Thursday, December 28, 2023

Invoice vs Receipt

An invoice and a receipt are both documents related to the process of buying and selling, but they serve different purposes.

Which one should I upload for expenses?
A receipt is better.

If you have to choose between an invoice and a receipt for tracking expenses, a receipt is generally more suitable because it is direct evidence that a payment has been made. It confirms that the transaction has been completed and the expense has actually occurred.

Invoice vs Receipt: Close-up of a thermal printer ejecting a receipt with printed details visible, including a timestamp, itemized charges, net and VAT amounts, and a total sum. The receipt is partially curled as it exits the machine, suggesting a recent transaction. The focus on the receipt and the printer emphasizes the completion of a sale, which is often confused with an invoice that instead requests payment.

Purpose:

Invoice: A request for payment for goods or services rendered.
Receipt: Proof of payment for goods or services purchased.

Timing:

Invoice: Issued before payment, often to initiate a payment process.
Receipt: Provided after payment as confirmation that payment has been received.

Legal and Tax Implications:

Both the invoice and the receipt can be legally binding documents.

Invoice: Indicating an obligation to pay.
Receipt: Serves as evidence that a transaction has occurred.

For reconciling bank statements and during audits, receipts provide the necessary proof of payment, making them essential for validating expenses for your business.

what is receipt

what is invoice

expense management

receipt ai

best receipt app

Start uploading Receipts using SMS.

Save 97% of your time with efficient receipt processing

Works with Xero and QuickBooks

Perfect for businesses, big and small

No extra app downloads. Works with tools you already have (Email and SMS)

Start texting receipts →
Business owner using Receipt-AI to take a picture of a receipt in a coffee shop.

Receipt-AI with AI and SMS

What's new? How does Receipt-AI grow as a startup

2024 Receipt AI - Big Green Company Terms Privacy

Use Case

QuickBooks Receipt Scanner with Receipt-AI Your Top Choice Xero Receipt App Generate a Simple Expense Report with AI and SMS Receipt Management for Small Businesses Receipt-AI: The Best Receipt Organizer Track Receipts with PO numbers for Construction Projects

Articles

Purchase Order vs Invoice What is a Purchase Order? How to upload receipts to QuickBooks? How to upload receipts to Xero? How would you reconcile your bank account to avoid spending more than you have? Why is it important to reconcile your bank statements? How to reconcile in Xero app? How to reconcile in Xero? What does reconcile mean? How to reconcile in QuickBooks online app? How to reconcile in QuickBooks? How to add my phone number to Receipt-AI? What are the major travel expenses in Construction? Where are the receipts in QuickBooks? Are we raising capital for Receipt-AI? How to add a team member? QuickBooks vs Xero Invoice vs Receipt How to find receipt + new feature Why Receipt-AI works with QuickBooks 🔍 New feature: Look Up Receipts ⭐️ Introducing the new Receipt Insight 2.0 Receipt-AI is Now Officially Available on the QuickBooks Store 🗂️ Folder AI 2.0 - Email First time vs Many many times Partnerships with QuickBooks From Humble Beginnings to Community Accomplishments Where can I find the receipts in QuickBooks or Xero? 7 reasons why your company should use Receipt-AI 🗂️ Introducing the new Folder AI As of today, Receipt-AI has reached a milestone of 100k in total expenses. Hollywood and Silicon Valley Text Receipts and PO Numbers for Construction Projects Two tigers cannot share the same mountain Why do we start Receipt-AI? QuickBooks Disconnected The best receipt scanner for QuickBooks Upload receipts to QuickBooks using Receipt-AI and SMS What is expense report? 📦 New Receipt Insights How to reduce memory usage for your Rails app - R14 - Memory Quota Exceeded in Ruby (MRI) From Free Trial to Paid Trial Receipt-AI new feature: Upload Receipts using Email How to switch hosting from Render to Heroku for your Ruby on Rails application Receipt-AI: Take a picture and text