# How to set a price tolerance on purchase order matching in IFS Cloud

In IFS Cloud, set the tolerance levels on the Invoice/PO Matching tab of the Company page. A gap inside them is posted for you. For a gap outside them, add the difference posting by hand and name who can pass it.

A price tolerance is the gap between the PO price and the invoice price that you accept without a query.

## Before you start

- Supplier PO Matching Level set
- Use Posting Proposal turned on in Company > Invoice > General
- Invoice must reference the PO or the receipt

## The IFS Cloud way

Where to find it: Company > Invoice/PO Matching tab; Enterprise > Supplier > Invoice > General tab

1. On the Invoice/PO Matching tab of the Company page set the tolerance levels and choose Automatic Authorization
2. Set the PO Matching Level on the supplier (header, delivery receipt or line)
3. Differences within tolerance create a posting line and the invoice authorizes itself
4. Tick Always Create Tolerance Posting on the supplier to create the posting line even outside tolerance
5. IFS compares the net invoice amount with the PO total at header level, or each line at line level.
6. A balancing posting line is added automatically when the gap is inside the tolerance on the Invoice/PO Matching tab. Outside it, the line is added by hand.

## Limits in IFS Cloud

- Outside tolerance the difference posting must be added manually and the posting proposal needs manual authorization
- Automatic authorization is not possible when the code parts are not allowed for the authorizer or when the amount needs two authorizers.

## Good to know in IFS Cloud

- At line level the status tells you what happened: Matched, Matched Amount Diff within Tolerance, Matched with Amount Diff, Matched with Quantity Diff or Unable to Match.
- Receipt references are what make automatic matching work when one PO has several deliveries and invoices.

## Example in IFS Cloud

Example Plumbing Supplies has a PO for 40 lengths of pipe at $18.50, so $740.00. Assume the Invoice/PO Matching tab allows a $12.00 gap but not $52.00.

- Invoice for $740.00: $740.00 (Matched, authorizes itself)
- Invoice for $752.00: $752.00 ($12.00 posting added, authorizes itself)
- Invoice for $792.00: $792.00 ($52.00 outside, add posting and authorize by hand)

Two of three invoices clear without a person. The third waits for someone to add the difference posting and authorize it.

## Common mistakes

- Not setting the PO Matching Level on the supplier.
- Choosing Automatic Authorization without setting the tolerance levels on the Invoice/PO Matching tab.

## Common questions

### What are the PO Matching Level choices?

Set it on the supplier as header, delivery receipt or line.

### What happens outside tolerance?

The difference posting must be added manually and the posting proposal needs manual authorization.

### What does Always Create Tolerance Posting do?

Tick it on the supplier to create the posting line even outside tolerance.

### Can I set a tolerance in Pulsify?

No. Pulsify matches to within 1 cent and shows any bigger difference as a flag. Your approver decides.

## Sources

- https://docs.ifs.com/ifsclouddocs/25r2/lang/en/SupplierInvoicing/ActivityMatchPOAutomatically.htm
- https://docs.ifs.com/ifsclouddocs/25r2/SupplierInvoicing/ActivityAutomaticAuthorization.htm

Source: https://www.pulsify.tech/how-to/set-a-price-tolerance-on-po-matching-in-ifs-cloud/ (last checked 2026-10-19)