Paid Invoice

What is a paid invoice?

A paid invoice is one where the client has paid the full amount owed. The transaction is complete, and the invoice moves from your outstanding/accounts receivable to your completed records. Marking invoices as paid keeps your records accurate and helps you track which clients have fulfilled their obligations.

Marking invoices as paid

When payment arrives:

• Record the payment — Log the date, amount, and payment method
• Match to invoice — Connect the payment to the correct invoice
• Update status — Change the invoice status from outstanding to paid
• Send receipt — Optionally send the client a payment confirmation

Partial vs. full payment

An invoice is only considered fully paid when the entire balance has been received. If a client pays part of a $5,000 invoice, you have a partial payment and a remaining balance due. Track both the amount paid and the outstanding balance until the invoice is completely settled.