Accounts Payable Accrual is a type of accounting method used to keep track of unpaid supplier and vendor invoices. It’s a way for businesses to ensure that all their outstanding invoices are accounted for and paid on time. In this system, companies record the expected payments they will have to make by generating accrual entries, which create a liability on the balance sheet and allow room to bring the account up-to-date at a later date when the actual payment is made. The benefits of using Accounts Payable Accrual include accurate records, clear visibility into money owed, improved cash flow, and increased financial security.