---
title: "Invoice coding"
description: "Invoice coding — Assigning each line of a bill to a GL account and the dimensions — department, project, entity — that say what the cost was for. It decides which statement line the expense lands on, so a wrong code is an error of commission."
canonical: "https://lopifi.com/glossary/invoice-coding"
---

# Invoice coding

> Invoice coding — Assigning each line of a bill to a GL account and the dimensions — department, project, entity — that say what the cost was for. It decides which statement line the expense lands on, so a wrong code is an error of commission.

Source: https://lopifi.com/glossary/invoice-coding
Part of: Lopifi — Planned: US GAAP books on autopilot, checked by a CPA (https://lopifi.com)

---

**What is invoice coding?** In accounting, invoice coding means assigning each line of a bill to a GL account and the dimensions — department, project, entity — that say what the cost was for. It decides which statement line the expense lands on, so a wrong code is an error of commission.

## Also known as

- GL coding

## Words this system refuses for it

- categorizing
- tagging

- **Category:** Payables
- **Specified in:** [Lexicon](https://lopifi.com/md/docs/domain/lexicon)
- **Related:** error-of-commission, statement, account, expense, invoice, bill