Table of Contents
- Invoice Book Definition & Meaning
- What Is an Invoice Book?
- 10 Types of Invoice Book
- Invoice Book Uses, Purpose, and Importance
- What’s in an Invoice Book? Parts?
- How to Design an Invoice Book
- Invoice Book vs. Receipt Book
- What’s the Difference Between an Invoice Book, Statement, and a Voucher?
- Invoice Book Sizes
- Invoice Book Ideas & Examples
- FAQs
Invoice Book
Invoice Books refer to useful record-keeping tools that a lot of merchants, businesses, and companies used. And because an invoice is a fundamental document in these entities, keeping and organizing it properly is a must
Invoice Book Definition & Meaning
An invoice book is a type of book that is used by businesses to organize and store their invoices.
Invoice books are kept for different accounting and bookkeeping purposes, but it is primarily used for record-keeping and documentation.
What Is an Invoice Book?
To understand the purpose of an invoice book, you need to first define what an invoice is. An invoice is a business form used to document a transaction or exchange of goods and services; it is issued by the seller to the buyer to request payment for the said exchange. An invoice book, therefore, is basically a compilation of the invoices detailing these sale transactions.
10 Types of Invoice Book
Sales Invoice Book
You are more than likely to come across a sales invoice in typical buy-and-sell transactions. Sales invoices are perhaps one of the most common business documents, which may be compiled in a sales invoice book. Whether you are the one supplying the product or buying it, it is important to be familiar with the different components of an invoice document.
Contractor Invoice Book
If you are an independent contractor dealing with different clients and customers, you want to make sure that your invoices are kept in an organized and orderly manner. With a contractor invoice book, you can easily keep track of the invoices that you issue to clients. A helpful tip is to organize the invoices in a chronological sequence for easy monitoring.
Repair Invoice Book
It is almost inevitable that structures break down due to a combination of factors including time and neglect. Whether it is a house, building, or even a car, these things require regular maintenance and repair. Those in the business of repairs and renovations would need a repair invoice book to keep track of all their business transactions with customers and clients.
Self-Employed Invoice Book
Starting your own business is both an exciting venture and an incredible risk. Business owners and self-employed entrepreneurs not only need to secure the company’s survival and future, but they also need to actively seek out clients to generate a profit. If you are an employer, it is important to take it upon yourself to keep a self-employed invoice book and monitor all your client transactions.
Company Invoice Book
The main task of a company’s accounting department or unit is bookkeeping. Bookkeeping can be divided into several subcategories such as accounts payable, accounts receivable, and audit. Thus, all accounting departments should keep a company invoice book as a record of all their business and financial transactions.
Professional Invoice Book
Regardless of the nature of your business, a professional invoice book is a must for your accounting and bookkeeping needs. You have the option to either buy an invoice book at an office supply store or create and customize one yourself. Note that your invoice book should have a consistent format and include basic components like the invoice number, client information, transaction date, and the total cost of goods/services.
Construction Invoice Book
A construction invoice book is used by contractors and developers to organize their sales invoices. The book should not only contain individual invoice numbers but it must also be organized in chronological order. In addition, do not forget to include the company name, business address, and contact information at the top of the page.
Business Invoice Book
An integral part of running a business is keeping records of customer or client transactions. An effective way to monitor these transactions is by using a business invoice book. The invoice book is a bookkeeping and accounting tool that is used to compile the company’s sales invoices.
Blank Invoice Book
It can be tiresome and time-consuming to create a sales invoice book from scratch. Although you can always purchase one at an office supply store, using a ready-made template is definitely more cost-effective and convenient. The free and downloadable blank invoice book below can be customized according to your needs and all you need to do is to input the information.
Car Invoice Book
For auto service companies and businesses, a car invoice book is important for accounting and record-keeping purposes. The book helps the company keep track of payables and receivables from clients or customers. When filling out an invoice, always make sure to specify each product or service under the description and input its corresponding quantity, unit, and price.
Invoice Book Uses, Purpose, and Importance
Keeping an invoice book can benefit a company in more ways than one. The invoice document itself is an integral part of the process of transacting and conducting business.
Tax Reasons
Every employer is subject to taxes. In a fiscal year, the filing of taxes is an important process that every business or company must comply with. Keeping an invoice book can help facilitate the proper and accurate filing of taxes, especially if there is a need to prove a specific purchase or business transaction.
Analyze a Company’s Cash Flow
Another practical use of an invoice book is that it is an important tool in cash flow analysis. Every business should have a precise idea of where their money is going and where it is coming from. The information obtained from invoice books can help determine this and can also aid in the company’s financial decision-making.
Documentation and Record Keeping
At its core, the primary purpose of invoice books is documentation. Documentation or record keeping is a requirement in most structured organizations and companies. And like a lot of business forms and documents, invoices serve as proof or evidence of a business transaction.
Keep Track of Payables
A sales invoice, or simply an invoice, is issued by the seller or merchant to the buyer for the former’s services or goods. An invoice details the cost of goods and services provided and an invoice book helps keep track of what the buyer, customer, or client owes the seller. In other words, preserving a record of invoices facilitates the monitoring or tracking of the payables due.
One Organized File
With the volume of business and financial transactions that take place every day in a business, the paperwork can get quite overwhelming. So in order to avoid misplacing or losing an invoice, it is more practical to maintain an invoice book where all your transaction information is stored and arranged. Having everything in one place will help keep your files organized and it would be a lot easier for you to locate specific invoices when the need arises.
What’s in an Invoice Book? Parts?
Invoice Number
Every invoice should have a unique invoice number. Ideally, the number should be printed in bold characters and should be located at the top of the page.
Company Name
The company name should be printed at the top of the invoice. Below it, don’t forget to state the business address and contact details such as the landline number, email address, official website, etc.
Client Details
Along with the seller or biller’s details, the customer’s details must also be inputted. The client or customer’s complete name, address, and contact number should all be included.
Description of Goods/Services Sold
Your invoice book should also contain a table with a detailed description of the goods or services that the buyer has placed. Make sure the description is clear, direct, and accurate.
Quantity
In the same table, you have to indicate the quantity of each item. Whether it is construction materials or furniture pieces, you have to specify the number or quantity of items that were ordered.
Price
Another column is reserved for the price of each item. Each item in the description column should have a corresponding amount or price.
Total Amount
At the bottom of the table, you need to indicate the total amount to be paid. If there are any discounts, incorporate them when calculating the grand total.
How to Design an Invoice Book
1. Choose an Invoice Book Size
2. Specify the objective of the invoice book
3. Select an appropriate Invoice Book Template
4. Indicate the invoice numbers
5. Edit the company or biller’s name and contact details
6. Input the client’s contact information
7. Itemize the different products and services under the description
8. Identify the corresponding price, quantity, and total amount per item
9. Calculate the total amount
Invoice Book vs. Receipt Book
An invoice book is a bookkeeping tool that is an organized compilation of sales invoices issued by the seller to the buyer.
A receipt book is a book or booklet used in accounting that contains a collection of receipts.
What’s the Difference Between an Invoice Book, Statement, and a Voucher?
An invoice book is a record book where invoices are kept and organized.
A statement or a billing statement is a financial document that lists a client’s different transactions and charges (usually credit card transactions) within a given timeframe or time period.
A voucher, on the other hand, is a document that is used to endorse a payment to a supplier or a seller.
Invoice Book Sizes
Invoice books can come in different forms and sizes, depending on the company’s individual preferences and needs. However, there are a few standard invoice book sizes that are universally used.
- US Letter Size (8.5 inches × 11 inches)
- A4 Size (8.3 inches × 11.7 inches)
- Legal Size (8.5 inches × 14 inches)
Invoice Book Ideas & Examples
Invoice books can be used for any industry or business. From manufacturing and retail to real estate, it is easy to create your own invoice book with the help of some predesigned invoice book ideas and examples.
- Sales Invoice Book Ideas and Examples
- Contractor Invoice Book Ideas and Examples
- Repair Invoice Book Ideas and Examples
- Self-Employed Invoice Book Ideas and Examples
- Company Invoice Book Ideas and Examples
- Professional Invoice Book Ideas and Examples
- Construction Invoice Book Ideas and Examples
- Construction Invoice Book Ideas and Examples
- Business Invoice Book Ideas and Examples
- Car Invoice Book Ideas and Examples
- Blank Invoices Book Ideas and Examples
FAQs
What should a good invoice include?
A good invoice should contain a customized or unique invoice number, transaction date, complete details of both the buyer and seller, and a clear description, quantity, and price of the goods or services.
What is a good invoice book numbering system?
A good way to establish an invoice book numbering system is to incorporate the date by following a chronological sequence based on the month and year.
Who processes an invoice book in a company?
A company’s accounting department is generally in charge of processing invoices and invoice books.
What is an invoice book in accounting?
An invoice book in accounting is basically a book that keeps a record and stores all the invoices of a company or business.
Which book is also known as an invoice book?
A purchase book or purchase journal is another term for an invoice book.
Who is an invoice book issued to?
An invoice is issued to the buyer but an invoice book is kept by the seller for documentation purposes.
Do I keep the original copy of an invoice?
Usually, the recipient or buyer keeps the original invoice while the seller keeps the duplicate copy.
What is the role of invoice books in a business?
Invoice books can greatly help businesses or companies analyze their cash flow and they are especially helpful when filing taxes as well.
Why do we need an original invoice book?
It needs to be original because each and every invoice should have a unique invoice number.
What is a duplicate invoice book?
A duplicate invoice book is a second copy made from the original invoice book.
What paper is used for invoices?
The most commonly used paper for printing invoices is standard Letter size white paper.
Is an invoice a receipt?
Both documents are issued by the seller but an invoice is a formal request for payment sent to the buyer while a receipt is a formal confirmation of payment.
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