Importance of Auditing: How to Audit FedEx & UPS Invoices

If your business relies on FedEx and UPS for shipping, you may be overpaying without realizing it. Carriers frequently make billing errors, apply incorrect surcharges, or fail to meet their service guarantees. Invoice auditing helps you identify these issues and recover lost funds. But how do you conduct a proper audit of your shipping invoices? Let’s break it down.

Why Should You Audit Your FedEx & UPS Bills?

Auditing your shipping invoices isn’t just about saving money—it’s about ensuring accuracy and optimizing your shipping costs. Here’s why you should audit your FedEx and UPS bills:

1. Billing Errors are Common – Carriers often charge incorrect fees, apply duplicate charges, or miscalculate weights and dimensions.
2. Late Deliveries Qualify for Refunds – FedEx and UPS offer service guarantees, meaning you may be entitled to a refund if your shipment is late.
3. Incorrect Surcharges – Fuel surcharges, residential fees, and other add-ons can sometimes be misapplied.
4. Duplicate Charges – Sometimes, a single shipment gets billed more than once.
5. Contract Compliance – If you’ve negotiated shipping discounts, auditing ensures that FedEx and UPS honor the agreed-upon rates.

How to Audit FedEx & UPS Invoices Accurately

1. Review Charges Line by Line

Carefully examine each invoice for discrepancies, including:

• Incorrect shipping rates
• Unapplied discounts
• Additional fees that shouldn’t be there

2. Check for Late Deliveries

Both FedEx and UPS have a money-back guarantee for late shipments. Compare the promised delivery time with the actual delivery time and request refunds for any delays.

3. Verify Address Corrections & Residential Surcharges

Carriers frequently charge for incorrect addresses or residential deliveries. If you believe a charge was applied unfairly, you can dispute it.

4. Monitor Weight and Dimensional Pricing

Shipping rates are often calculated based on dimensional weight rather than actual weight. Ensure that the dimensions listed on your invoice match what was actually shipped.

5. Look for Duplicate Charges

Check to see if any shipments have been billed more than once. If so, request a refund.

6. Use an Automated Auditing Service

Manually auditing invoices can be time-consuming. Automated solutions and third-party auditors specialize in tracking and disputing billing errors, helping you recover funds with minimal effort.

Should You Audit Your UPS and FedEx Bills?

Yes! Regularly auditing your shipping invoices can lead to substantial cost savings and prevent unnecessary expenses. Whether you do it manually or use automation, invoice auditing is a crucial step in managing your shipping costs effectively.

By taking control of your shipping invoices, you can ensure your business isn’t overpaying and make the most of your logistics budget. Start auditing today, and you might be surprised at how much you can save!