How To Re-Invoice Expenses To Your Customers In Odoo

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The number of expense approvals that we are required to manage on a daily basis is sufficient to drive any one of us completely insane. It is not an easy chore to deal with the requests, classification, and approval. Payroll must be processed, and an accounting must be kept of all the money spent by the company.

The tracking of the company’s expenses and the upkeep of these expenses are the responsibility of expense management. In most cases, the expenses consist of things like customer expenses, employee expenses, wages, and leases, among other things. Accounting can benefit from careful attention paid to the management of operating expenses.

In order to make the most of the business’s transactions and income, this method requires the meticulous organization of the company outlays into distinct categories. It is possible to compile a list of expenses in order to get reimbursed, re-billed, or file tax returns, among other uses. That’s why today’s article will show you how to re-invoice expenses to your customer in Odoo. So, let’s dive in!

Table of Contents:

• The importance of re-invoice expenses to your customers for online business
• How to re-invoice expenses to your customers in Odoo
  • Step 1: Setup your basic settings
  • Step 2: Create and add an order
  • Step 3: Submit, validate and post expenses
  • Step 4: Configure Invoice expenses
• Wrapping Up

The importance of re-invoice expenses to your customers for online business

The reduction of the company’s costs can have a significant impact on the profit it generates. However, being aware of the areas in which costs might be reduced is also of equal importance. Being aware of which costs to avoid, where to cut down, and when to invest in what will result in the highest possible return. The labor involved in accounting will be considerably easier if real-time data on the costs incurred by the company and its employees are kept and maintained.

The cash method or the accrual method may be used by the accountant when recording expenses. The cash basis method of accounting records expenses at the time the payment is made. On the other hand, expenses are recorded using the accrual technique as soon as the transaction is completed. The recording has been completed even though the payment might not be made until a later date since the business is required to make the payment in the future.

When we are controlling the expenses, we need to remember that those customers will recoup any expenses that we incur on behalf of our customers. As a company, we will be dealing with two different kinds of reimbursement. Compensation from our end, as well as the return of the money that was spent by us.

How to re-invoice expenses to your customers in Odoo

If you keep track of the expenses that are incurred on customer projects, you will be able to bill those fees back to your customers automatically.

Step 1: Setup your basic settings

In the settings for Expenses, you need to turn on Customer Billing.

Navigate to the menu for product setup and change the method of invoicing for each of your Expense kinds as follows:

• Ordered quantities: it will calculate the costs of the transaction based on the quantity that was ordered.
• Delivered quantities: it will generate an invoice for the expenses based on the quantity of the expenses.
• At cost: will charge customers for expenses based on what those costs actually were.
• At sales price: Invoicing will take place based on the sale price, which is predetermined and listed on the sale order.

Step 2: Create and add an order

Create and verify a Sales Order for the services that were provided to your customer in your capacity as a salesman. If you do not include any expenses in the order, the accountant will add them for you once the order has been posted, even if you did not include them.

Establish a connection between the expense and the Sale Order.

Step 3: Submit, validate and post expenses

When you are approving expense reports as a manager, check that the analytic account has been set up on each individual expense line. If there is not already one, you can add it by clicking the line. When submitting, staff members already have the ability to choose their own.

Perform the accounting function of entering journal entries.

Step 4: Configure Invoice expenses

You are now able to send an invoice for the order. It may be found on the Sales tab under Invoicing, followed by Sales to Invoice. The costs have been incorporated into the order lines in an automated fashion. These products are indicated in blue (i.e., to invoice).

Wrapping Up

We hope this tutorial will help you understand how to re-invoice expenses to your customers in Odoo. The manager has the ability to grant or deny the request to include the expense in the total amount invoiced. It is possible for the accountant to submit the journal entry. Within the sales module, we are able to view the order that was placed for sale.

Once we have the customer’s information, we can generate an invoice based on the sales order and deliver it to them. After the payment has been recorded, we can next use the expenditure module to add it to the report of expenses using the payment’s reference number.