Creating a bill

A bill, also called a supplier invoice, is an expense that you pay at some point in the future.

Step-by-step instructions

1. Go to the `Bills` section on the left side menu, then click on `Add bill` button in the top right corner to start creating a bill.

2. Enter a bill number. This is typically the supplier invoice number or reference.

3. Choose the Currency in which you’ve received the invoice

4. Choose the Contact corresponding to the supplier from your contact list, or create the contact directly in the billing form.

5. (Optional) Assign the bill to its specific Project. This allows you to track the profitability of your various projects.

6. Set the Date on which the bill is created and then its Due Date.

7. In the Bill Line Item:

- (Optional) Choose the Item for which you are billing, or create it directly.

- Write a short Description indicating the details of the item you’re buying.

- Choose the Account where you’d want the expense to be categorized, this is usually your Operating Expenses.

- Indicate the Quantity of the item bought and its Price.

- (Optional) Add a VAT Rate and a Discount if it applies in your case.

8. (Optional) In Notes, you can include details on how you would like to make the payment. Wafeq will automatically re-use this field the next time you create a bill.

9. Click Save for Wafeq to automatically change the status of your bill to authorized and create an expense in the P&L report, and an increase in the accounts payable in the balance sheet.

When is the expense recognized?

The bill must be in `AUTHORIZED` status in order for the expense to show up in your Profit & Loss statement, and for the liability to show up under `Accounts Payable` in your balance sheet.