Balancing is the adjustment that reconciles the amount on your first invoice with the actual cost of your team for the month. Your first invoice is based on contracted amounts. Changes during the month, such as bonuses, overtime, leave, expenses, late inputs or exchange-rate differences, can make the final cost different. Balancing can be positive (if we charged less than the actual cost) or negative (if we charged more).
How the difference is settled depends on its size:
- No payroll inputs: there is nothing to balance. The backup file matches your first invoice, which we re-send once the backup file is ready.
- Difference above 250 (in your invoice currency: £, $ or €): we issue a second invoice for the difference, so you receive two invoices and one backup file for the month.
- Difference below 250: no new invoice is issued. The adjustment is added to the following month's invoice as a "Balancing" line, with an explanation. The backup file is attached to your first invoice, which we re-send in the current month. The summary in the backup file will differ from your first invoice by this amount, and the detail is on the "Invoice reconciliation" sheet.
