How to Record Invoices With No Invoice Number
While an invoice number is a common and useful way to track individual invoices, it is not always provided or sometimes it’s missing. In such cases, you’ll still need to record the invoice for accurate bookkeeping. Here are the steps you should take to record invoices without an invoice number:
- Assign a Unique Identifier: If the invoice doesn’t have a unique invoice number, you’ll need to assign one. The identifier could be based on the date, the vendor’s name, and/or the invoice amount. For example, if you received an invoice from ABC Vendor on June 23, 2023, for $500, you could create an invoice number like “ABC-20230623-500.
- Record the Invoice: Enter the invoice in your accounting system as you would any other invoice, using the unique identifier you created in place of the invoice number.
For example, assuming you use the double-entry bookkeeping system, if you received an invoice without an invoice number from ABC Vendor for office supplies, your journal entry could look something like this:
| Date | Account Title | Debit | Credit |
|---|---|---|---|
| Jun 23 | Office Supplies (or another appropriate expense account) | $500 | |
| Accounts Payable (or specific Vendor Payable account) | $500 |
This entry records the fact that you have received $500 worth of office supplies (increasing your expenses), and that you owe $500 to ABC Vendor (increasing your Accounts Payable).
It’s always a good idea to keep organized and clear records of your financial transactions, especially when you need to create or provide additional details such as in this case. Please also note that different businesses may have different policies and systems for dealing with such situations, so it’s important to follow your specific business or accounting department’s guidelines.
Example of How to Record Invoices With No Invoice Number
Imagine you run a business and you received an invoice from a vendor, “Quality Office Supplies,” dated June 15, 2023, for the amount of $250. The invoice is for printer ink cartridges and paper but doesn’t have an invoice number. Here’s how you would handle it:
- Assign a Unique Identifier: First, you need to create a unique identifier for this invoice since it doesn’t have an invoice number. You could use the vendor’s name, the date, and the invoice amount. So, the identifier for this invoice could be “QOS-20230615-250”.
- Record the Invoice: Next, you will record the invoice in your accounting system using the unique identifier you created. You’ll debit your “Office Supplies” expense account and credit your “Accounts Payable” account.
The journal entry would look something like this:
| Date | Account Title | Debit | Credit |
|---|---|---|---|
| Jun 15 | Office Supplies | $250 | |
| Accounts Payable | $250 |
With this entry, you’ve increased your “Office Supplies” expense account by $250 to reflect the additional cost of the ink and paper. At the same time, you’ve increased your “Accounts Payable” account by $250, which represents the amount you owe to the vendor.
Remember, it’s important to keep a clear and organized record of all your business transactions. Even when invoice numbers are missing, you can still keep track of your invoices by assigning unique identifiers.
