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eInvoicing – a better way to do business

A factsheet about eInvoicing, its benefits and how it can support businesses streamline invoicing.

Last updated 9 April 2024

Read the following factsheet or download the Portable Document Format (PDF) version eInvoicing – a better way to do business is also available (PDF 536KB)Opens in a new window.

eInvoicing supports businesses by streamlining your invoicing and freeing up time for you to run and grow your business.

eInvoicing is not email or PDF. eInvoices are exchanged directly between buyers’ and suppliers’ software, automatically appearing in software ready to be paid.

It removes manual data entry for receivers and the need for senders to generate email invoices, making the whole process faster, more efficient, accurate and secure.

Benefits of eInvoicing

The benefits of eInvoicing include:

Saves time

eInvoicing saves you time by not having to:

  • re-key or scan invoices
  • fix errors
  • chase missing information, overdue or lost invoices.

Invoice data is accurate and complete as key details are checked before the eInvoice is sent.

Reliable and secure

eInvoicing reduces the risk of scams and fraud as eInvoices are sent via a secure network of approved service providers and not via email.

The Australian business number (ABN) is used to deliver invoices to the right business, with less risk of fake or compromised invoices.

Cost savings

Research shows it costs businesses around $30 to process a paper invoice and $27 for an emailed PDF invoice, but it costs less than $10 to process an eInvoice.

Your actual savings will depend on your processes, how many invoices you send and the time saved in managing your invoicing.

Faster payments

eInvoicing means fewer errors and lost invoices, avoiding unnecessary delays in getting paid.

Federal Government agencies are paying eligible eInvoices within 5 days.

Connect once, trade with many

Australia has adopted Peppol, an international standard, that allows digital invoices to be exchanged between different software or systems.

Once you’re connected to the Peppol network, you can exchange eInvoices with any business on the network that is also connected, regardless of their size or software.

Your invoice data

eInvoices are sent securely by ATO-approved service providers. The ATO administers the network, but we can’t access or view your invoices.

How to get started

To send and receive eInvoices, all you need to do is connect your software to the eInvoicing network and register. Let your trading partners know to get them on board and start using eInvoicing. Visit ato.gov.au/eInvoicing for more information.

 

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