Managing Billing Entities on Invoices

Article Contents

1. Introduction
2. How Hiro Selects the Default Billing Entity
3. How to Update the Billing Entity on a Job
4. Issuing Invoices to Multiple Entities for One Job

Introduction

When generating invoices, the Billing Entity is automatically pulled from the job configuration to ensure consistency and accuracy. Understanding how billing entities work is key to managing invoicing effectively—especially when switching between entities or issuing invoices to different entities for the same job.

If you're new to the concept of billing entities and how they differ from clients in Hiro, refer to our guide on Understanding Clients vs Billing Entities for a detailed overview.

How Hiro Selects the Default Billing Entity

When you create a new invoice, the Billing Entity is pre-filled based on the entity configured on the job. This ensures that the correct entity is applied consistently across all invoices related to the project.

• The Billing Entity field is read-only by default when creating or updating an invoice. Since Hiro retrieves this information directly from the job, the field cannot usually be edited while generating or modifying an invoice.

  

• If the billing entity needs to be changed, this must be done at the job level. Once updated, future invoices raised for that job will default to the new entity.

• Important: Updating the billing entity on a job only affects future invoices. Previously issued invoices will retain the original billing entity to ensure consistency in historical records.

However, if you need to issue invoices to multiple entities for the same job, Hiro provides a way to make the Billing Entity field editable on subsequent invoices. This process is outlined in Issuing Invoices to Multiple Entities for One Job.

How to Update the Billing Entity on a Job

If you need to use a different billing entity for future invoices, follow these steps:

1. Add the New Billing Entity (if necessary).
   If the new billing entity doesn’t exist in Hiro, add it as a new contact in the Address Book.

2. Open the Update Billing Entity Page.
   Go to Projects and select Update Billing Entity.

3. Select the Job.
   Search for and choose the relevant job.

4. Choose the New Billing Entity.
   Use the search field to find and select the correct billing entity.

5. Update the Invoice Attention To (if required).
   Select a different Attention To person from the dropdown if needed.

6. Complete the Change Trail.
   Document who requested the change and why in the Change Trail section.

7. Save Your Changes.
   Click Save to apply the new billing entity to all future invoices raised for that job.

These changes will not affect previously issued invoices, which will retain the original billing entity for consistency in historical records.

Issuing Invoices to Multiple Entities for One Job

If you need to raise invoices for different entities on the same job—such as when splitting charges between entities—you can follow this process to ensure accurate invoicing:

1. Create and Issue the First Invoice.

   • The Billing Entity field will be read-only when generating the first invoice, reflecting the entity configured on the job.

   • Enter the portion of the charges allocated to the first entity. For example, if the charges are split 50/50, include 50% of the total charges on this invoice.

   • Save the invoice in either Draft or Approved status.

   💡 Tip: It doesn’t matter which entity you invoice first. You can choose either entity to start with. However, whichever entity is selected last on the Update Billing Entity page will be reflected on the project and project labels going forward.

2. Update the Billing Entity.

   • Go to Projects > Update Billing Entity and select the relevant job.

   • Change the Billing Entity to the second entity.

   • Save the changes. This will set the new entity as the default for future invoices and update the project’s billing entity reference.

3. Create and Issue the Second Invoice.

   • Create a new invoice, which will now default to the updated billing entity.

   • Enter the remaining portion of the charges allocated to this entity.

   • If required, switch back to the previous entity using the Billing Entity dropdown before issuing the invoice.

4. Repeat as Needed.

   • If charges need to be split across more than two entities, repeat this process for each entity involved.