How to Verify and Match Invoices

How to verify and match invoices is an essential skill for creditors clerks. This ensures that payments to suppliers are accurate, authorised, and correct.

Step-by-Step Guide to Checking and Matching Supplier Invoices

When you receive an invoice from a supplier, don’t pay it straight away. First, check the details carefully. This protects the company from errors or fraud.

Important Steps to Follow

1. Check the supplier details. Make sure the invoice has the correct supplier name, address, and contact details. It must match the supplier on file.
2. Confirm the invoice number and date. Check the invoice number is unique and the date fits the delivery or service period.
3. Verify the purchase order (PO) number. Most companies use POs to control purchases. The invoice should reference the same PO number.
4. Match the quantities and prices. Compare the quantities and prices on the invoice with the PO. They must be the same or properly explained if different.
5. Check the description of goods or services. The items listed should match what was ordered and received.
6. Confirm calculations and totals. Add up unit prices and quantities to check the total amount. Ensure VAT is added correctly if applicable.
7. Inspect delivery notes or receipts. These documents prove the goods or services were received. Match delivery dates and quantities to the invoice.
8. Ensure authorisation. The invoice must be signed or approved by the authorised person before payment.

After checking, the invoice is matched if all the details agree with the PO and delivery records. If there are differences, investigate and clarify with the supplier or relevant department.

Why Matching Invoices Matters

Matching invoices helps prevent paying for wrong or missing items. It reduces the risk of fraud or mistakes that could cost the company money. Proper invoice verification makes sure that the company only pays for goods or services actually received and agreed upon.

As a creditors clerk, your role is to carefully check these details and keep accurate records. This ensures smooth supplier relationships and good financial control.