This article defines invoice, sales receipt, bill, and statement so you can properly enter these transactions in QuickBooks Online.

Invoice is a term used when you want to collect funds from your customers.

  • It is a transaction you create to receive money from your customers.
  • It is an individual sales transaction that can partially comprise a statement of your customer's account.
  • It is a transaction you send to your customers who haven't paid yet when specific work items or goods/services sold are completed or fulfilled.
Sales Receipt is a term used for goods/services rendered at the time of a purchase (sometimes referred to as a "point of sale" purchase), or if your customers give you immediate payment.

Bill is a term used to describe transactions that are owed to vendors/suppliers.

  • It is an invoice your vendors/suppliers send to collect money from you.
  • It is an invoice that you need to enter as a bill that they expect you, as their customers, to pay.

Statement is simply the status of the customer's account at a particular point in time.

  • It represents sales transactions, credits, and payments in each line item for a given period. It doesn't offer as much detail as the individual sales transactions.
  • It notifies your customers where they stand and if they still owe you any money. You send it to your customers on a regular basis.

For further information about the types of statements available, see Create and manage statements.