Employees who conduct their work through an approved agency will often find that they do not have to issue invoices themselves, as these are circulated by their agency.
Even though it may seem unnecessary to bill a client through Crunch, it is paramount that you record an invoice to represent the work you've completed during the year.
Without having invoices recorded in the Crunch app, you will not be able to accurately represent the true status of your company.
Generated invoices have a knock on effect on determining your company’s profits, its Corporation Tax liabilities and the dividends available to you as a shareholder. Therefore it's vital to properly record them.
For bank reconciliation to work properly you will need to provide invoices to match all the client payments present in the system.
It may also be prudent to use the ‘VAT already included tick box’ and record the gross amount from the self-billed invoice, otherwise there may be a slight discrepancy of a penny or two from VAT rounding between the Crunch invoice and the real invoice.
How do I record Self-billing in Crunch?
You simply record an invoice as you usually would, although once you’ve issued it, remember that there’s no need to actually email them as this is just a process to make sure the system’s accurate.
For an example of how to add an invoice in Crunch click here.