Editing a draft invoice in Xero is a straightforward process that allows you to easily correct or update details before it's sent to your client or approved.
Quick Steps to Modify a Draft Invoice
To make changes to an invoice you've saved as a draft, follow these simple steps:
- Navigate to Sales: From your Xero dashboard, locate and select the Sales tab. This section is your central hub for managing all customer-related financial activities, including quotes and invoices.
- Locate the Draft Invoice: Within the Sales section, you'll see a list of your invoices. Identify the specific draft invoice you wish to edit – draft invoices are typically clearly marked. Tap or click on it to open its details.
- Initiate Editing Mode: Once the draft invoice is open, you will find an Edit button. Tap or click this button to enable the editing of the invoice fields.
- Apply Your Changes: Now you can modify any necessary details within the invoice. This might include:
- Updating Line Items: Adjust descriptions, quantities, unit prices, or add/remove services/products.
- Amending Dates: Change the invoice date or the payment due date.
- Correcting Contact Details: Ensure the correct customer is selected and their billing/shipping details are accurate.
- Adjusting Tax Rates or Accounts: Verify the appropriate tax rates and linked revenue accounts for each line item.
- Adding Attachments or Notes: Include relevant files, such as purchase orders, or add internal notes for your team.
- Save or Send: After making all your desired changes, you have a couple of options for the next action:
- Save: Tap or click Save to update the invoice and keep it in draft status for further review or approval later.
- Email: If you're ready to send it to your client, tap or click Email to send the updated invoice directly.
- Approve: Depending on your workflow, you might choose to Approve the invoice, which moves it out of draft status and makes it ready for payment tracking.
Common Reasons to Edit a Draft Invoice
There are several scenarios where editing a draft invoice becomes essential:
- Typographical Errors: Correcting misspelled names, addresses, or item descriptions.
- Price Adjustments: Updating unit prices or quantities due to new agreements or initial input errors.
- Date Changes: Modifying the invoice date, payment due date, or delivery date.
- Adding New Services/Products: Including items or services that were initially overlooked or added last minute.
- Updating Tax Information: Ensuring compliance with current tax regulations or correcting misapplied tax rates.
Practical Tips for Invoice Management
Here's a table outlining key considerations when managing invoices in Xero to ensure accuracy and efficiency:
| Feature | Description | Best Practice |
|---|---|---|
| Invoice Status | Tracks whether an invoice is Draft, Awaiting Approval, Awaiting Payment, or Paid. | Regularly review draft invoices to avoid delays in billing. |
| Branding Themes | Customize the visual appearance of your invoices to align with your company's brand. | Ensure your default branding theme is applied correctly for a professional look. |
| Default Settings | Pre-set common details such as due dates, branding, and payment terms. | Utilize default settings to save time and maintain consistency across invoices. |
| Attachments | Ability to add supporting documents (e.g., purchase orders, timesheets) to invoices. | Attach relevant files for clarity and comprehensive record-keeping, especially for complex jobs. |
For more comprehensive guidance on managing invoices, you can refer to the official Xero support documentation on invoices.
