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- Accounts Receivable System
- Features
- Invoices and credits
Invoices and credits
Invoices and credits connects the customer document, billing lines and subsequent adjustment. The AR Clerk prepares local Invoices and invoice lines with the agreed terms, quantities, prices and tax results. The record stays a draft while details are checked. Keeping document identity, invoice number and source together makes later disputes easier to resolve and avoids sending the same obligation through more than one billing route.
OverviewMy Customers' Aging (Sales)×
Accounts Receivable System · Invoices and credits
New
My Customers' Aging (Sales)
Customers
| Name | Billing email | Open AR balance | On credit hold | Statement cadence | Status | |
|---|---|---|---|---|---|---|
| Cedar Finch Manufacturing | billing@cedarfinch.example | 10,521.65 | 31,640.35 | None | Active | |
| Harborwick Marine Supply | ap@harborwick.example | 15,343.56 | 41,567.43 | Monthly | Inactive | |
| Mossline Property Group | invoices@mossline.example | 23,142.93 | 22,056.10 | Quarterly | Prospect | |
| Stone Quay Systems | finance@stonequay.example | 32,768.01 | 3,000.33 | None | Suspended | |
| Blue Vale Equipment Co. | payables@bluevale.example | 8,853.39 | 12,102.19 | Monthly | Active |
6 of 6 records
Cedar Finch ManufacturingCustomers · CST-95272
NoneBilling emailbilling@cedarfinch.example
Open AR balance10,521.65
On credit hold31,640.35
StatusActive
What you can do
Review and send the right document
The clerk checks the customer, issue date, due date, template, currency and line totals before sending. Tax values come from the configured tax service and retain the relevant basis. Sending renders the customer document and requests the corresponding ledger journal; delivery and posting are separate outcomes. A failed email should retry the same invoice, while a rejected journal stays visible for reconciliation. A payment link starts a payment request and does not by itself prove that funds arrived.
Adjust the balance without changing history
Credit memos and credit memo lines preserve the reason and value of a correction. The AR Manager or Controller approves within the configured amount threshold. An applied credit reduces the invoice’s open balance through credit applied and leaves actual cash amount applied unchanged. Credit on account remains unallocated until deliberately assigned. Keep the original invoice, dispute and credit linked so a pricing correction does not appear to be customer cash. Repeated application must not reduce the same balance a second time.
Respect the original billing owner
A project invoice issued by the connected billing system remains that system’s financial responsibility. Its local collection reference carries the source invoice, version and confirmed open balance. Do not send it again, create another revenue journal or apply a local credit against it. Route the requested correction to the issuer and wait for its result. During setup, reconcile local invoices and external collection references as separate populations, including duplicate events and late-arriving source corrections that must not overwrite a newer balance.
What your team sees
- My Open Invoices to Send. Open the related records within your assigned scope.
- Open Disputes. Open the related records within your assigned scope.
What it keeps track of
Data model- Invoices
- The customer invoice — the AR atom. Header carries totals; detail lives in invoice lines.
- Invoice lines
- One line per item billed — product, service, milestone, or late-fee carry-forward.
- Credit memos
- A credit issued against a Customer or a specific Invoice. Reduces AR; can be applied to an open Invoice or left as a standalone credit on account.
- Credit memo lines
- Per-line detail of a credit memo.
- Customers
- The AR-grain customer record. May shadow a CRM Account; this row carries the credit, billing, and dunning fields finance owns.
- Disputes
- A customer-raised dispute against an Invoice. Pauses dunning while open.
Who uses it
Permissions- AR Clerk
- Prepares invoices and credit requests.
- AR Manager
- Investigates adjustments and approves within policy.
- Controller / CFO
- Decides higher-value credits.
- Customer
- Access stays within their own billing relationship.
Set up Accounts Receivable System your way.
Start free, then use Proto to change fields, steps and approvals before your team goes live.