Labour hire invoicing in foundU

Invoicing in foundU is primarily designed for labour hire businesses, where employee costs are passed on to clients, but it can also be used by any business that invoices for labour and related costs.

Because invoicing is closely linked to payroll, it's important to consider your setup from the beginning. The way you configure Awards & Agreements, Operations, rates books, and charge rates determines how employees are paid and what your clients are invoiced.

Refer to the workflow below for a high-level overview of the invoicing process.

Now let's look at each stage in more detail:

• Awards & agreements – Configure your employee pay rules, minimum pay rates, allowances, and rates book templates. 
  • Every pay rate created in Awards & Agreements requires a corresponding charge rate, which is configured later in the Operation rates book. 
  • Pay rules also automatically apply the correct rates when conditions such as overtime or penalties are met.
• Operations – Operations are typically created for each client you invoice.
  • Additionally, you can also create Operations as No charge (non-invoicing) for internal departments, such as office staff. 
• Operation rates books – Every Operation requires a rates book before employees can be rostered. The rates book defines the positions and charge rates used when invoicing that client.
  • Each Operation has its own rates book, allowing different clients to have different charge rates.
  • rates books are configured per state, so an Operation can have multiple rates books if employees work across multiple states.
  • Every pay rate has a corresponding charge rate, meaning each pay rate for both permanent and casual employees requires its own charge rate.
  • Each position can only appear once within a rates book. If you need multiple charge rates for the same position, you'll need to create additional positions.
  • Allowances can also have Operation-specific charge rates where required.
    
      Hot tip: If you use the same award, pay rates, and charge rates across your clients, setting up and using a rates book template can streamline this process for you.
• Rostering & approving shifts – When shifts are rostered and approved against an Operation, foundU automatically applies the relevant pay rules and charge rates. This creates the link between the employee's work, payroll, and the client invoice.
• Paying employees – Review payslips, make any required edits or adjustments, and complete payroll before generating invoices. 
  • Invoices have a 1:1 relationship with payslips, so they reflect the payslip values at the time the invoice is created. Payslip edits made or adjustments created before the invoice is generated will be applied, but changes made afterwards won't automatically update existing invoices.
• Invoicing clients – Once payroll has been processed, generate your Pending Invoices, review them, issue them, and send them to your clients.
• Debtor management (optional) – Track invoice payments using Debtor Manager, or export invoices to your accounting software, such as Xero or MYOB, to manage debtor activities externally. A SAP export is also available.

Key invoicing considerations

With your Awards & Agreements, Operations, and rates books configured, invoicing itself becomes largely automatic, but the accuracy of that output still depends on how well your invoicing process aligns with your payroll process. 

Before generating your first invoice, keep the following considerations in mind to help ensure your invoices are accurate and easy to reconcile:

• Match your invoice period to your pay period - Invoice lines are generated from processed payslips, so your invoicing frequency should align with your payroll frequency. For example, if you process payroll fortnightly, you should also generate invoices fortnightly using the same pay period.
• Avoid running out-of-cycle invoices - Generating invoices outside your normal payroll cycle can make reconciliation more difficult and increase the risk of missed or duplicate charges.
• Complete payroll before generating invoices - It's best practice to finalise all your payroll for the period before generating your invoice in one go. If changes are needed after an invoice has already been generated, update the existing invoice manually (by editing the current invoice and reissuing it or applying a credit note) rather than generating a new invoice for those changes.

• Adjustments after invoicing should be done manually - As best practice, any changes or adjustments made after an invoice has already been generated should be applied manually to that invoice, rather than relying on a newly generated invoice to pick them up. Once an invoice has been generated, it is no longer linked to the payslip.

  This means that if you create an adjustment, one of two things will happen, depending on what you have changed:

  • Updated existing items - Any changes made to items that were already on the invoice at the time it was generated will not be picked up (e.g., changing 3 hours to 6). This is because the link has been severed; the platform won't recognise that a new invoice needs to be generated.
     
  • New line items - Line items or shifts added (e.g new allowance, or pay rate) after the invoice has been generated can have a new invoice generated for those items. However, we advise against this approach, as any existing line items you have updated will not be included. It's best to generate invoices once, then apply any manual changes via edits.

Invoices don't have to be one-size-fits-all. foundU lets you control how your invoices are displayed and split, as well as which items are actually charged to your clients. Below, we've broken down the key settings so you can find the right guide for what you need to customise.
 

Quick settings

Quick settings let you control how invoices are displayed or split for each Operation. Since these are configured per Operation, you can tailor invoice behaviour to suit each client's requirements.

You'll find Quick Settings on each Operation's page, letting you toggle invoice behaviour such as:

• Splitting invoices by purchase order
• Grouping invoice line items by employee
• Including the worked date on invoice line items
• Including the roster time on invoice line items

  Each of these is covered in more detail in its own guide here. 

Operation settings

Beyond Quick Settings, there are a few other places within an Operation where you can customise what appears on your invoices. This includes:

• Invoice ID numbers – Customise the starting number for invoices generated under an Operation. This is particularly useful if you're moving from another system and want to keep your invoice numbering consistent going forward.
• Fixed margin charge rates – When setting up a charge rate in your rates book, there are two options:
  • You can add charge rates manually to each pay rate, allowing you to customise each rate individually if needed. 
    
      Hot tip: If you choose to add your rates in manually, you can create a rates book template. This is beneficial if you have standardised rates you charge out, as it means all rates will pre-fill automatically when the template is selected.
     
  • Alternatively, you can automate charge rates (fixed margin), so they're calculated based on the margin and on-cost variables you've set up for the Operation (e.g., Payroll Tax, Superannuation, Work Cover, and any additional variables you add). 
     

Making items non-chargeable

Every item that can be invoiced in foundU requires a charge rate. This includes employee positions in a rates book, as well as allowances, pay items, and shift penalties.

Charge rates determine what your clients are billed, but not every item needs to be chargeable. You can configure individual items or entire Operations to be excluded from client invoices where required.

Common examples where you may not want to charge a client include:

• Internal Operations, such as office staff
• Bonus payments or other non-billable pay items
• Allowances or penalties that are paid to employees but not passed on to the client

You can customise what is invoiced by:

• Operations – Use the Set as 'No charge' Operation quick setting to prevent shifts worked under an Operation from being included on client invoices.
• Allowances, pay items and shift penalties – Set individual items to 'No charge' so they aren't billed to the client.
• Leave and TOIL – Configure whether leave and TOIL are charged to clients using the quick settings. These are not charged by default but can be enabled if required.
• Payslips - When editing a draft payslip, you can mark specific positions on the payslip as No charge (or vice versa). This will prevent the creation of an invoice for all line items under that position. 

Before you issue your first invoice to a client, it's worth confirming two things: who should actually receive it, and how they'll be able to pay it. Getting these right upfront avoids invoices bouncing to the wrong inbox or clients not knowing where to send payment.
 

Who receives the invoice

By default, invoices go to the accounts email set up on the Operation. This is the simplest option and needs no further setup; it's worth confirming it's correct before you send your first invoice.

You can customise this further in 2 different ways: 

• Including additional recipients to receive their own copy of the invoice
• Splitting your invoices by purchase order and sending each part of the invoice to a seperate email address. 

Adding additional recipients

If more than one person needs a copy, such as if your client wants their accounts team and site manager both included, you can add additional invoice contacts to the Operation. 
 

To add additional recipients:

1. From the required Operation, navigate to Details > Details and select Edit.
2. Locate the accounts email field. From here, you can:
   • Update the current recipient – Edit the email currently in the accounts email field.
   • Add a new recipient – Select Add Email, then provide the additional address in the new field.
3. To save your changes, navigate to the bottom and select Save.

  If you need to update other details, such as their business address or ABN, this can be done in the Details section. For more information on how to do this, refer here.

Splitting invoices

If your client requires invoices to be split across different people within their organisation, you can also split invoices by purchase order. This option creates a separate invoice for each purchase order used during the pay period, with each invoice emailed to its relevant contact.
 

To split invoices by purchase order:

1. From the Operations' Quick Settings, enable Split invoices by purchase order.
2. Next, navigate to Business > Invoice Contacts. Here, you'll see a list of purchase orders linked to your Operation. New purchase orders will automatically appear in this list as they're created. 
   
    Warning: If you delete any of the listed purchase orders, they cannot be re-added. Additionally, if you have no purchase orders set up, you won't be able to action anything in Invoice Contacts. 
3. To add a contact, select the edit (pencil) icon, then select the add (plus) icon. You can add additional recipients by selecting the plus icon again.
4. Enter the required email and select Save.

  Please note: if a purchase order is left blank or has been deleted, a separate invoice will still be created if that purchase order is used. In this case, the account's email setup on the Operation will act as a backup and receive that invoice instead.
 

Payment details

Each time an invoice is generated, its payment details are included as part of the invoice. These details cover everything your client needs to pay by electronic funds transfer, including your BSB and account number, so they can pay their invoice by direct transfer.

These details are set up in your Office Codes. Each Office Code has its own invoice payment details, so if clients need to pay into different accounts or require different instructions, simply assign the relevant Office Code to the Operation. Its payment details will then appear automatically on any invoices generated for that Operation.

  For a full walkthrough of setting these up, including adding payment instructions for your clients, refer to our guide on Office Codes.

Clients don't always wait until an invoice lands to ask what they're being charged for, and disputes are far easier to avoid than to resolve after the fact. Giving your client visibility into shift data, before and/or after invoicing, is one of the most effective ways to reduce queries and build trust.

There are four ways to give clients this visibility, depending on how hands-on you'd like them to be:

• Set up supervisor sign-off - This feature is available when your employees use the submit shifts method for timekeeping. With this option, your employees will need to get the on-site client representative to sign off on their shift at the end of the shift.
  • This method is done on the employee's phone, so it must be signed off on a per-employee basis.

  • If an employee cannot get a sign-off, they must provide a reason as to why.

    

• Provide admin access – Set up your client as an admin user. Using user permissions, you can limit them to the Approve Shifts page only, and using search restrictions, limit their visibility to their roster and/or Operation only.
  • This allows your clients to log in and approve shifts themselves, in-platform.
  • There is no view-only access with this option, so if a client can view Approve Shifts, they can also edit and decline shifts.

  • While this method takes a little extra setup, as you'll create new search restrictions for each new client you onboard, it's the best option for hands-on clients who want direct control.

    

• Set up a CSV export – Create a custom CSV export from Approve Shifts, which you can save for quick loading.
  • Once exported, you can send it on to your clients using your usual email provider.
  • Best for clients who want visibility but prefer working outside the platform.

  • Also useful for keeping an email trail of shift approval confirmations before generating payroll or for audit history.

    

      Hot tip: Approve Shifts also has a CSV import. This means you can export your Approve Shifts data and send it to your client to review, edit, and sign off on (giving them a way to approve shifts without needing direct access to the platform). Once they've reviewed it, simply reimport the file to approve the shifts.

• Downloadable timesheets – This method works with the submit shifts feature, where employees can upload an image of a physical timesheet. Once invoices are generated, you can download the attached timesheets as a ZIP file in bulk and then send them to your clients via your usual email provider. We'll explore this option in more detail below.

Downloadable timesheets

If you have physical documentation on-site, such as a timesheet, you can upload a file to keep alongside the shift record. This is particularly useful for clients who like to keep their own record of hours worked to compare against their invoices, or for any business that wants an extra layer of verification for their approved shifts.

Once uploaded, these files can be viewed individually in-platform or downloaded in bulk as a ZIP file after invoices have been issued. Below, we'll walk through how to submit a file, review submitted timesheets, and download them once your invoices are issued.

• Submitting shifts – This process is exclusive to submit shifts. Once an employee has submitted their hours, they can select the Add Timesheet button to upload their file.

  
   

• Reviewing submitted timesheets – Once a timesheet has been submitted, it can be viewed in a few different places:

  • Approve Shifts – Select the timesheet icon to open the timesheet in a drawer for review.

     
     

  • Payroll – From the Timesheet ID, expand the record and select View Timesheet File. This can also be done from the Timesheets page using a similar method.

     

• Downloading timesheet files – Once an invoice has been issued, you can download all attached timesheet files into a ZIP folder to send to your clients.
   

To download attached timesheets:

1. Navigate to Invoices > Invoicing > Issued.
2. Apply the relevant filters for your preferred date range and Operation.
3. Select the required invoices, either individually or in bulk by selecting the checkbox in the blue bar.
4. From Bulk Actions, select Download Filtered/Selected Attached Timesheets.

How do I update a client's invoice address or contact details?

Invoice contacts and payment details are managed at the Operation level, so any changes you make will apply to future invoices generated for that client.

You can make updates such as:

•  Changing the receiver email
• Sending invoices to multiple email accounts
• Updating the client's address, or 
• Splitting invoices per Purchase Order and emailing them to different people

Refer to the Invoice contacts & payment details section above for more details.

How do I delete an invoice, and what should I be aware of?

Both pending and issued invoices can be deleted. However, there are a couple of things to be aware of before deleting an invoice:

• Once an invoice is deleted, it cannot be regenerated. If you need it again, you'll need to create it manually.
• Deleting an issued invoice can also create discrepancies in your Sales/GM report, as you may still see the invoice reflected there even after it's been deleted. If you do want to delete an issued invoice, we'd advise editing it and zeroing out the line items first, rather than deleting it outright.

Alternatively, given this, deleting isn't usually the right approach for correcting an issued invoice. In most cases, you'll want to edit and reissue the invoice or apply a credit note to ensure a clear record of the correction rather than a gap in your invoice numbering. 

How is my charge rate calculated — what's included and what's markup/margin?

Charge rates can be calculated and entered into your rates books using 2 different methods:

• Manual entry - Specify the specific charge rates by either entering them individually or loading a template.
  • This method, which gives you full control as you're specifying the exact charge rate. This also allows you to set different charge rates for different pay rates where needed.
  •  However, you will need to include all on-costs in your calculation before entering the charge rate.  
    
      Refer to our article on rates book templates on how to apply your charge rates.
     
• Fixed margin  - Alternatively, you can use a fixed margin. With this method, foundU uses what you've configured in your Operation for Payroll Tax, Superannuation, Work Cover, and any additional on-costs to automatically calculate your charge rate. 
  • With this method, the calculation is automatic once you have enabled fixed margin. 
  • You are also unable to edit your charge rates whilst fixed margin is being used for your Operation
    
      See Margin configuration and calculations for a full breakdown of how margins are calculated and how to review yours.

Why doesn't my invoice match my payroll figures exactly?

Invoices have a 1:1 relationship with payslips, so they reflect the payslip values at the exact time the invoice was generated. A mismatch can usually be explained by one of the following:

• Timing - The invoice reflects pay as it was processed at the time it was generated, so any later changes won't be reflected automatically.
• Rounding - Small rounding differences can occur between payroll and invoicing calculations.
• No charge - Entitlements or allowances you've chosen not to invoice for a given Operation.

  Contact us: If the mismatch is unexpected rather than explained by one of these, contact support and we'll help you track it down.

Can a client dispute or query an invoice through foundU?

No — foundU doesn't have a built-in dispute or write-off workflow. 

Any query or dispute is handled directly with your client outside the platform, and any resulting adjustment is applied manually, either through an edited/reissued invoice within your platform or a credit note. 

What happens if I generate an invoice for the wrong period or client?

If the invoice is still pending, simply delete it and regenerate it for the correct period or client. If it's already been issued and sent, you'll need to correct it with a credit note, or by editing and reissuing the invoice, so there's a clear record of the correction. 

  See the Invoicing article for a full walkthrough of generating and managing invoices.

Does resending an invoice charge the client again?

No. Resending simply re-sends the existing invoice email to your client — it doesn't create a new charge, a new invoice, or duplicate anything in your records.