Accounts Payable

Accounts Payable (AP) Explained.

Accounts Payable is a short-term debts owed by a business to vendors for goods and services received on credit.


It's always recorded as a current liability on the balance sheet, which affects company's cash flow statement, showing changes in total AP from previous period.

Ready to file your business taxes? Don’t worry! Fiscal Integrity Group can help you file your taxes and optimize your tax bill. Get Started→

The Accounts Payable Process

Invoice Receipts

Supplier sends an invoice for goods or services provided.

Invoice Verification

AP department verifies invoices against purchase orders and receipt of goods/services.

Invoice Approval

Obtain necessary approvals for payment.

Payment Processing

Schedule and execute payments according to terms.

Record Keeping

Update financial records and general ledger.

Payment Terms and Deadlines

Common Payment Terms:

  • Net 30: Payment due within 30 days of invoice date.
  • Net 60: Payment due within 60 days of invoice date.

Our Commitment:

  • ACH vouchers: Typically processed weekly.
  • Check vouchers: Often processed weekly.
  • Virtual cards: May be processed twice weekly.
  • Wire transfers: Often processed twice weekly.

Best Practices for Accounts Payable

Built on integrity and expertise, our firm delivers exceptional personalized service that goes beyond standard accounting practices.

Clear Policies

Establish clear payment policies and procedures

Internal Controls

Implement controls to prevent errors and fraud

Automation

Utilize AP automation software to streamline processes

Regular Reconciliation

Regularly reconcile AP accounts

Client's Testimonials.

Our clients' success stories speak volumes about our commitment to excellence and personalized service.

Wagner, Manufacturing CEO

Fiscal Integrity Group transformed our financial management. Their expertise in manufacturing accounting is unparalleled.

Kara, Small Business Owner

Their tax strategies saved us thousands. I can't recommend them enough for small businesses.

Robert & Mary K., Retirees

FIG's personal tax services have made our retirement planning so much easier and more profitable.

Book A Free Consultation

Drop us a line! We are here to answer your questions because the first step to hassle-free accounting, tax returns, and tax planning starts by reaching out to one of our representatives.

Share by: