Accounts Payable
Accounts Payable tracks what you owe your suppliers. Upload an invoice and Iraca reads it for you, or enter one by hand — either way, you approve it, record payments against it, and get reminded before anything comes due.
It's one half of Invoicing & Accounts Payable, which is included in every plan, Free too — there's nothing to buy or switch on. Your books record what it posts either way; Books & Financial Reports (included from the Standard plan) is where you view them. The other half is invoicing your customers — what you bill and what you owe, in one place.
Where to find it
The Finance section of the sidebar contains Accounts Payable and Requests for Quote, alongside the customer-facing Invoices, Quotes, and A/R Aging. On the Billing page it appears under Included in your plan.
Accounts Payable posts every approved bill and payment to your ledger on every plan. What Books & Financial Reports adds on top is a place to see it: trial balance, statements, month-end close, and chart of accounts mappings. It's included from Standard; Accounts Payable itself doesn't wait on it.
Importing an invoice
Open Finance → Accounts Payable and click Import from file. Drop in a photo, PDF, or spreadsheet of a vendor invoice — Iraca reads it and fills in the vendor, invoice number, dates, and every line item for you. If the vendor matches an existing supplier, it's linked automatically; otherwise pick one from the list. Review the extracted details, adjust anything that needs it, and save.
Prefer to type it in yourself? Click New Invoice instead — it opens the same review screen, empty, ready for manual entry.
If you save an invoice with the same invoice number as one already on file for that vendor, Iraca flags it as a possible duplicate so you can double-check before proceeding.
Subtotal, tax, and other charges
Below the line items, a totals panel captures everything that makes up the bill:
- Subtotal — added up from the line items automatically.
- Tax, Shipping, and Other charges — add to the total.
- Discount — subtracts from it.
The Total updates live as subtotal + tax + shipping + other charges − discount, so what you save always matches the figure printed on the vendor's invoice. When you import a file, Iraca pre-fills tax, shipping, and any discount it finds — you just confirm them. Keep these in their own fields rather than adding them as extra line items, so the bill isn't double-counted and each charge posts to the right place in your ledger when the invoice is approved. (A discount can't be larger than the subtotal plus charges.)
Creating a bill from a purchase order
The quickest way to bill a delivery is to start from the purchase order itself. Open a received (or partly received) purchase order and click Create A/P invoice. Iraca creates a bill pending review for that supplier, already linked to the order, with one line per item at the quantity you received and the cost on the purchase order. The due date comes from the supplier's payment terms when they have some (for example, Net 30).
You land on the new bill. Click Edit to add the supplier's invoice number (you need it to approve) and any tax, shipping, or discount from their paperwork, then approve it. If you don't change the line amounts, the bill clears exactly what was accrued when the goods arrived, with no price variance.
A few things to know:
- Receive the goods first. The button only appears once something has been received. Until then there's nothing in Goods Received Not Invoiced for the bill to clear.
- A partly received order bills what has arrived. Each purchase order can be billed once, so if more is still coming, you may want to wait for the rest before you create the bill.
- Once a bill exists, the purchase order shows View A/P invoice instead, which takes you straight to it.
Matching a bill to a purchase order
If the bill is for goods you ordered and received through a purchase order, link the two. Click Edit on a pending invoice, pick the supplier, and choose the purchase order from the Purchase order list. The list shows that supplier's received-but-unbilled orders, each with the amount Iraca accrued when the stock arrived — so you can check it against the bill total before linking.
This matters for your books. When you receive stock against a purchase order, Iraca records the inventory as an asset straight away, along with a matching accrual called Goods Received Not Invoiced — you have the goods, but the supplier hasn't billed you yet. Linking the bill tells Iraca that this is the invoice for those goods, so approving it clears the accrual and moves the amount into Accounts Payable, rather than counting the same inventory a second time.
If the supplier charged a different amount than the accrual, the difference is recorded as a purchase price variance. That's normal — quoted and invoiced prices often differ slightly.
Each purchase order can be billed once. If you void a bill, its purchase order becomes available again so you can raise a corrected one.
Bills that aren't for a purchase order — rent, utilities, professional services, and most other expenses — need no link and behave exactly as before.
Approving and paying
A newly saved invoice starts out Pending Review. While it's in this state, click Edit to fix the vendor, purchase-order link, dates, tax/shipping/other charges, or notes (line items aren't editable yet — re-import or re-enter the invoice if a line needs to change). Once everything looks right, click Approve — this posts the bill to your ledger and locks the invoice from further edits.
What gets posted depends on whether the bill is linked to a purchase order. A linked bill clears the Goods Received Not Invoiced accrual and credits Accounts Payable. An unlinked bill debits the expense or inventory account for each line and credits Accounts Payable.
Once approved, click Record Payment to log a payment against it — full or partial. Each payment posts its own ledger entry (crediting Cash) and updates the invoice's status: Partially Paid until the full balance is covered, then Paid.
Voiding a bill
Approved the wrong bill, or linked it to the wrong purchase order? Click Void on an approved bill that has no payments against it. Iraca posts a reversing entry dated today (so the original approval stays in your journal), marks the bill Void, and releases its purchase order so a corrected bill can be raised. Voiding takes the same permission as approving.
A bill that is still Pending Review is deleted rather than voided — it never reached your ledger. A bill with a payment recorded can't be voided, because the payment would be left relieving nothing; correct it with a manual journal entry for now.
Due-date reminders
Every day, Iraca checks for approved invoices due within the next 7 days or already overdue, and emails your account's owners and admins a summary. The Upcoming Payables card on your dashboard shows the same thing at a glance — how many bills are open, how much is owed, and how many are overdue.
What this add-on doesn't do yet
Accounts Payable tracks what you owe and reminds you to pay it — it doesn't pay suppliers for you. You still send payment through your own bank or however you pay suppliers today, then record it in Iraca. There's also no supplier login yet; invoices are uploaded or entered by your own team.