A remittance advice is a statement that accompanies a payment to a supplier, detailing what was paid. The supplier uses the information on a remittance advice to flag outstanding receivables in its accounting system as having been paid. A remittance advice is frequently printed as an attachment to a check payment. It includes the invoice number and payment amount for each invoice paid. The use of this document can be considered a best practice, since it prevents the recipient of a payment from needing to contact the sender to discuss what was included in the payment.
When a business makes an electronic payment, it can still issue a remittance advice, which is typically contained within an email.