Source To Settle Definition

Source to settle is the process of managing and paying invoices from a company’s suppliers. The goal of source to settle is to ensure that all invoices are accurate, paid on time, and compliant with the company’s policies.

The first step in source to settle is invoice processing. Invoice processing includes verifying that the invoice is accurate, matching the invoice to purchase orders, and coding the invoice with the proper accounting codes. Once the invoice has been processed, it is ready for payment.

Payment can be made electronically or by check. When making electronic payments, it is important to make sure that the supplier has authorized electronic payments and that the payment method is compliant with the company’s policies. Checks should be made out to the supplier and mailed to their address.

After payment has been made, the final step in source to settle is reconciliation. Reconciliation involves matching the payments to the invoices and ensuring that all invoices have been paid. Any discrepancies should be investigated and resolved.