Hi, team, and welcome back. I'm Reuben from Link Academy
and in this session we're going to be covering how to add a supplier invoice
to a project inside Xero Projects.
It's really important that we associate all supplier
invoices with their appropiate projects in order to achieve that job profitability that we're after.
So, here's how we're going to do that.
To get started with adding a supplier invoice to a product,
I'm gonna take you through two different methods; the first method
I'm gonna create a supplier invoice from scratch as though we've just received it;
and the second method I'm gonna take one I've already created
and associate that with an existing invoice.
So, method number one, just received a supplier invoice. I'm going to go to Accounts
and Purchases and I'm going to enter that value in,
so like I always would. I'm gonna click New
and we're gonna type in the details, so here I'm gonna go with
Fabric Company.
That might not be a supplier that I've dealt with before.
They're brand new so I've just created them there.
The date of the invoice and the due date of the invoice, the reference
which would be the supplier invoice number.
And in here we're gonna put in the fabric.
Fabric. Blue.
Ten meters at 12 dollars per meter.
Send that to accounts of Costs of Goods Sold
Great, so I've purchased the specialist fabric, specific to a product in this case
So in order to associate this accounts payable transaction with their product
we need to click on this very little button down the bottom here that says
'Assign expenses to a customer or project'
So if we click that there, we then go and associate this invoice with a particular project,
in this case it will be my jacket up here.
So type in any part of that
Here we go.
Custom Embroidered Jackets. So, typing in any part of that project name or
customer name, ABC furniture for example would work here,
if I type in there ABC, how do we get there we need to find that particular project.
Excellent.
Now, it looks the same as it always did. However, once we click Approve
it's lining that up for payment.
And the other thing that stands to us is taking that cost, 120 dollars in this case,
and associate it with our project. If we take a look at that project now
we should see ABC Furniture.
We have some Fabric Blue that's been-- the cost of that fabric has been associated with this project.
So, that's method number one.
Probably the most common method.
Now, depending on how you operate in your business, you might have somebody
separate adding accounts payable to the person managing your projects.
Or perhaps you have all of your project invoices go to your project managers and then
send them on to accounts payable, if that's the case
you might wanna consider using this second method here.
So under Awaiting Payment let's imagine that we already entered our accounts payable,
we wanna then go through and match this up, retrospectively if you like,
to different projects they relate to.
So if I scroll on down and find a good example, here we go! Bayside Club.
130 dollars supplier invoice there.
If I open that up
it's not such a good example. I'll use transport company that was just above it.
There we go.
Young Bros Transport. We imagine that's some delivery,
perhaps we used a delivery company to deliver our tablecloths.
So I'll call this..
let me just update this so it's more relevant.
Bear with me a second, here we go. Let me call this 'Table cloth'
Excellent. Update.
Okay so this is already an existing supplier invoice, but what we wanna do now
is we wanna pick this up and click Edit
and again we're going to find that button 'assign expenses to a customer or project'
that's the magic button we need to find to take this cost
and associate that with out project. Here I'm gonna type in tablecloth
I'm going to find that tablecloth dry cleaning job
and we're going to associate this cost with it.
So once I click update there's no change in our supplier invoice,
we're still paying them the same amount
they've stored.
Invoice for the same value, however we now go to Xero Projects and I'll look at my tablecloths job now.
I will have an extra expense sitting in there.
Here we go. You notice this whole time as we're doing this, this grey bar here
is filling up as our budget is being used.
There we go, tablecloths, tablecloth delivery. Now if I click into this
I can see exactly what was involved there.
If I click Go to Item, just as a
nice to know, that will take you back to that supplier invoice such as the top two.
The last scenario I'm gonna take you through is probably one of the more common scenarios
is where you might have a single supplier send you one invoice that relates to multiple projects,
it's really common, especially in the likes of delivery or
when you deal with a lot of commodity based products, products as timber, concrete, and gravel,
you're getting a lot of deliveries throughout the month.
You might just get one invoice at the end of the month,
one long invoice.
Let me show you how that's gonna work.
So we take this delivery invoice. I'm gonna edit that invoice again.
And let's imagine it had multiple lines, okay? So, a tablecloth delivery.
Actually
We had some other delivery, it would be a jacket delivery.
So we got multiple lines that relate to different projects. This one was 80 dollars
Let's imagine this is what the invoice looked like to start, so now I just click Update
and travel back in time.
Our totals don't match.
Cool. So, when we enter this in
this is what the invoiced looked like, it was two lined items that both relate to separate projects.
The one that I showed you earlier wouldn't work in this case,
it would have looked a little bit differently.
When we-- I'll just go back a step.
When you go an bring up this invoice,
Young Bros Transport here,
you're still going to go edit the invoice
Like so. Edit. However, when we click that magic button
'Assign expenses to customer or project'
you're going to get multiple line items.
So you notice it brings up a different line item for as many line items as you have
in the supplier invoice.
It's perfectly acceptable to have line one, go to one project
and the next one go to the jacket job.
For ABC Furniture here.
And if we check each of those jobs after this
that would each have a split value of--
each have their respective values associated with them.
So what we covered were two different methods of adding a supplier invoice to a Xero Project.
The first was adding a supplier invoice from scratch as we normally would,
and clicking that magic button 'assign to a project or customer'.
The next was when we take an existing supplier invoice and retrospectively edit it
to click the same magic button 'Assign to an existing project or customer'
and associate it with those projects.
You'll notice that using any of those methods,
you're going to have the opportunity to individually line by line
match up the costs that are on your supplier invoices with different projects.
Hopefully you found that worthwhile and I'll see you in the next session.