PO matching: Meaning and Definition

What does PO matching mean?

PO matching is another name for Invoice Matching. Invoice matching is the process of comparing a vendor invoice against supporting documents such as purchase orders and goods receipt notes to verify accuracy before approving payment.

The two names mean the same thing. You will see "PO matching" in some ledgers, reports and contracts and "Invoice Matching" in others. The full entry covers how it works, with examples.

Read the full definition of Invoice Matching

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From the glossary

Related terms.

3-way matching Invoice Matching Invoice matching is the process of comparing a vendor invoice against supporting documents such as purchase orders and goods receipt notes to verify accuracy before approving payment. Also called 3-way matching, three-way match, 2-way matching Accounts payable Accounts Payable (AP) Money a business owes to its suppliers and vendors for goods or services received but not yet paid for. Also called trade payables, sundry creditors, payables Invoice processing Invoice Management The end-to-end process of creating, receiving, tracking, approving, and processing invoices for timely payments and accurate financial records. Also called invoice processing, invoice handling, invoice workflow Input tax credit Input Tax Credit (ITC) A mechanism that allows businesses to claim credit for GST paid on purchases and expenses, reducing their overall output tax liability. Also called input credit, GST input credit, input tax credit under GST GST reconciliation GST Reconciliation The process of matching your purchase records with supplier-filed GSTR-2A/2B data to ensure accurate and compliant Input Tax Credit claims. Also called GST recon, GSTR reconciliation, 2A/2B reconciliation 3-way matching Goods Receipt Note (GRN) A goods receipt note is a document created when goods are physically received at the buyer's location, recording the quantity, condition, and details of items delivered against a purchase order. Also called goods received note, goods receipt, material receipt note

From the blog

Related posts.

AP What is 3-Way Matching in Accounts Payable? Process and Example 3-way matching checks the purchase order, goods receipt note and supplier invoice against each other, so you pay only for what you ordered and received. Dhatri Medarametla 8 Feb 2026 3 min

Procurement What is Procure to Pay (P2P)? Process, Cycle and Steps Procure to pay (P2P) is the cycle from a purchase request to supplier payment: requisition, purchase order, goods receipt, invoice matching and payment. Dhatri Medarametla 2 Feb 2026 3 min

Procurement What is a Purchase Order? Format, Process and PO vs Invoice A purchase order (PO) is the document a buyer sends a supplier to confirm what it is buying, in what quantity, at what price and terms, before delivery. OneFinOps Editorial 29 Dec 2025 3 min