# How to process 3PL invoices in Xero or MYOB

Enter the 3PL invoice as one bill with a line for each charge type. Give each line its own account and GST code. Check the rates against your agreement, then approve. Repeat the same coding every month.

## Short answer

1. Set up an account for each charge type.
2. Enter one bill with one line per charge.
3. Put GST on each line as the invoice shows it.
4. Check rates against your agreement, then approve.

## Before you start

You need the 3PL's monthly invoice, your 3PL agreement with its rate schedule and your chart of accounts. If the invoice covers several warehouses or brands, decide now whether you split by tracking category, as in [How to split a bill across tracking categories in Xero](/how-to/split-a-bill-across-tracking-categories-in-xero/).

A typical 3PL invoice has storage, inbound receiving, pick and pack, outbound freight, returns handling, special projects and surcharges. The older post [How to process 3PL invoices in Xero and MYOB](/blog/how-to-process-3pl-invoices-xero-myob-australia/) goes deeper on each.

## The manual way in Xero

1. Go to Business > Bills to pay and choose New bill.
2. Pick the 3PL as the supplier. Enter the invoice number, date and due date.
3. Set Amounts are to match the invoice, either tax exclusive or tax inclusive.
4. Add one line per charge. Choose the account and the tax rate for each.
5. Add the fuel surcharge as its own line.
6. Check the bill total equals the invoice total. Save and approve.

Limits. Xero does not remember last month's coding for each line, so you pick the accounts again. It also has no way to compare a line with your agreed rate.

## The manual way in MYOB

Open Purchases and enter a purchase using the Service layout. Pick the 3PL as the supplier, add a line for each charge with an account and a tax code, and record it. MYOB works the same way in that you pick the accounts each month.

## The Pulsify way

1. Forward the 3PL invoice to your Pulsify address each month.
2. Pulsify reads every line and gives each one an account and a GST code, learned from how that 3PL was coded before.
3. To check rates, upload your agreed rate card as a supplier price list. Use a CSV with item code or description and unit price excluding GST. Pulsify flags a line when the unit price is higher or lower than the list. It never blocks the bill.
4. Pulsify also flags a changed bank account and an invalid ABN.
5. Review the flagged lines, then approve. The bill is created in Xero or MYOB.

If the 3PL also sends a monthly statement, Pulsify can check it against the bills you hold. See [How to reconcile a supplier statement to your bills](/how-to/reconcile-a-supplier-statement-to-your-bills/).

## Worked example

Example Fulfilment Pty Ltd bills $4,180.00 ex GST for May:

| Line | Qty | Unit | Amount |
|---|---|---|---|
| Storage per pallet | 40 | $9.50 | $380.00 |
| Pick and pack per order | 1,100 | $2.40 | $2,640.00 |
| Inbound receiving per pallet | 12 | $18.00 | $216.00 |
| Returns handling | 70 | $4.00 | $280.00 |
| Fuel surcharge | 1 | $664.00 | $664.00 |

GST is $418.00, so the bill is $4,598.00. The agreed pick rate is $2.30. The invoice shows $2.40 on 1,100 orders, so it is $110.00 high. Raise it before you approve.

## Common mistakes

- Posting the whole invoice to one freight expense account.
- Missing a new charge type that appears mid-month and coding it like storage.
- Paying a statement total without checking each invoice that makes it up.

## Next step

Try an invoice at [app.pulsify.tech/sign-up](https://app.pulsify.tech/sign-up). Or [book a call](/contact/) to find out how customers have saved hours per week after switching.

Read the [price lists guide](/guides/price-lists/). The free [3PL cost breakdown generator](/free-tools/3pl-cost-breakdown-generator/) shows what a 3PL month costs per order.

## Common questions

### Should a 3PL invoice be one line or many?

Many. Storage, pick and pack, freight and returns are different costs. Posting each to its own account lets you see cost per order and spot a rate rise. A single lump sum hides both.

### Does a 3PL invoice carry GST?

Domestic services such as storage, receiving, pick and pack and returns usually carry 10% GST from a registered 3PL. International freight is generally GST-free. Check each line on the tax invoice.

### How do I check a 3PL's rates each month?

Keep the agreed rates in a list with a code or description and a unit price. Compare each invoice line with it. Pulsify can do this check if you upload the rate card as a supplier price list.

Source: https://www.pulsify.tech/how-to/process-3pl-invoices-in-xero-or-myob/ (last checked 2026-10-19)