Add an invoice in Xero

Create an invoice for someone to pay you (sometimes called accounts receivable). You can attach files and send them to your customers, and code items to different accounts. Then depending on your user role, send the invoice for approval or approve it yourself.

What you can do

Depending on your user role, you can:

  • Add invoices using the plus icon Image of the plus icon., from the Dashboard, the Sales screen, directly from a quote, or when you're in your contact's details.
  • If you’re using multi-currency, add invoices in other currencies.

Add an invoice

  1. Click the plus icon Image of the plus icon. and select Invoice.
  2. Enter the name of the customer you're invoicing. If there's a previously approved or paid invoice for the contact, you can add the last item lines from that invoice to the new one.

  3. Enter the remaining invoice details. You must enter certain fields if you want to approve the invoice. For example, the Description, Account fields and the Tax Rate fields.
  4. (Optional) Attach any relevant files to your invoice. Remember to click the file options icon Image showing file options icon. and select Include with invoice for each file you're sending to the customer.
  5. Add the items you're invoicing your customer for. You can drag and drop the item lines to reorder them.
  6. (Optional) Code items to different accounts. For example, code one item to your sales account and others to different revenue accounts.
  7. (Optional) Adjust the VAT amount.
  8. Save the invoice, send it for approval, or approve it yourself.

    If you've set your sales or purchases tax defaults as tax inclusive, each item will show as tax exclusive when approved. Xero automatically splits out the tax component for reporting.

  9. (Optional) Click Allocate and assign customer credit to the invoice.

    You can only allocate credit if the customer has approved, unallocated credit notes (Awaiting Payment).

  10. (Optional) Click Add Note to enter additional information for the invoice.