Resources • invoices • VAT • payments
Invoices and payments: VAT, deposits, online vs offline
A practical guide to keeping billing consistent: invoice defaults, deposits, online payments (if enabled), and how to keep your audit trail complete with offline payments too.
- Invoices
- VAT
- Deposits
- Payments
- Reconcile
Invoices are predictable, totals make sense,
and the payment record is complete
A practical guide to keeping billing consistent — invoice defaults, deposits, online payments where enabled, and how to keep the audit trail complete with offline payments too.
Goal 01
Set defaults
VAT, deposit, and payment terms that match how you operate — set once so every invoice starts from the same rule. Defaults reduce ad-hoc variations and make totals consistent across the whole team.
Goal 02
Issue consistently
One invoice process, not ad-hoc variations per job. Draft, confirm, issue from the system so the audit trail stays joined up — and finance can track status without asking operations what happened on each job.
Goal 03
Track payment
Online pay links where Stripe is enabled, plus offline status tracking so the record stays complete even when payment happens outside the portal. Both routes keep the audit trail intact.
Office & admin teams
Set defaults once so every invoice starts from the same rule — VAT, deposit, and terms that match how the business operates, without per-job decisions.
Ops leads
Keep the invoice lifecycle consistent across the whole team — draft → issue → reminder → paid — so finance can track status without asking operations what happened.
Teams taking payments
Track online pay links (if enabled) and offline payments so totals reconcile and the audit trail stays complete — whether the client pays by card, bank transfer, or purchase order.
Set VAT, deposit, and terms once —
so every invoice starts from the same rule
Defaults reduce ad-hoc variations and stop billing decisions being made differently on every job. The fewer choices needed at invoice time, the fewer errors.
Three defaults · set once · consistent every invoice
Default 01
VAT defaults
Decide the typical VAT behaviour so new invoices start at the correct rate without manual selection every time. If different clients or job types carry different VAT treatment, agree the rule for when overrides are permitted.
Default 02
Deposit defaults
If you use deposits, standardise the rule and when it applies — percentage vs fixed amount, and at what stage it's required (on quote approval, on scheduling, on invoice). Clear rules prevent "amount due" confusion on both sides.
Default 03
Payment terms
Keep "due in X days" consistent so reminders make sense and clients know what to expect. Ad-hoc terms per job create confusion at the point of chasing — 30 days on one invoice, 14 on the next, and no one remembers which is which.
Policy checklist · before issuing the first invoice
Four decisions to make in advance — not at the point of billing
01
Deposit rule
Percentage or fixed?
Decide whether deposits are a percentage or fixed amount, and when they're required — on quote approval, on scheduling, or not at all.
02
VAT note
Rate and overrides
Decide how VAT is shown on invoices and when it may legitimately be overridden — different clients, zero-rated work, or exempt jobs.
03
Reminder cadence
Pick one schedule
Agree a single reminder schedule — e.g. day 0 on issue, day 7, day 14 — and stick to it. Ad-hoc reminders are easy to miss or double-send.
04
Who can edit
Restrict billing changes
Restrict who can change invoice amounts, VAT, and terms after issue — to avoid ad-hoc variations that create reconciliation problems later.
One repeatable process —
so finance and operations stay aligned on every job
Three steps that keep invoice status accurate from first draft through to payment recorded. Issue from the system at every step so the audit trail stays complete without extra reconciliation.
Draft → issue → track · same every job
Step 01
Create a draft
Confirm all details before issuing — catching errors in draft is faster than correcting them after the client has received the invoice.
Step 02
Issue and record the send
Send or download from the system so the audit trail records when and how the invoice was issued. An invoice emailed from a personal inbox without being recorded in the system is invisible to anyone checking status.
Step 03
Track payment status
Whether paid online or offline, keep status and notes up to date. An invoice that's been paid but not recorded as paid creates false chasing — and erodes the client relationship when you send a reminder for something they've already settled.
Choose what fits the client —
the key is that the record stays accurate either way
Online pay links for card-paying clients when Stripe is connected; offline status tracking for procurement-heavy clients or when payment happens outside the portal. Both routes keep the audit trail intact.
Offline
Bank transfer · BACS · PO · cheque
Online pay link
Stripe · card payment · if enabled
Stripe connection: online pay links require Stripe to be connected for your workspace. If not connected, invoices still work fully — just record payments offline using the template below.
Template · offline payment note
Four fields to record when payment clears outside the portal
01
Paid date
Date received or cleared
The date the payment was received or bank-cleared — not when it was promised or the invoice due date.
28 Jan 2026
02
Method
How it was paid
Bank transfer, BACS, CHAPS, cheque, purchase order, or other — be specific so reconciliation is unambiguous.
BACS · bank transfer
03
Reference
Bank ref or PO number
The reference that appears on the bank statement or the purchase order number — ties payment to invoice without ambiguity.
BAC28012026 · PO-4471
04
Confirmed by
Who confirmed payment
Name or initials of the staff member who confirmed receipt — so there's a named responsible person if the record is queried.
S. Patel · SP
Most billing problems come from
inconsistent defaults and unclear rules
Three pitfalls to set up policies around before the first invoice goes out — then quick answers on deposits, online payments, offline tracking, and VAT.
Common pitfalls
Three patterns that create billing confusion
VAT toggles — default vs deliberate override
When VAT has no agreed default, different team members apply it differently — one invoice is 20%, the next is 0%, with no record of why. Clients notice inconsistency at the point of payment and it creates reconciliation headaches with the accountant.
Fix: set a default VAT rate and agree a rule for when it can be overridden — then any override is deliberate, documented, and traceable.
Deposit vs balance — "amount due" ambiguity
If there's no clear rule for when you issue a deposit invoice vs a balance invoice, the client receives different documents at different times with no clear indication of what's been paid and what remains. Disputes follow at the balance stage.
Fix: agree when deposit invoices are issued (on quote approval, on scheduling) and when balance invoices follow — note it on both documents so clients aren't confused.
Wrong contacts — invoice sent to the wrong person
An invoice sent to a site manager who doesn't handle procurement sits unread in the wrong inbox for 30 days. The client hasn't "ignored" the invoice — they simply never received it in the right place. The chasing conversation is awkward when it emerges.
Fix: confirm the correct invoice recipient for each client before issuing — billing contacts and site contacts are often different people.
Common questions · quick answers
Yes — set a clear deposit rule (amount or percentage) and keep it consistent across quotes and invoices so clients understand what is due and when. The most common source of confusion is when the deposit on the quote differs from the deposit on the invoice because no default was set.
Be explicit on both the deposit invoice and the balance invoice about what has been paid and what remains. "Deposit: £X paid — balance of £Y due on completion" removes ambiguity at every stage.
If online payments are enabled for your workspace (Stripe connected), invoices can include pay now links so clients pay by card directly. The payment event is recorded automatically alongside the invoice — no manual status update needed.
If Stripe isn't connected, online pay links are not shown — but invoices still work fully and payments can be tracked offline. Most teams start with offline tracking and add Stripe later once the basic workflow is running smoothly.
Record payment status and notes in the system as soon as payment clears — date received, method, bank reference or PO number, and who confirmed it. This keeps invoice history complete even when payment happens outside the portal.
The discipline is recording it promptly — not at end of week or month when details are harder to recall. An invoice still showing as outstanding in the system when it's actually been paid will trigger a reminder to a client who has already paid.
Fire Door App supports invoice defaults and totals — you set the default VAT rate and it's applied to new invoices automatically. The platform calculates line item totals and the VAT amount based on that default.
You should confirm VAT rules and rates for your specific business, clients, and job types with your accountant. Some work may be zero-rated; some clients may be exempt. The platform doesn't make those determinations — it applies the rule you set.
Quick facts
Invoices & payments at a glance
Defaults
VAT, deposit, terms — set once, applied to all new invoices
Lifecycle
Draft → issue from system → track payment · same every job
Online
Stripe pay links if connected — automatic payment recording
Offline
Date · method · reference · confirmed by — record promptly
Pitfalls
VAT default · deposit rule · correct contact — agree before issuing
VAT
Platform applies the rate you set — confirm correct rates with your accountant
Get started
Keep billing clean on one pilot job
Set defaults, issue one invoice, and keep payment status accurate — whether paid online or offline.
Keep billing clean on one pilot job.
Defaults, one issued invoice, accurate payment status.
Set defaults, issue one invoice, and keep payment status accurate — whether paid online or offline.