Important Information That Every Invoice Should Have


Important information that every invoice should have

Invoices are probably the most important piece of documentation for every business. It is a document for request of payment for the services or goods a business has provided to the client. You need to ensure that extra care has been taken in creating its format and filling in the information. Many confuse it for a receipt. However, there is huge difference between the two. Receipt is a proof of payment while invoices are requests for payments. Invoices play a big part in keeping the cash flowing in. Here are a few pieces of information that it must have.

1. Id Number
2. Terms and Details of Payment
3. List of all Billable Entities
4. Date of Issue, Date of Delivery, Date of Payment
5. Tax Details
6. Channels for Payment with a Transaction Id
7. Business information and Client’s Information

Id Number

Every invoice has a unique identification number or a unique invoice reference number. You can choose a framework that works best for your business. Some businesses use date, some use the traditional system. It is completely up to you. However, you need to make sure, it is unique and follow an ongoing pattern. This is specifically for filing purposes but is a definite requirement.

    Also Read: Important Key Aspect of Every Billing Software

Terms and Details of Payment

Whenever you build a contract with your client, you get all their details. This includes the payment details or how will the client pay you. This means the process of payment – Will it be a weekly payment, a monthly payment, or an hourly payment or a onetime payment. It is generally managed by the bookkeepers. So, make sure to get in touch with the accountant team in charge, and include this information in every invoice you generate.

List of All Billable Entities

It is important to add everything you expect to be paid for. For example, if you are a plumbing company and provide plumbers around the town. Apart from the plumbing services, you might have provided a pipe, a tap, or a tiling fix after the job is done. So, when you generate an invoice you should not simply write “plumbing Job”. Instead mention every billable item in the invoice, with their respective prices. This will help you in saving both your time and money on taxes later on. You need to mention clearly what are the billable entities even if you offered them for free.

Date of Issue, Date of Delivery, Date of Payment

These three things are separate entities. Businesses have their own ways of addressing dates, depending on their industry and geography. Therefore, it is best to follow the formal way of writing dates, instead of using jargons. Whatever you use, make sure the client knows about it.

Tax Details

Tax details are an important piece of information that you need to add in your invoice no matter where you run your business. Make sure to keep up with the latest legal guidelines and clearly mention the tax on the total payment. Some states may ask you to the add tax details per the billable. You need to know all these details.

    Also Read: Online Invoicing for Small Businesses: Brief History & 5 Essential Invoices You Need

Channels for Payment with a Transaction Id

Remember, invoice is a request of payment. Mention your bank details in the invoice sheet to expect timely payments. In the days of yore, it was generally bank account details. But now you can add debit card, credit card and wallet links with a transaction ID. This will help you track payments for each invoice.

Business information and Client’s Information
The basic details like name, address, contact details, registration number for your business is mandatory. And similarly, the client’s details should be added.

Five Ways a Time-Tracking Software Can Help Grow Your Business


five-ways-time-tracking-software-grow-business

Every business has a time sheet regime that they hope to adhere to. Most business are paying more than necessary due to exaggerated hours on time sheets. Time tracking software aims to correct undue timesheet entries. This is not to say that your employees are dishonest but it is a simple human tendency to make such errors. A lot of your employees and clients can over estimate the hours the put in, and there are a few underdogs who will under estimate. Either way, you are losing out on the accuracy.

1. Pay your Employees Correctly
2. Make Accurate Estimates
3. Manage Efficiently
4. Compare and Grow
5. How can you Improve?

Pay your Employees Correctly
Every employee has a somewhat correct estimate of how long a team project took. But compile all that and you’ll find a number that is way off the mark. You get a certain amount funding sanctioned for every project and managing that can be tricky if you don’t keep tabs on what your employees are doing. Using a time tracking software can fiercely enable your team with appropriate time logging. Time tracking software free of charge can allow your employees to take into account the work they have done. And get it billed correctly for their own salary and for your clients. This is an especially helpful feature for contractual employees.

Also Read: Benefits of time management software in the workplace

Make Accurate Estimates
What’s the point of working so hard to make good projects, and deliveries on time if you are not even getting paid for what you do. A time tracking software can empower you to make estimates true to the work that you put in as an organization. This is done by making AI backed analysis on your previous work logs and time sheets. You can compile any kind of project with the tasks and the works that go into completion and use a time tracking software to adjust your quotes and estimates. Further, you can link these estimates with your invoicing software for accurate billings.

Manage Efficiently
All things said and done, it is not the easiest job to supervise technically sophisticated employees. Most employees feel judged, and have a sense of privacy invasion every time a manager goes in for a check. You can avoid the unnecessary friction with even a free time tracking software. As it displays the status of the job right on the work desk as you login the next morning. So you have all the vital information you need to keep everyone in check through valuable metrics of tasks performed, hours put in, overall productivity score etc. And this can be managed on the individual level and bird’s eye view. The best part is, most time tracking software are cross platform so you can have a look right on the app.

Also Read: 5 Benefits of Time Tracking Software for Business –Link

Compare and Grow
If you are constantly missing deadlines, and feeling overwhelmed with projects and daily tasks. Obviously, you are doing something wrong. Sit back and analyze where you are going wrong. This is where a time tracking software can be of the utmost help to your organization. Time tracking software allow you to compare your performance over time, with powerful metrics. They allow you to strategize every project using the previous data and the new goal inputs. So you can measure on a project to project basis, the score of your performance.

How can you Improve?
This is the question most organizations ask themselves at the end of every quarter. The most amount of money invested in any business is in its strategic planning. But, time tracking is the cheapest, most strategically advanced tool you need to figure this out. Unlike a real time manager, a time tracking software is ruthless in its judgment of your performance. Get access vital reports, analytics, monitored timelines to strategize. Using a time tracking software, perform productivity audits and pin point the areas you are lagging.

5 Things You Did Not Know About Online Invoice Software


5-things-know-about-online-invoice-software

Most businesses stress over invoicing. Often considered tedious, this process can be made easy with the use of technology. When you automate invoicing, you can save money on labors and avoid errors. The only people in the industry who claim to be free of the clutches of invoicing and bookkeeping seem to be those using an online invoicing software. This software has made huge strides and become a necessity for every business today. These are highly sophisticated platforms that help businesses generate bills for the services and products they have provided to their customers. Here are five things you didn’t know about this important tool.

Invoice Anytime Anywhere
Online invoice software use cloud-based servers to record and store your financial information. Every transaction is stored securely on a server. This allows business owners to access information from anywhere. You can use online invoicing software on both your mobile and desktop. From generating invoices to editing them, you can do everything with this platform. This includes claiming business expenses and making last-minute changes to bigger orders. You can access restrict features depending upon the employee. Therefore, you can also supervise your daily transactions as well.

    Also Read: 5 Common Questions About Online Invoice Software Answered

No Tax Season Drama
Invoicing software are made for small business owners and freelancers. Keeping in mind the problems that small businesses face during the tax season, these software have in-built algorithms. It creates a dashboard that allows you to view your tax deductions immediately. With this, you can record all your business transaction and audit your finances easily. This means, you no longer have to rush to the filing cabinet every tax season. All data entries are made with individual tax collection and submission for every client. These are done adhering to the laws and policies of the industry as well as the location.

Automated Invoicing
Small businesses use a lot of money due to incorrect and untimely billings. With an online invoicing software, you can change all that and make the process error-free. Using this software, you can simply link your payments and get notified every time a transaction is completed. You even get alerts when you miss a due date. This software allows you set-up automatic reminders for your clients, who have to pay their bills. With automated invoicing, you can find better estimates for projects. You can then use the accurate billing models to get the money you deserve.

    Also Read: Organize Your Business with Online Invoicing Software – Link

Cross Country Invoicing
Every country has its own business policies and billing laws. The traditional invoicing methods handicapped many businesses, stopping them from doing business internationally and even across states. With an online invoice software, you get access to multiple payment channels and gateways. All your invoices are redesigned according local policy and laws. So, you can do business with all clients.

Integrate with other Management Software
Businesses are used to having a dedicated bookkeeper, an HR, a manager. But what if you could combine all of the above and remove the back and forth communication? Imagine the time you will save. This is exactly what you can do with an online invoicing software. You can integrate invoice software with other tools that you use in your business. This will make the process efficient, lead to increased productivity.