Vendor Bills & Payments

Go to Accounting → Vendors → Bills.

The default view shows all vendor bills with:

• Status badges — Draft, Posted, In Payment, Paid, Cancelled
• Due dates — highlighted in red when overdue
• Amount Due — remaining balance

Use the Filters dropdown to quickly find:

• Overdue — bills past their due date (requires immediate attention)
• To Pay — posted bills not yet paid
• Draft — bills awaiting review and confirmation

The Aged Payables report (Accounting → Reporting → Aged Payable) gives the best summary of what you owe and when.

Click New. Fill in the bill form:

• Vendor — select from Contacts (or create inline)
• Bill Date — the date on the vendor’s invoice
• Accounting Date — the period this bill affects in your books (defaults to bill date)
• Bill Reference — the vendor’s own invoice number (critical for matching)
• Due Date — calculated automatically from Payment Terms, or enter manually
• Journal — usually “Vendor Bills”

In the Invoice Lines tab, click Add a line:

• Product — links to your chart of accounts via the product’s expense account
• Account — the expense GL account (e.g., 6001 – Office Supplies)
• Taxes — auto-applied from the product/vendor settings
• Quantity and Price

Instead of manual entry, upload vendor invoices and let Odoo extract the data automatically.

On the Vendor Bills list, click Upload. Drop a PDF or image file.

Odoo’s AI scans the document and auto-fills:

• Vendor name and VAT number
• Invoice date and reference number
• Line items, quantities, and prices
• Tax amounts

Review the extracted data, make corrections if needed, and click Confirm.

After reviewing the bill, click Confirm.

• Status changes to Posted
• A bill number is assigned (e.g., BILL/2026/00034)
• Journal entries are created automatically (debit expense account, credit accounts payable)
• The bill is locked — fields like vendor, date, and amounts cannot be changed

If you need to correct a posted bill before paying, click Reset to Draft.

When you pay the vendor:

1. Open the posted bill.
2. Click Register Payment.
3. Confirm:
   • Journal — the bank account or cash journal you’re paying from
   • Payment Date — the actual payment date
   • Amount — defaults to the full outstanding balance
   • Memo — your payment reference (e.g., wire transfer ID, cheque number)
4. Click Pay.

The bill status changes to In Payment (until bank reconciliation) and then to Paid.

For batch payments — paying multiple vendors at once — go to Accounting → Vendors → Payments and create a batch.

Payment terms automate due date calculation and can split amounts across multiple due dates.

Go to Accounting → Configuration → Payment Terms. Click New:

• Name — e.g., “Net 30”, “2/10 Net 30”, “50% Upfront 50% on Delivery”
• Note — displayed on the vendor bill
• Terms tab — add lines for each payment:
  • Type: Balance (remaining amount), Fixed amount, or Percentage
  • Days: offset from the bill date
  • Day of the month: payment due on a specific day (e.g., last day of month)

For “2/10 Net 30” (2% discount if paid within 10 days, otherwise full payment in 30):

• Line 1: 98% due in 10 days
• Line 2: Balance due in 30 days

Assign the payment terms to vendors so all their bills auto-calculate due dates correctly.

The Aged Payable report is your primary AP management tool.

Go to Accounting → Reporting → Aged Payable.

The report shows all outstanding vendor bills bucketed by age:

• Current (not yet due)
• 0-30 days overdue
• 31-60 days overdue
• 61-90 days overdue
• 90+ days overdue

Sort by Total (descending) to prioritise your largest outstanding balances. Use this report weekly to ensure you’re not missing payment deadlines that could damage vendor relationships.