How to Process Chargebacks › Department Invoices › How Invoice Approval Works

How Invoice Approval Works

Typically, the finance manager and department manager work together to approve invoices. The finance manager submits invoices for approval and the department manager approves or rejects invoices. Department invoice access rights determine the users who can do invoice-related tasks.

Use your company policies and best practices to identify the roles responsible for invoices and to determine cutoff periods for submitting and approving invoices. The following describes the approval process:

1. The invoice is generated by running the Generate Invoice job, which can be scheduled to run periodically. When the job is complete, the invoice is available with a status of Proforma. The invoice is open to receive additional transactions and available for review. The finance manager can manually regenerate invoices as needed and capture newly added transactions or adjustments in between scheduled invoice generation runs.
2. Your finance manager submits the invoice for approval. The status changes to "Submitted" and the invoice becomes locked. No further transactions can be added. If additional transactions are processed for that time period, they are added to the next time period invoice.
3. The department manager can approve or reject the invoice.
   • If approved, the status changes to "Approved". The invoice is complete and no further actions can be taken.
   • If rejected, the status changes to "Rejected". The finance manager can adjust or reverse a specific transaction or the entire invoice.