What is the difference between recording a bill and recording an expense?
Both expenses and bills are used to record an expense amount but in different scenarios.
Let’s say you incur an expense and pay for it then and there. Record it as an expense in OfficeGX. An example of this would be money spent on a luncheon with a prospective client.
On the other hand, if the expense is one that doesn’t require to be paid until later, you need to keep track the amount you owe till it’s paid off. You can do this by recording it as a bill. An example is the rent you pay for your office space.
To create a new bill in OfficeGX:
- Go to Purchases > Bills.
- Click the Create New + button in the top left corner of the page.
- Fill in the required details.
| Fields | Description |
|---|---|
| Vendor Name | Select the vendor whose bill you’re recording. |
| Source of Supply | This place will be auto-selected based on the customer’s GSTIN. |
| Destination Of Supply | Select the place where the supply is made. |
| Bill# | Bill number is Auto-Generated. |
| Order Number | Enter an order number for your bill. |
| Bill Date | Enter the date on which you create the bill. |
| Due Date | Enter the due date for bill payment. |
| Payment Terms | Select the time frame within which you need to pay your vendor. For example, Net 15 would mean you’ll have to pay the vendor within 15 days from the date when the bill is created. When you select a payment term, the due date will be adjusted accordingly. |
- Select the items for which you were billed in the item table and provide the customer details if you’re billing this to your customer.
- Add more items by clicking +Add another line.
- Include Discounts and add Adjustments in the total section.
Select the TDS rate, if applicable for the purchase. This will be applied on the Sub Total of the bill.
- Review the order and include any notes or attachments, if necessary.
- Save the transaction or submit it for approval.
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