Invoice approval process flowchart

Invoice approval process flowchart

A worked example to adapt. Rename steps, add branches and owners to match how your team actually works.

flowchart TD
  s(["Invoice received"])
  cap["Capture and log invoice"]
  d1{"Has a PO?"}
  code["Code to GL account and cost center"]
  appr["Budget owner approves"]
  d2{"Matches PO and receipt?"}
  exc["Resolve exception with vendor or buyer"]
  sch["Schedule payment by due date"]
  pay["Pay and record in ledger"]
  e(["Invoice closed"])
  s --> cap
  cap --> d1
  d1 -->|Yes| d2
  d1 -->|No| code
  code --> appr
  appr --> sch
  d2 -->|Yes| sch
  d2 -->|No| exc
  exc --> d2
  sch --> pay
  pay --> e

About this invoice approval process flowchart

Invoice approval has two paths: invoices backed by a purchase order are matched and paid, while invoices without one need coding and an approver. Drawing both paths makes it clear who is holding up a late payment.

This example suits a small finance team processing vendor invoices by email.

Step by step

1. Capture. Log every invoice as soon as it arrives, with vendor, amount and due date.
2. PO path. Match against the PO and receipt; mismatches go to exception handling.
3. Non-PO path. Code to the right account and route to the budget owner for approval.
4. Schedule. Approved invoices are scheduled to pay by their due date.
5. Pay and record. Pay and record the payment in the ledger.

How to make it in flow-chart.io

1. Start from the example. Edit the text in the generator box above so it names your own AP steps and approvers, then press Generate. The free preview needs no sign-up.
2. Add the branches. Add the decision points that matter for you, for example early-payment discount available? or duplicate invoice check. Each decision becomes a diamond with labeled outcomes.
3. Assign owners. Save the diagram to the editor (free account) and rename steps to show who does what: AP clerk, budget owner and controller.
4. Share or export. Share a read-only view link: people with the link can view the diagram but not edit it. Downloads as PNG, SVG or PDF are part of Flow Pro (see pricing).

Tips

• Add a duplicate-invoice check right after capture.
• Show the exception loop; it is usually where late payments come from.
• Note approval limits on the approver step.

Frequently asked questions

What is an invoice approval workflow?

The steps an invoice goes through from receipt to payment: capture, matching or coding, approval, scheduling and payment.

How is this different from PO approval?

PO approval happens before buying; invoice approval happens when the bill arrives. See the purchase order approval flowchart for the earlier step.

Can I generate my own version?

Yes. Edit the steps in the generator box and press Generate.

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