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What is a Bill?

Last updated on Nov 30, 2024

A bill is a financial document that records purchases from vendors and tracks payment obligations. It serves as an official record of business expenses and helps maintain accurate financial records.

Bill Workflow

1. Creation

  • Navigate to Purchase > Bill section

  • Click "Add Bill" button

  • Enter vendor details and bill information

  • Add itemized purchases with quantities and rates

  • Include any applicable taxes or discounts

  • Save the bill in draft status

2. Processing

  • Review draft bill for accuracy

  • Mark bill as "Sent" when verified

  • Track due dates and payment terms

  • Monitor outstanding balances

3. Payment

  • Record payments against sent bills

  • Update payment status

  • Mark bills as "Paid" once settled

  • Maintain payment history

Navigating Bills

Accessing Bills

  • Use left sidebar to access Purchase section

  • Select Bills tab for bill management

  • View list of all bills with key information

  • Sort and filter bills by various criteria

Overview Dashboard

  • Monitor total outstanding bills

  • Track upcoming payment due dates

  • View bills by status (Draft/Sent/Paid/Void)

  • Access quick actions for bill management

Creating and Managing Bills

Adding New Bills

1. Basic Information

  • Select vendor from approved vendor list

  • Enter unique bill number (auto-generated)

  • Specify bill date and payment terms

  • Set appropriate due date

2. Item Details

  • Select items from product/service catalog

  • Specify quantity and unit rate

  • Choose correct expense account

  • Apply appropriate tax rates

  • Add multiple items as needed

3. Additional Information

  • Include relevant terms and conditions

  • Add notes for internal reference

  • Attach supporting documents

  • Specify custom fields if required

4. Summary and Charges

  • Review subtotal calculations

  • Apply transaction discounts

  • Select discount account

  • Verify final total amount

Status Management

  • Draft: Initial bill creation

  • Sent: Verified and approved bills

  • Paid: Fully paid bills

  • Void: Cancelled or invalid bills

Converting Documents

  • Clone existing bills for recurring purchases

  • Convert purchase orders to bills

  • Maintain document relationships

Advanced Features

Document Management

  • Attach supporting files

  • Maintain audit trail

  • Track document versions

  • Export bills in various formats

Batch Operations

  • Process multiple payments

  • Update status in bulk

  • Export bill reports

  • Archive old records

Troubleshooting Guide

Common Issues

  1. Required Fields
  • Ensure all mandatory fields are completed

  • Verify vendor information is accurate

  • Check account selections are valid

  • Confirm tax calculations are correct

  1. System Access
  • Verify user permissions

  • Check internet connectivity

  • Clear browser cache if needed

  • Contact support for persistent issues

  1. Data Validation
  • Ensure dates are in correct format

  • Verify numerical entries are valid

  • Check for duplicate bill numbers

  • Validate tax calculations

Best Practices

Management Tips

  • Review bills regularly

  • Maintain organized vendor records

  • Track payment deadlines

  • Reconcile bills with purchase orders

  • Keep detailed notes and attachments

Documentation

  • Save supporting documents

  • Record payment confirmations

  • Document special terms

  • Maintain communication records

Important Notes

  • Always verify bill accuracy before marking as sent

  • Regularly reconcile bill payments

  • Monitor payment due dates

  • Keep vendor information updated

  • Maintain proper documentation for audit purposes