8 Steps to Avoid Duplicate Payments Using AWS Bookkeeping Services
Duplicate payments can create major headaches for both accounts payable (AP) teams and vendors. These errors waste time, and money, and can damage supplier relationships. With the right steps and tools, like AWS Bookkeeping services, you can eliminate duplicate payments and streamline AP processes.
Here’s a guide on how to avoid duplicate payments and improve AP efficiency using AWS Bookkeeping.
What Are Duplicate Payments?
Duplicate payments occur when a company makes multiple payments for the same invoice. This can happen in several ways, such as issuing two checks for the same bill or making both a check and electronic payment. These errors can drain resources, with some companies losing 1% to 3% of their budgets to duplicate or incorrect payments.
How Duplicate Payments Happen
Common Causes of Duplicate Payments Include:
Lack of a Centralized Invoice Process: Invoices arriving through different channels (mail, email) can be processed twice.
Poor Communication: Remote or hybrid teams without a clear system may struggle to track payment statuses.
Reliance on Paper Checks: Paper checks are prone to being lost or delayed, leading to duplicate payments when replacements are issued.
Fraud: Fake invoices can lead to double payments if fraud isn’t detected.
Duplicate Vendor Entries: Manual processes often result in duplicate entries in your ERP system, making it easy to pay the same vendor twice.
Problems caused by Duplicate Payments:
Wasted Time & Money: Teams must identify and rectify the error, while vendors need to issue credits.
Strained Vendor Relationships: Extra work for your vendor’s AR team can harm relationships.
Missed Discounts & Late Fees: Duplicate payments due to fraud can result in late fees and missed discounts.
How to Avoid Duplicate Payments with AWS Bookkeeping
1. Centralize Invoice Collection
AWS Bookkeeping can help you streamline invoice receipt by creating a centralized system. Whether invoices arrive digitally or physically, they are funneled into a unified process for easier tracking.
2. Use Invoice Capture Technology
AWS Bookkeeping services enable automatic extraction of key invoice data, ensuring accuracy in invoice entry and preventing duplication.
3. Implement Fraud Detection
Regular checks for invoice fraud are essential. AWS Bookkeeping provides tools that track anomalies in payment histories and identify unusual invoices before payments are processed.
4. Increase Visibility Across AP Workflow
With AWS, your AP system provides full visibility into payment statuses, ensuring no invoice is paid twice. Unique invoice numbers, status updates, and alerts help prevent duplicate payments.
5. Adopt Electronic Payments
Reduce errors by using electronic payment methods such as ACH, which offer better tracking and fewer risks than paper checks.
6. Minimize Human Error
AWS Bookkeeping automates invoice approval and payment processes, reducing the chance of human error. With standardized procedures and automated checks, duplicate payments are less likely.
7. Go Paperless
A paperless AP process is easier to manage. AWS services ensure all documentation is stored digitally, reducing the risk of lost or misplaced invoices.
8. Use AP Automation for Duplicate Detection
AWS Bookkeeping’s automation tools check for duplicate invoices before processing payments. This system flags potential duplicates for manual review, preventing errors.
Final Thoughts
Duplicate payments can be avoided by implementing the right strategies and leveraging AWS Bookkeeping services. By streamlining processes, enhancing visibility, and automating AP workflows, your organization can save time, and money, and improve vendor relationships.
Adopting AWS Bookkeeping helps your team prevent costly errors, leading to increased efficiency and cost savings for your company.
With our professional bookkeeping services Plan, we offer tailored solutions to meet the unique and complex financial needs of large organizations. Contact us today for a customized quote and discover how our outsourced bookkeeping services can streamline your financial operations and drive greater efficiency and accuracy in managing your finances.
