Download Accounts Payable Excel Template

Accounts Payable Template is a ready-to-use template in Excel, Google Sheets, and Open Office Calc that helps you to easily to record your payable invoices all in one sheet. Just download the template and start using it entering by your company details.

Furthermore, it consists of a payment section that lets you know the outstanding payable amount to the supplier against each invoice.

What is Accounts Payable?

As per Wiki

Accounts payable is money owed by a business to its suppliers shown as a liability on a company’s balance sheet. It is distinct from notes payable liabilities, which are debts created by formal legal instrument documents.

In simple terms, accounts payable ledger consists of the list of suppliers along with details like invoice number, date of invoice, date wise payments made, and outstanding balance.

Role of Accounts Payable

Accounts Payable consists of 3 basic functions:

• Report and pay external business expenses.
• Make internal payments.
• Monitor and process Vendor payments.

Larger businesses require staff to travel for business purposes. Accounts Payable department manages such travel arrangements which include advance airline, car rental as well as hotel reservations.

Other business functions include making payments for AMCs and other maintenance expenses for the smooth running of the business.

Furthermore, it is also responsible for distributing internal payments such as reimbursements, controlling, petty cash, and distribution of corporate taxes.

In addition to the above, the accounts payable department verifies purchases, aging analysis reports apart from vendor management.

What is Accounts Payable Process?

Accounts payable is a 4 step end-to-end process:

• Receiving the bill.
• Checking the bill details against the PO.
• Record invoices into the accounting system.
• Reviewing and making timely payments.

Additionally, account payable prevents payments of fraudulent invoices or multiple payments for the same invoice to vendors. Proper reporting of invoicing helps to ensure that a company’s cash and assets are safe.

Accounts Payable Journal Entries

Accounts payable consists of 2 scenarios that require journal entries: first is checking of goods against invoice and reporting the invoice into the system.  The other is making payment for the invoice.

Journal Entries For Recording Invoice

Purchase A/C – Debit

To Accounts Payable A/C – Credit

In the case of a regular vendor, the Vendor account will be debited instead of purchase.

Journal Entries For Paying Invoice

Accounts Payable A/C – Debit

To Cash or Bank A/C – Credit

In the case of a regular vendor, the Vendor account will be debited instead of Accounts Payable.

Journal Entries For Purchase Return

Accounts Payable A/C – Debit

To Purchase Return Account – Credit

Journal Entries For Purchase With Discounts

Accounts Payable A/C – Debit = Rs. 10,000

To Cash or Bank A/C – Credit = Rs. 9,000

To Purchase Discount A/C – Credit = Rs. 1000

The sum of both credit amounts must be equal to the debit amount.

Accounts Payable Template

We have created simple and easy Accounts Payable Templates in with predefined formulas and functions. Insert invoices and it will automatically display the outstanding against each invoice.

Excel Google Sheets Open Office Calc

Click here to Download All Accounting Excel Templates for Rs 199.

Important Note: To edit and customize the Google Sheet, save the file on your Google Drive by using the “Make a Copy” option from the File menu.

You can download other accounting templates like Cash Book, Petty Cash Book, and Purchase Return Book.

Let us discuss the templates

Content of Accounts Payable Template

This template consists of 2 sections: Vendor details and Payment Details.

Vendor Details

Row 1 = Enter Company/Business Name. Cells A1 to AD1. Merged cells.

Row 2 = Heading of the sheet. Cells B2 to BD2. Merged cells. Headings can put as Accounts Payable Ledger or Creditors Ledger.

Row 3 = Multiple headings as numbered below

1. The subheading for the Current Date in A3.
2. Next cell B3 will reflect the current date of the system using the formula =TODAY(). The date will automatically change according to the system date. You don’t need to change it every time and this saves your time.
3. The next column for Total Due to date. The cell next to it reflects the total of column F which is the balance of each supplier. The formula applied here is =SUM(F5: F23).

Row 4 = This row consists of subheadings for data input. For example, see the table below:

Invoice and Payment Details

Date, Invoice number, Supplier name, Amount of Bill, payment 1, and payment 2 and their respective date are details to be put while entering data.

For the Due date, you can set a function that automatically calculates several days for you and will show the exact date of payment. For this you will set the function as shown below:

= cell address which contains date + Number of days for allowed.

Here in our sheet, it is 45 days. So the formula entered is =A5+45. Copy this to all the cells below this cell, this will apply the same settings to all cells below.

Balance Amount here is calculated by deducting the total amount of bills – Sum(Payment1+payment2) etc. In this template formula used is =D5-SUM(H5+J5+L5+N5+P5+R5+T5+V5+X5+Z5+AB5+AD5).

Furthermore, you can also download Accounts Payable Template With GST(Goods and Services Tax) as well as Accounts Payable Template With VAT(Value Added Tax).

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