Why it matters for builders
- Variations arrive as separate claims. A claim that includes variation work with no approved variation order is the most common way a job goes over budget.
- Retention is held back on each claim. If the retention line is wrong, you pay out money you were meant to hold until practical completion.
For builders in IFS Cloud
- Match subcontractor invoices to payment certificates, not purchase orders. Type the subcontract number in the Sub Contract Ref field on Manual Supplier Invoice, then match the certificates. The certificate must be Certified first. You need IFS Contract Management as well as Invoice.
- Use Match Certificates per Line to open the Post from Sub Contract dialog. To match an invoice line fully, the Remaining value must be zero. When the invoice is saved, a voucher is created with the final cost postings from each certificate line.
- For materials bought on purchase orders use delivery receipt level matching when one order has several deliveries. Receipt references let the postings come across automatically.
- Plan on manual matching. Automatic matching of subcontract invoice lines to certificates is not available.
- You can match an invoice to an order before the goods are registered as arrived. Once they arrive the invoice is matched automatically.
- On each order line you can alter the quantity, gross and net price, discount and additional cost before the match is saved.
What IFS Cloud does on its own
Match to PO receipts and sub contract certificates.
- Needs Purchasing
You can enter an invoice before goods arrive. Run Match Invoices with new PO Receipts once they do.
What you need and the setup steps: PO matching for IFS Cloud.
Example
Example Concreting Pty Ltd holds a subcontract purchase order of $80,000 ex GST for slab works on project 214. Claims 1 and 2 already total $55,000 ex GST. Claim 3 arrives for $30,000 ex GST.
| Line | Amount | What the check finds |
|---|---|---|
| Claim 3 slab pour, level 2 | $30,000.00 | Claim brings the total to $85,000, which is $5,000 over the order |
| Retention held at 5% | -$1,500.00 | Matches the retention rate on the order, so this line is fine |
Claims to date now pass the order value by $5,000. The claim goes to the project manager to confirm a signed variation before it is approved.
Common mistakes
- Matching each claim to the full order value instead of the balance left after earlier claims.
- Paying a variation line because the work was done on site, with no signed variation order behind it.
Step-by-step guides for IFS Cloud
- How to match a supplier invoice to a purchase order in IFS Cloud
- How to handle a partial delivery against a purchase order in IFS Cloud
- How to set a price tolerance on purchase order matching in IFS Cloud
What Pulsify adds
Pulsify matches each bill line to a purchase order line and flags extra quantity, a different price or lines not on the purchase order. Pulsify connects to IFS Cloud. We set up the connection for you. More about PO matching in Pulsify or Pulsify for builders.
More help
- PO matching in MYOB Acumatica for builders
- PO matching in Sage 300 CRE for builders
- PO matching in Sage 300 for builders
- Invoice approvals in IFS Cloud for builders
- Line item coding in IFS Cloud for builders
- Invoice fraud checks in IFS Cloud for builders
- Duplicate invoice checks in IFS Cloud for builders
- All IFS Cloud how-to guides
Sources
Last checked 2026-10-19.
- docs.ifs.com/ifsclouddocs/26r1/lang/en/SupplierInvoicing/ActivityMatchSubContractperLine.htm
- docs.ifs.com/ifsclouddocs/25r2/lang/en/SupplierInvoicing/ProcessSubMatchSuppInvSubContr.htm
- docs.ifs.com/ifsclouddocs/25r2/SubConValuation/AboutSubContractValuation.htm
- docs.ifs.com/ifsclouddocs/25r2/lang/en/SupplierInvoicing/ActivityMatchPOAutomatically.htm
- community.ifs.com/supply-chain-251/sub-contrat-invoice-matching-36248
- docs.ifs.com/ifsclouddocs/26r1/lang/en/SupplierInvoicing/ProcessSubMatchSuppInvPurchOrd.htm
- www.nsw.gov.au/housing-and-construction/compliance-and-regulation/security-of-payment/responding-to-a-payment-claim
- www.qld.gov.au/securityofpayment
Common questions
Can IFS Cloud match a subcontractor invoice to a certified valuation?
Yes. Enter the Sub Contract Ref on the invoice and match it to the certified payment certificate, in full or line by line. The certificate moves to Partially Invoiced or Fully Invoiced. The match is manual, and posting proposals for subcontract matches are not authorised automatically.
Can I match a progress claim to a subcontract order?
Yes. Match it against the order's remaining balance, not its total. Each claim should be checked against the value claimed to date, any approved variations and the retention rate agreed in the subcontract.
What are the matching levels in IFS?
Header, delivery receipt and line. Header ties one balancing posting to the invoice total. Line uses order, part, quantity and amount.
Pulsify setup guides
Want this done for you?
Book a call to see how Pulsify handles PO matching in IFS Cloud for builders.