Have You Wondered Whether Your Invoicing Software Will Make Your School More Competitive?

Since e-invoicing was introduced in Colombia, schools have faced a series of challenges in complying with the established regulations. However, support tools such as educational software have gradually emerged to help them keep better control of their invoicing and become more competitive.

Although e-invoicing in Colombia was first established in 2005, it was not until 2018 that the National Tax and Customs Directorate (DIAN) set the first general implementation schedule requiring all large taxpayers to start invoicing this way.

Learn more about this topic:E-Invoicing in Colombia

This article takes a closer look at the challenges schools have faced since e-invoicing was introduced and how educational software helps them become more competitive.

What are the main e-invoicing challenges for a school?

While e-invoicing has brought several administrative benefits, it has also created a number of challenges in adapting to the new process, especially when schools lack the right tools.

The main ones include:

1. Issuing deadlines

For every transaction, schools must work with specific rules and deadlines, many of them mandatory.

2. Quick error resolution

Because e-invoicing makes documentation more transparent and there is zero tolerance for errors, schools need a system that makes it easy to report omissions or mistakes to the DIAN.

3. Difficulties with manual processes

Although e-invoicing means faster, more automated processes, schools that still rely on manual processes tend to face longer planning, execution and control times, along with the risk of falling into unsound practices.

How can you tell that your current e-invoicing system is not right for a school?

Although there are many types of invoicing systems today, not all of them have the filters and planning processes a school needs. A system that is truly suited to the education sector should allow, among other things, the following:

• Recurring, monthly invoicing by predefined groups (such as grade levels)
• Annual planning in a short time
• Adding new charges so they are invoiced immediately or at the beginning of each month

However, most educational institutions tend to use generic accounting systems or the free tools provided by tax authorities. The problem is that none of these options usually offers advanced features such as process automation or useful accounting integrations, which are essential for efficient e-invoicing.

In this context, if, for example, the invoicing system a school uses has no reports on amounts invoiced, collected and outstanding, it is a weak system that most likely also lacks the filters needed to obtain up-to-date information for decision-making.

Remember: the more incidents there are, the more cumbersome operations become and the higher the school's operating costs.

How does educational software help schools with e-invoicing?

Educational software goes beyond handling e-invoicing: once implemented in a school, it can become a very useful tool for both the institution and parents.

Some of the benefits a school's administrative team can gain from this smart solution are:

1. Issuing invoices and updating data

Educational software makes both issuing invoices and updating data much more user-friendly. For example, if a student's family has moved and the address needs to be changed for invoicing, the solution makes this an easy process for both parties.

The same applies to every process parents need to complete: from updating personal information, to checking charges, to paying what they owe.

2. Faster payments

Educational software not only ensures that a school completes its e-invoicing process correctly and on time, but also speeds up the payments parents need to make. At the same time, it makes it easier to send announcements about all the activities and processes that need to be completed.

For example, when a school's re-enrollment period is approaching, the software sends families an announcement so they can complete the process and payment on the platform.

The same applies to the services the school offers: the parent or guardian selects the services they want, these are invoiced and can then be paid immediately.

3. Keeps every role in its place

Parents can spend quality time with their children instead of spending time on tasks they can do from the comfort of their home.

Educational software makes a school competitive by keeping its invoicing and collection operations easy for students' families.

4. Greater control

Finally, educational software provides much more control by linking invoicing to different items, such as tuition, extracurricular activities and school transportation, among others.

What is the best accounting tool for a school's administrative team?

Phidias is an academic management system with a treasury module that provides all the tools needed to handle invoicing, collections and accounts receivable.

This educational software is authorized by the DIAN to issue electronic invoices to third parties, and because it centralizes all of a school's information, the administrative team can access all the data it needs to keep proper control.

In addition, as a solution designed for schools, it offers features that enable efficient planning that meets the needs of educational institutions.

When it comes to reporting, Phidias gives the school a detailed view of amounts invoiced, collected and outstanding (by aging, grade or item). All this data makes it easier for the institution to make budget decisions.

Phidias can also integrate with various accounting and online payment systems, making it a highly flexible tool for the school.

The perfect complement to this software is the Education Intelligence module, which lets you build custom reports with up-to-date information from the treasury module, among others.

If you would like to learn more about all the features Phidias offers, not only for schools' administrative and financial teams but also for overall academic management, don't hesitate to contact us!

Since e-invoicing was introduced in Mexico, schools have faced a series of challenges in complying with the established regulations. However, support tools such as educational software have gradually emerged to help them keep better control of their invoicing and become more competitive.

E-invoicing in Mexico began in 2004, when the Tax Administration Service (SAT) created the legal framework for the Digital Tax Receipt (CFDI). That moment was a turning point for the accounting processes of educational institutions (from preschool to university), which had to comply with the new regulations.

This article takes a closer look at the challenges schools have faced since e-invoicing was introduced and how educational software helps them become more competitive.

What are the main e-invoicing challenges for a school?

While e-invoicing has brought several administrative benefits, it has also created a number of challenges in adapting to the new process, especially when schools lack the right tools.

The main ones include:

1. Issuing deadlines

For every transaction, schools must work with specific rules and deadlines, many of them mandatory.

2. Quick error resolution

Because e-invoicing makes documentation more transparent and there is zero tolerance for errors, schools need a system that makes it easy to report omissions or mistakes to the SAT.

3. Difficulties with manual processes

Although e-invoicing means faster, more automated processes, schools that still rely on manual processes tend to face longer planning, execution and control times, along with the risk of falling into unsound practices.

How can you tell that your current invoicing system is not right for a school?

Although there are many types of invoicing systems today, not all of them have the filters and planning processes a school needs. A system that is truly suited to the education sector should allow, among other things, the following:

• Recurring, monthly invoicing by predefined groups (such as grade levels)
• Annual planning in a short time
• Adding new charges so they are invoiced immediately or at the beginning of each month

However, most educational institutions tend to use generic accounting systems or the free tools provided by tax authorities. The problem is that none of these options usually offers advanced features such as process automation or useful accounting integrations, which are essential for efficient e-invoicing.

In this context, if, for example, the invoicing system a school uses has no reports on amounts invoiced, collected and outstanding, it is a weak system that most likely also lacks the filters needed to obtain up-to-date information for decision-making.

Remember: the more incidents there are, the more cumbersome operations become and the higher the school's operating costs.

How does educational software help schools with e-invoicing?

Educational software goes beyond handling e-invoicing: once implemented in a school, it can become a very useful tool for both the institution and parents.

Some of the benefits a school's administrative team can gain from this smart solution are:

1. Issuing invoices and updating data

Educational software makes both issuing invoices and updating data much more user-friendly. For example, if a student's family has moved and the address needs to be changed for invoicing, the solution makes this an easy process for both parties.

The same applies to every process parents need to complete: from updating personal information, to checking charges, to paying what they owe.

2. Faster payments

Educational software not only ensures that a school completes its e-invoicing process correctly and on time, but also speeds up the payments parents need to make. At the same time, it makes it easier to send announcements about all the activities and processes that need to be completed.

For example, when a school's re-enrollment period is approaching, the software sends families an announcement so they can complete the process and payment on the platform.

The same applies to the services the school offers: the parent or guardian selects the services they want, these are invoiced and can then be paid immediately.

3. Keeps every role in its place

Parents can spend quality time with their children instead of spending time on tasks they can do from the comfort of their home.

Educational software makes a school competitive by keeping its invoicing and collection operations easy for students' families.

4. Greater control

Finally, educational software provides much more control by linking invoicing to different items, such as tuition, extracurricular activities and school transportation, among others.

What is the best accounting tool for a school's administrative team?

Phidias is an academic management system with a treasury module that provides all the tools needed to handle invoicing, collections and accounts receivable.

In addition, as a solution designed for schools, it offers features that enable efficient planning that meets the needs of educational institutions.

When it comes to reporting, Phidias gives the school a detailed view of amounts invoiced, collected and outstanding (by aging, grade or item). All this data makes it easier for the institution to make budget decisions.

Phidias can also integrate with various accounting and online payment systems, making it a highly flexible tool for the school.

The perfect complement to this software is the Education Intelligence module, which lets you build custom reports with up-to-date information from the treasury module, among others.

If you would like to learn more about all the features Phidias offers, not only for schools' administrative and financial teams but also for overall academic management, don't hesitate to contact us!