If you add sales invoices and purchase invoices (bills) to your accounting software, they are all shown as unpaid. When you receive/pay that invoice, the income/expense transaction will be imported into your bank account. When you categorise/reconcile/explain that transaction, you will need to match it to the invoice already created. This will change the invoice from unpaid to paid.
Do not categorise the bank transaction as a sale/cost, otherwise you will duplicate the sale/cost that was created when you added the invoice. If you have, see below.
The way to match a bank transaction to an invoice is different for each accounting software. Here are some links to help you…
To fix sales/costs that have been duplicated because the bank transaction has not been matched to the invoice, you have two options.
- Redo the bank transaction. Find the income/payment in your bank account that has been categorised to sales/costs instead of matched against an invoice. Undo the categorisation. Match it against the invoice.
- Void the invoice. If the bank transaction has been categorised correctly (i.e. the same as the invoice), you can find the invoice and void it in the options.