Recording invoices for purchase orders

To record the receipt of a supplier invoice, the invoice details are entered manually and the invoice lines are then matched to outstanding purchase order lines.

An invoice can be matched to several purchase orders where applicable. Depending on which option your have selected for matching invoices and credit notes on the Order Processing tab of the POP setting you can use a:

Two-way match: the invoice is matched directly to the purchase order.
Three-way match: the invoice is matched to the goods that have been received (GRN), and to the purchase order.

Note: Service/labour items or free text items can only be recorded as invoiced using a three way match if you have selected to Record receipts prior to invoicing on the Order Processing tab of the POP settings. If this is not selected, service/labour and free text items can only be recorded as invoiced using the two-way match.

Steps for recording an invoice

Select the supplier:

All items on order from that supplier are displayed by order number, regardless of order status (unauthorised or on hold). This includes all item types and any free text items specified in a purchase order.

Note: You cannot record an invoice for a supplier if the supplier's account is on hold.
Check that the invoice has not already been recorded:

This is an optional activity but it is particularly useful to prevent recording an invoice twice. By entering an invoice reference and date, the system checks for an existing record by matching this criteria. A warning is displayed if an existing record is found.
Enter invoice values:

Enter the goods value and VAT value, which represent the total invoice value. This is optional. It is intended to provide an additional control when entering invoice values. The system checks the total goods value and VAT value match the cumulative values of the goods confirmed as invoiced.

Note: If you entered a discount on the full purchase order (not individual items in the order), this discount will not automatically reduce the goods value of items in the invoice. If you received a discount, you may need to manually adjust the goods value to reflect the discount received.
Mark the goods and/or services as invoiced:

Select the item and accept or amend the expected invoice quantity or item price. These are derived from the purchase order. If you are using a three-way match, you have can select the GRN for the item and mark it for invoice, this also marks the associated item for invoice.
Record the invoice:

Once the invoice details are saved, the Purchase Ledger Enter Purchase Invoice window is displayed. You use this to amend the VAT values and take care of any rounding discrepancies. You cannot amend the exchange rate at this point.

Note: Prices and invoice values are displayed in the supplier's currency.