---
id: 6d6b0003
title: Collecting Payments, Invoices and Active Bills
summary: How Mkodisha bills rent, takes payment by M-Pesa, bank or cash, matches each payment to the right tenant, and sends receipts by itself.
audience: Landlords and property managers
order: 3
keywords: payments, invoices, receipts, M-Pesa, paybill, bank, Tuma, active bills, recurring invoices
updated: 2026-10-23
cover: ../media/payments-transactions.gif
---

# Collecting Payments, Invoices and Active Bills

> **In one sentence:** Mkodisha sends each tenant a rent bill (an invoice) every month, collects the money by M-Pesa or bank, ticks the bill off when it is paid, and keeps a receipt for everyone.

## The simple version

1. On the 1st of the month, Mkodisha writes a **bill** for every tenant: "October rent, KES 35,000".
2. The tenant **pays**: from the app (an M-Pesa prompt pops up on their phone), straight to your paybill, or in cash.
3. Mkodisha **matches** the money to the right bill and marks it paid. If only part is paid, it shows what is left.
4. Everyone gets a **receipt**, and your charts update.

You do not need to type anything for steps 1, 3 and 4.

## Why Mkodisha does this better

- **Money goes straight to you.** With your own M-Pesa paybill, Mkodisha only *reads* the payments; it never holds your money. With Tuma, rent is paid out to your bank account.
- **No more matching by hand.** Payments with the right house number match themselves. The few that don't wait in one list for you to sort with two clicks.
- **Partial payments are handled.** Pay KES 18,000 of 45,000 and the bill shows *Partially paid*, KES 27,000 left.
- **Overpayments are not lost.** Extra money pays the tenant's newest unpaid bill first; anything left over goes into their wallet for next month.
- **Invoices create themselves.** Set a tenant's rent once and Mkodisha raises the bill every month.

## Where to find it

| What | Link |
|------|------|
| Payments page (all transactions) | [mkodisha.com/app/containers/Pages/Invoices](https://mkodisha.com/app/containers/Pages/Invoices) |
| Tenant payment records | [mkodisha.com/app/containers/Pages/Invoices#tenant-payment-records](https://mkodisha.com/app/containers/Pages/Invoices#tenant-payment-records) |
| M-Pesa paybill transactions | [mkodisha.com/app/containers/Pages/Invoices#mpesa-paybill-transactions](https://mkodisha.com/app/containers/Pages/Invoices#mpesa-paybill-transactions) |
| Unresolved / resolved paybill payments | `#unresolved-transactions`, `#resolved-transactions`, `#mpesa-analytics` on the Payments page |
| Your payment methods | [mkodisha.com/app/containers/Pages/Bill#tenant-billing-and-monthly-charges-management](https://mkodisha.com/app/containers/Pages/Bill#tenant-billing-and-monthly-charges-management) (avatar menu → **Billing**) |
| A building's automatic invoices (Active Bills) | Properties → **Automated Bills**, or `mkodisha.com/app/rental-units/<building id>/active-bils` |

## Payments and invoices: what's the difference?

| | Invoice | Payment (transaction) |
|---|---------|----------------------|
| What it is | A bill: "you owe October rent" | Money actually received |
| Example | *Monthly Rent, OCT 2026, KES 45,000* | *KES 18,000 by M-Pesa on 12 Oct* |
| Status | Unpaid, Partially paid, Paid | Confirmed, Processing, Failed… |
| Reference | A 7-character payment ID the tenant can quote | The M-Pesa or bank transaction code |

One invoice can be paid by several payments (for example two halves), and one payment can pay off more than one invoice.

## Step 1: See every payment

![The Payments page: every transaction, then the Analytics tab](https://articles.mkodisha.com/guides/media/payments-transactions.gif)

Open **Payments** in the menu. **Tenant Payment Records** lists every confirmed payment: the transaction ID, tenant, building, house, which month it paid, the status, the amount and how it was paid (M-Pesa, Tuma/bank or Manual). Search, filter, print or download it as a spreadsheet with the buttons on the right. The **Analytics** tab shows collections as a chart.

## Step 2: Open a receipt

![Clicking Invoice on a payment opens its receipt](https://articles.mkodisha.com/guides/media/payments-receipt.gif)

Click **Invoice** on any payment to see the receipt, ready to print or send. Tenants see the same receipts under **Receipts**.

## Step 3: Record cash or a direct bank deposit

![Recording a payment for Esther Chebet, house A9, by hand](https://articles.mkodisha.com/guides/media/payments-record-cash.gif)

1. Click **Add Payment**.
2. Choose the **Property** and **House/Unit**. The tenant fills in automatically, with their current balance.
3. Choose the **Payment Month**. Mkodisha shows what is still owed for it. Tick **Allow custom amount** to type a different amount.
4. Choose the **Payment Channel** (the bank or method), optionally type a confirmation message, and click **Submit Payment**.

The invoice is updated and the tenant is notified.

## Step 4: Sort M-Pesa payments that didn't match

![Matching Kevin Mutua's "rent sept" paybill payment to his September invoice](https://articles.mkodisha.com/guides/media/payments-mpesa-match.gif)

When a tenant pays your paybill with their **house number** as the account number (for example `A3`), Mkodisha matches it by itself; it appears under **Resolved Transactions**.

If they typed something else ("rent sept", a phone number, the wrong house), the payment waits under **Unresolved Transactions**:

1. Click the **pencil** on the payment.
2. Choose the **Property**, the **Tenant**, and the **invoice** (month) it is for.
3. Click **Submit**. It moves to *Resolved*, the invoice is updated, and the charts refresh.

The **Analytics** tab shows how much came in through the paybill over time.

## Step 5: Let Mkodisha create invoices for you

![Active Bills: automatic invoices, and creating a new recurring charge](https://articles.mkodisha.com/guides/media/payments-active-bills.gif)

**Active Bills** (the **Automated Bills** button on a building) lists every automatic invoice: who it's for, how much, how often, and the **next run** date.

To add one, click **Create Invoice**:

1. **Utility Bill** or **Recurring / Flexible Charge** (rent, parking, service charge…).
2. Choose the tenant (or all tenants), give the charge a title, and either **Enter amount** or **Use tenant rent**.
3. Choose how often: **Bill Once, Daily, Weekly, Monthly, Quarterly, Semester** or **Annual**, and the day of the month.
4. Tick **Automatically generate future invoices** and click **Create & Schedule Invoice**.

When each invoice is raised, the tenant gets a notification with the amount and its payment ID. If they have money in their wallet, Mkodisha uses it on the new invoice straight away.

![The Forecasted Rent panel](https://articles.mkodisha.com/guides/media/payments-forecasted-rent.png)

**Forecasted Rent** (on the same page) shows what each active schedule will bring in, so you can plan ahead.

## Step 6: Choose how tenants pay you

![Your payment methods, and adding a new one: M-Pesa paybill, Tuma bank, or Stripe](https://articles.mkodisha.com/guides/media/payments-payment-methods.gif)

Open the avatar menu (top right) → **Billing**. Under **Tenant Billing & Monthly Charges Management** you'll see your payment methods, and **Add Tenant Payment Method** to connect another:

| Method | How it works | Money goes to |
|--------|--------------|---------------|
| **Personal M-Pesa Paybill** (or till) | You add your paybill's shortcode, key and secret. Mkodisha watches the paybill and records every payment. | Your own paybill. Mkodisha never touches the money. |
| **Tuma (M-Pesa STK push)** | Mkodisha sets up a Tuma account for you. When a tenant clicks Pay, an M-Pesa PIN prompt pops up on their phone. | The bank account you choose (any of 42 banks and saccos). |
| **Stripe** | Card payments, for tenants paying by Visa or Mastercard. | Your Stripe account. |

Each building uses one of your methods (shown as **Method** on its card). The full list of banks, and how tenants pay step by step, is in [Landlord and Tenant Billing](landlord-and-tenant-billing.md).

## How Mkodisha applies money

- A payment made against one invoice (from the app, or a paybill payment with the house number) **pays that invoice first**.
- Anything extra, and any payment not aimed at one invoice, pays the tenant's **newest unpaid invoice first**, then the next newest, and so on.
- Money left after every invoice is paid goes to the tenant's **wallet** and is used on their next invoice.

## Videos

[![Track Mpesa Rent Payments Automatically: Mkodisha Dashboard for Kenyan Landlords](https://img.youtube.com/vi/oWkTg-ZlWy8/hqdefault.jpg)](https://www.youtube.com/watch?v=oWkTg-ZlWy8)

[![Mkodisha: How Tenants Pay Rent Online, an Easy and Secure Payment Guide](https://img.youtube.com/vi/WwncJsC9WhE/hqdefault.jpg)](https://www.youtube.com/watch?v=WwncJsC9WhE)

## Quick answers

**Does Mkodisha keep my money?**
No. With your own paybill, money goes straight to it; Mkodisha only reads the records (with your authorisation from Safaricom). With Tuma, money is paid out to your bank account.

**Can Mkodisha see payments made straight to my paybill, without the app?**
Yes, once your paybill is connected. If the tenant used their house number as the account, it matches automatically; otherwise it waits under *Unresolved* for you.

**What should tenants type as the account number?**
Their house number exactly as it is in Mkodisha, for example `A3`.

**A tenant paid too much. What happens?**
The extra pays their newest unpaid invoice; anything left goes to their wallet for next month.

**How do I record a cash payment?**
**Payments → Add Payment**, choose the house and month, and submit.

**How do I set up monthly rent invoices?**
Open the building's **Automated Bills**, click **Create Invoice**, choose **Use tenant rent**, **Monthly**, and tick **Automatically generate future invoices**.

## Words to know

| Word | Meaning |
|------|---------|
| Invoice | A bill for one month's rent or one charge |
| Transaction | A payment that actually came in |
| Paybill | An M-Pesa business number tenants pay into |
| STK push | The M-Pesa PIN prompt that pops up on a phone |
| Tuma | The payment partner that sends STK pushes and pays out to your bank |
| Resolved / unresolved | A paybill payment matched / not yet matched to a tenant |
| Wallet | A tenant's prepaid money, used on their next invoice |

## Related guides

- [Landlord and Tenant Billing](landlord-and-tenant-billing.md)
- [Bills and Utilities](bills-and-utilities.md)
- [Insights and Analytics](insights-and-analytics.md)
- [How Mkodisha Pricing Works](pricing.md)