Accounting for Carriage Charges on Supplier Invoices

Modified on Sat, 13 Sep at 9:58 AM

By default, the system does not automatically account for carriage (delivery) charges on supplier invoices. To ensure these costs are tracked correctly, they need to be coded to a specific nominal account.

How to Account for Carriage Charges

  1. When posting a supplier invoice that includes carriage, separate the carriage charge from the main goods value.

  2. Code the carriage charge to 1.10.30.12 (Carriage Costs).

  3. Post the invoice as normal.

How the Costs Are Reported

  • Carriage costs coded in this way will appear in the nominal ledger and in management accounts.

  • They will not appear in the invoice report, as this report only reflects the goods values.

Why This Matters

Accounting for carriage charges separately ensures:

  • Delivery costs are tracked and visible in financial reports.

  • You maintain a true picture of total costs in management accounts.

  • Carriage is not hidden within stock or supplier balances, improving transparency.

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