses is vital for businesses as it forms the backbone of financial reporting, tax compliance, and strategic decision-making. It enables businesses to track and analyze their spending patterns, identify cost-saving opportunities, and assess the profitability of various operations or projects. Having a single source to turn to for accounting classification suggestions, such as the Ramp Expense Classifier tool, is immensely helpful as it provides consistency, reduces ambiguity, and streamlines the expense classification process.”
Audrey Carroll
Senior Manager, Accounting, Ramp
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“As we scale we need tools that are built to scale with us - we need to see expenses real time, we need to see duplicate spend. These types of insights are important to the health of our business.”

Steve Padis
SVP Finance & Strategy, Barry's

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