Goods Receipt and Invoice Verification

Goods arrive, an invoice follows, and payment is made. This second half of the process is where stock and accounting actually move.

Goods receipt

Receiving is done in MIGO with reference to the purchase order, entering what actually arrived.

Receiving a stock item (movement type 101)

Dr Raw material inventory   100,000
     Cr GR/IR clearing          100,000

The amount comes from the order price and received quantity. Under standard price control, inventory is valued at standard and the difference from the order price posts to a price difference account.

Movement types around receiving

Type	Meaning
101	Goods receipt against a purchase order
102	Reversal of 101
103	Receipt into GR blocked stock
105	Release from GR blocked stock
122	Return to vendor
161	Issue against a returns order

Where received stock lands

Unrestricted stock: immediately usable; the default
Quality inspection stock: where QM is active, moved to unrestricted after inspection passes
Blocked stock: known to have a problem or held pending a decision
GR blocked stock: physically received but not yet formally taken into stock (movement type 103)

Invoice verification

Vendor invoices are processed in MIRO. Entering the purchase order number brings up the receipts against it for comparison.

Differences the match detects

Difference	What it means	Example
Quantity	Invoiced quantity differs from received	100 received, 110 invoiced
Price	Invoiced price differs from ordered	Ordered at 1,000, invoiced at 1,100
Date	Delivery earlier or later than agreed	Where date checking is active
Value	Quantity times price does not equal the invoice total	Rounding differences

Tolerances and blocking

Stopping on every difference would be unworkable, so tolerances are configured — as absolute amounts and as percentages, with separate upper and lower limits.

An invoice outside tolerance still posts, but with a payment block: the liability is recognised while payment waits.

GR-based invoice verification

Ticking GR-based IV on the order item matches invoices against individual goods receipts rather than the order as a whole.

With it active, quantities not yet received cannot be invoiced. Where deliveries and invoices come in matching instalments it improves accuracy; where they do not line up it becomes awkward.

Invoice entry patterns

Situation	How to handle it
A normal invoice against an order	MIRO referencing the order
An invoice with no order, such as an expense	Post directly in FI with FB60
Unplanned delivery costs such as freight	Add as unplanned delivery costs in MIRO
A credit memo	Change the transaction type in MIRO

📖 Unfamiliar term? Look it up in the SAP glossary.