Create Purchase Invoice

Navigate to the Purchases tab and click on the New Invoice button

Proceed to enter the invoice details as follows:

 

• Transaction ID: Automatically generated sequential number based on the Transaction Numbering settings for the organisation. 

• Supplier: Select the supplier you are purchasing the goods or services from. If the supplier has not already been set up, click on the plus sign (+) to create a new supplier . 

• Reference: Enter relevant information such as supplier invoice number. 

• Invoice Date: The date on the supplier invoice. Note that if you specify a date prior to the Conversion Date in your organisation settings, the invoice is treated as part of your Conversion Balances. 

• Due Date: The date that payment of the invoice falls due. This date is determined by adding the days specified in the Supplier record to the Invoice Date but can be changed as required.

• Add New Line Item: If more than one line item is to be entered, click on this button to initiate the entry of the next line item.

• VAT Treatment: This option is only visible if your organisation is registered for VAT. It is mostly relevant to UK organisations with purchases from Europe. See VAT UK - Box by Box for more information.

• Show VAT Amount: Selecting this checkbox displays the VAT Amount field for each line item. The VAT amount can be changed if required.  

• Amounts include VAT: By default, the Unit Price is expected to be entered net of VAT. Selecting this checkbox results in all VAT calculations assuming the Unit Price includes VAT. This impacts the overall VAT charged on the invoice and therefore, the Total of the invoice.
• Item: Only visible if Price List Items have been created. Can be used to default stock/service prices or track the purchases or sales of such items.

• Quantity: The quantity of the goods or services purchased. Must be greater than 0. 

• Description: Enter a description of the goods or services purchased. This text will appear on the invoice output. 

• Account: Enter the account against which purchase should be recorded. Use the drop down arrow to search available accounts or click in the field and enter free text to find matching values. If you cannot find an appropriate account, check your settings for the Chart of Accounts and create a new account if required. 

• VAT Code: Select the appropriate VAT Code which should be applied to the line item (default VAT codes can be set in Chart of Accounts). The codes chosen here have an impact on your VAT Reporting. If you are unfamiliar with VAT, it is advisable to consult your accountant or the HMRC for advice.  

• VAT: Only visible if Show VAT Amount checkbox selected. The VAT amount can be changed if required.
• Category: Only visible if Categories have been created. Optional field for further classification of line item.

• Unit Price: Enter the unit price of the goods or services purchased from the supplier. 

• Total: Line item total = Unit Price multiplied by Quantity. 

• Delete Line (X): This button allows you to delete an unwanted line item if there are no validation restrictions (such as the transaction being paid, credit noted or included in a VAT Report).

• Memo: Enter information applicable to the entire invoice.

 

Click the Save button to complete the creation of the invoice or choose the Save Draft option which saves the invoice but does not update your financial results. Draft invoices can be edited at a later stage and saved again as draft or actual invoices.

Recurring Purchase Invoice

Recurring Invoices are a convenient way to automate the creation of Invoices or Draft Invoices.

Recurring transactions are automatically processed once a day at 04h00 UK time and will generate invoices based on the recurring invoice settings for your organisation.

 

CREATE RECURRING INVOICE

Navigate to the Purchases tab and use the drop down arrow on the New Invoice button to select New Recurring Invoice. Proceed to enter the recurring invoice details as follows:

• Next Invoice: The date on which the next invoice will be automatically created. If you enter the current date in this field, an invoice will be created immediately.
• Repeat Every: Set the frequency of the invoice creation by entering a value and choosing from either Month(s) or Week(s). After an invoice has been successfully created, the Next Invoice date will be automatically recalculated in line with this setting.
• Due Date: Set a default number of due days that will be applied to each invoice created from this recurring invoice.
• Save As: Invoices can be saved as either standard Invoice or Draft Invoice
• End Date: This is an optional setting used to prevent invoices being automatically created after a certain date.

The remainder of the invoice should be filled out as per the normal Create Purchase Invoice procedure. Click the Save button to complete the creation of the recurring invoice.

 

EDIT RECURRING INVOICE

Navigate to the Purchases tab followed by the Recurring tab. A list of all recurring invoices will be displayed.

Click on the link in the Supplier field to view or edit a recurring invoice. Any changes made will only affect invoices created on the Next Invoice date.

Recurring Invoices can be deleted at any stage to prevent further invoices being created. Alternatively, use the End Date to achieve the same result and still retain a record of the recurring entry in the list.

View/Edit Invoice

Navigate to the Purchases tab.

Invoices and credit notes are displayed in list format with the following statuses:

• All - all invoices and credit notes
• Draft - invoices saved as Draft
• Outstanding - the invoice or credit note has not been fully paid, allocated, refunded or voided
• Paid - the invoice or credit note has been fully paid, allocated, refunded or voided
• Recurring - recurring invoices set up to automatically create invoices on specified dates and frequencies

 

 

Click on a transaction in the All, Draft, Outstanding and Paid tabs to view or edit the entry. See Create Purchase Invoice for a detailed explanation of each field.

All fields will be available for editing unless the transaction (or line item) has been paid/credit noted or is already included in a Bank Reconciliation or VAT Report. Although inadvisable, it is possible to unreconcile bank items and delete VAT Reports in order to edit transactions. Careful consideration should be given to any representations already made to external parties such as the HMRC.

Items displayed in the Recurring tab can also be viewed or edited. See Recurring Purchase Invoice for more information.

Email or Print Invoice

Most Purchase documents are sent to you by a supplier and so it is less likely that you will need to print or email purchase invoices or credit notes. The same functionality provided for printing and emailing Sales transactions is available in Purchases.

PRINT INVOICE

Open an existing invoice in View/Edit mode. Use the Purchase Invoice options drop down list to select the Print to PDF option.

 

Depending on your web browser settings, you will be prompted to open or save the PDF.  

 

EMAIL INVOICE

Open an existing invoice in View/Edit mode. Use the Purchase Invoice options drop down list to select the Email option.

The fields in the Email window can be edited as required. 

• From: Defaults to the user's email address.
• To: Defaults to the email address specified in the supplier record.
• CC: Defaults to the user's email address so that you have a copy and record of the invoice sent out.
• Subject: The subject as it appears to the recipient of the email.
• Attachment: The attached document.
• Body: Replace or add to the default text as required.

 

Click on the Send button to transmit the email.

Void an Invoice

Invoices can be voided if they were entered in error as long as they are not included in a VAT Report or have not been partially or fully paid/credit noted.

Open an existing invoice in View/Edit mode. Use the Purchase Invoice options drop down list to select the Void option, which will set all value fields in the invoice to zero.

Click the Save button to void the invoice.

Voided invoices are still visible in the Purchases tab (Paid & All) to show that no gaps exist in the invoice number sequence .

Clone an Invoice

Cloning is a convenient way to copy an existing invoice in order to create a new one.

Open an existing invoice in View/Edit mode. Use the Purchase Invoice options drop down list to select the Clone option.

All details from the originally selected invoice are copied to the new one and can be freely edited.

Click the Save button to complete the invoice.

Create Purchase Credit Note

Navigate to the Purchases tab and click on the New Credit Note button

Proceed to enter the credit note details as follows:

 

• Transaction ID: Automatically generated sequential number based on the Transaction Numbering settings for the organisation. 

• Supplier: Select the supplier you received the credit note from. If the supplier has not already been set up, click on the plus sign (+) to create a new supplier. 

• Reference: Enter relevant information such as supplier credit note number. 

• Credit Note Date: The date on the supplier credit note. Note that if you specify a date prior to the Conversion Date in your organisation settings, the credit note is treated as part of your Conversion Balances. 

• Due Date: The date that credit note falls due. This date is determined by adding the days specified in the Supplier record to the Credit Note Date but can be changed as required.

• Add New Line Item: If more than one line item is to be entered, click on this button to initiate the entry of the next line item.

• VAT Treatment: This option is only visible if your organisation is registered for VAT. It is mostly relevant to UK organisations with purchases from Europe. See VAT UK - Box by Box for more information.

• Show VAT Amount: Selecting this checkbox displays the VAT Amount field for each line item. The VAT amount can be changed if required.  

• Amounts include VAT: By default, the Unit Price is expected to be entered net of VAT. Selecting this checkbox results in all VAT calculations assuming the Unit Price includes VAT. This impacts the overall VAT charged on the credit note and therefore, the Total of the credit note.
• Item: Only visible if Price List Items have been created. Can be used to default stock/service prices or track the purchases or sales of such items.

• Quantity: The quantity of the goods or services being credited. Must be greater than 0. 

• Description: Enter a description of the goods or services being credited. This text will appear on the credit note output. 

• Account: Enter the account against which the reduction of the purchase should be recorded. Use the drop down arrow to search available accounts or click in the field and enter free text to find matching values. If you cannot find an appropriate account, check your settings for the Chart of Accounts and create a new account if required. 

• VAT Code: Select the appropriate VAT Code which should be applied to the line item (default VAT codes can be set in Chart of Accounts). The codes chosen here impact your VAT Reporting. If you are unfamiliar with VAT, it is advisable to consult your accountant or the HMRC for advice.  

• VAT: Only visible if Show VAT Amount checkbox selected. The VAT amount can be changed if required.
• Category: Only visible if Categories have been created. Optional field for further classification of line item.

• Unit Price: Enter the unit price of the goods or services purchased from the supplier. 

• Total: Line item total – Unit Price multiplied by Quantity. 

• Delete Line (X): This button allows you to delete an unwanted line item if there are no validation restrictions (such as the transaction being refunded, allocated or included in a VAT Report).

• Memo: Enter information applicable to the entire credit note.

 

Click the Save button to complete the creation of the credit note or choose the Save Draft option which saves the credit note but does not update your financial results. Draft credit notes can be edited at a later stage and saved again as draft or actual credit notes.

Create Credit Note based on Invoice

An efficient way to enter a credit note is to create it directly from within a saved invoice, retaining all the field values previously entered.

Open an existing invoice in View/Edit mode. Use the Purchase Invoice options drop down list to select the Issue Credit Note option

Click the Save button to complete the creation of the credit note.

Note that there is no link created between the new credit note and the original invoice. If you wish to allocate the credit note to the invoice, then this must be done from within the credit note (see Allocate Credit Note).

See Create Purchase Credit Note to view full details on entering credit notes.

View/Edit Credit Note

Navigate to the Purchases tab.

Invoices and credit notes are displayed in list format with the following statuses:

• All - all invoices and credit notes
• Draft - invoices saved as Draft
• Outstanding - the invoice or credit note has not been fully paid, allocated, refunded or voided
• Paid - the invoice or credit note has been fully paid, allocated, refunded or voided
• Recurring - recurring invoices set up to automatically create invoices on specified dates and frequencies

 

 

Click on a transaction in the All, Draft, Outstanding and Paid tabs to view or edit the entry. See Create Purchase Credit Note for a detailed explanation of each field.

All fields will be available for editing unless the transaction (or line item) has been refunded/allocated or is already included in a Bank Reconciliation or VAT Report. Although inadvisable, it is possible to unreconcile bank items and delete VAT Reports in order to edit transactions. Careful consideration should be given to any representations already made to external parties such as the HMRC.

Items displayed in the Recurring tab can also be viewed or edited. See Recurring Purchase Invoice for more information.

Email or Print Credit Note

 

As opposed to Sales documents, most Purchase documents are sent to you and so it is less likely that you will need to print or email purchase invoices or credit notes. The same functionality provided for printing and emailing Sales transactions is available in Purchases.

PRINT CREDIT NOTE

Open an existing credit note in View/Edit mode. Use the Purchase Credit Note options drop down list to select the Print to PDF option.

Depending on your web browser settings, you will be prompted to open or save the PDF.  

 

EMAIL CREDIT NOTE

Open an existing credit note in View/Edit mode. Use the Purchase Credit Note options drop down list to select the Email option.

The fields in the Email window can be edited as required. 

 

• From: Defaults to the user's email address.
• To: Defaults to the email address specified in the supplier record.
• CC: Defaults to the user's email address so that you have a copy and record of the invoice sent out.
• Subject: The subject as it appears to the recipient of the email.
• Attachment: The attached document.
• Body: Replace or add to the default text as required.

 

Click on the Send button to transmit the email.

Allocate Credit Note to Invoice

A credit note can be allocated to one or more invoices in order to reduce the outstanding amount of the invoice. The credit note can be wholly or partially allocated as required.

Open an existing credit note in View/Edit mode. Use the Purchase Credit Note options drop down list to select the Allocate Credit Note option.

 

Proceed to enter the credit note allocation as follows:

 

• Reference: Enter any relevant information you may require.
• Amount Allocated: Automatically fills in the amount outstanding on the credit note. You can change this amount to a lesser value if you require.
• Date: The date that the allocation takes place.This defaults to the current date but can be changed.

 

A list of the supplier's available invoices (where the outstanding amount is greater than zero) will be presented for selection. Tick the checkbox in the first column to select an invoice for allocation. 

 

• Transaction ID: The transaction ID of an invoice available for allocation.
• Invoice Date: The date as specified on the invoice.
• Invoice Amount: The overall total value of the original invoice.
• Other Payments: The total of any payments or credit note allocations previously made against this invoice.
• This Allocation: The amount of the credit note being allocated to the selected invoice. This amount cannot be greater than [Invoice Amount - Other Payments]. Click on this field to change the amount allocated.
• Outstanding: Calculated as [Invoice Amount - Other Payments - This Allocation].

Note that the amount in the This Allocation field can be changed by clicking on the value.

Continue to select and allocate as many invoices as required.

Click the Save button to complete the allocation of a credit note to an invoice.

Void a Credit Note

Credit notes can be voided if they were entered in error as long as they are not included in a VAT Report or have not been partially or fully allocated/refunded.

Open an existing credit note in View/Edit mode. Use the Purchase Credit Note options drop down list to select the Void option, which will set all value fields in the credit note to zero.

Click the Save button to void the credit note.

Voided credit notes are still visible in the Purchases tab (Paid & All) to show that no gaps exist in the credit note number sequence.

Clone a Credit Note

Cloning is a convenient way to copy an existing credit note in order to create a new one.

Open an existing credit note in View/Edit mode. Use the Purchase Credit Note options drop down list to select the Clone option.

 

All details from the originally selected credit note are copied to the new one and can be freely edited.

Click the Save button to complete the credit note.

Enter Payment directly from Invoice

Navigate to the Purchases tab.

Open an existing invoice in View/Edit mode. Use the Purchase Invoice options drop down list to select the Enter Payment option.

The New Spend Money popup will appear with most fields pre-filled including the invoice you are entering the payment for. All fields can be changed if required and additional invoices can be selected for inclusion in this payment.

Make sure to specify the bank account from which the money is being paid.

Click the Save button to complete the transaction.

Go to Supplier Invoice Payment for a more detailed explanation of the field entry requirements.

Enter Refund directly from Credit Note

Navigate to the Purchases tab.

Open an existing credit note in View/Edit mode. Use the Purchase Credit Note options drop down list to select the Enter Refund option.

The New Receive Money popup will appear with most fields pre-filled including the credit note you are entering the refund for. All fields can be changed if required and additional credit notes can be selected for inclusion in this refund.

Make sure to specify the bank account into which the money is being received.

Click the Save button to complete the transaction.

Go to Supplier Refund for a more detailed explanation of the field entry requirements.

View/Edit Payments and Refunds

Navigate to the Banking tab and click on Bank Transactions.

 

 

Select the appropriate bank account from the drop down list.

Click on a transaction to view or edit the entry.

 

All fields will be available for editing unless the transaction (or line item) is already included in a Bank Reconciliation or VAT Report. Although inadvisable, it is possible to unreconcile bank items and delete VAT Reports in order to edit transactions. Careful consideration should be given to any representations already made to external parties such as the HMRC.