PROMOS Verification of Construction Invoices
Good old money makes the world go round
A construction invoice represents the supplier’s claim for a service that has been performed; for example, insulating a building facade or performing electrical work. For you, the client, to be able to check this, the construction invoice must show which sums are being claimed for which services. Legal specifications and regulations, such as the Value Added Tax Act (Umsatzsteuergesetz, UStG) or Construction Tendering and Contract Regulations (Vergabe- und Vertragsordnung für Bauleistungen, VOB), specify the information that must be on the invoice as well as the procedure for the checking process.
In practice, construction invoices can be very extensive, which frequently makes checking them a complex task. The PROMOS verification of construction invoices summarises important invoice details (e.g. order data, appointments and deadlines, recognised services) and presents them in a clear manner in accordance with the VOB in an SAP® calculation and check sheet. This enables specialists such as the contracting party’s site managers or architects to easily and conveniently check the invoices from a technical, content-related and arithmetical perspective.
To allow the client to perform a correct check, all services must be invoiced in a verifiable manner, retaining the sequence of the items as well as the descriptions contained there.
The PROMOS verification of construction invoices presents the following information in a clear SAP® template:
- Supplier / biller
- Order details, e.g. order value
- Appointments and deadlines, e.g. date the invoice was received and payment due date
- Recognised service, any reasons for reduction
- Deductions for discounts, insurance, power/water consumed on construction sites, early payment discounts
- Retentions from security deposits, counterclaims, etc.
- Payment amount
Alongside the technical and content-related check, the arithmetical check should not be underestimated. For example, previous early payment discounts should not be granted for a new invoice, or several invoices that are being checked simultaneously mixed up with one another The PROMOS verification of construction invoices meets all the specifications, ensuring that all data and figures on the invoices are presented in a chronologically logical sequence and comply with the requirements of proper accounting. Furthermore, users can easily keep track of agreed deadlines for verification and payment.
The data on the check sheet is also the basis for posting in SAP®. The assignment to the order and project as well as automatic determination of G/L accounts provide support for posting and avoid significant posting errors.
In addition, correspondence can be printed for each construction invoice. Customer-specific forms can be created for this using SAP® SmartForms or OpenPromos Corporate Correspondence. A practical example of this is a final invoice agreement.
The invoice type determines the structure of the entry screen.
- Individual invoices: Precisely one invoice is created for the purchase order.
- Partial payments: In accordance with VOB/B Section 16 No. 1, partial payments are to be paid at agreed times or when the provided service reaches the value of the proven, contractual services.
- Final invoices: These represent the final claims from the contractor. The client is not obligated to make any other payments. A special check is therefore performed here for which both parties to the contract have additional time. The basis of the final invoice is usually the completion and acceptance of the agreed services.
Transparency: The PROMOS verification of construction invoices presents important invoice details in a clear manner in a chronologically organised SAP® calculation and check sheet.
Compliance with regulations: The PROMOS solution supports the proper verification of construction invoices in accordance with legal requirements and general regulations.
No media discontinuities: Seamless linking of the construction invoice data with the order and project and automatic determination of the G/L accounts support the posting procedures, save valuable time and reduce posting errors considerably.
- project managers
- project assistants
- project team members
- from EHP6 for SAP® ERP 6.0