COD reconciliation sounds like an accounting chore, and it is. It is also the only way to be sure that every rupee your buyers handed to a delivery executive has reached you. Without it, a missing remittance can sit unnoticed for months, and by the time you find it, tracing the parcel is hard work.
This guide sets out what to match, a reconciliation sheet you can build in an afternoon, the mismatches you will meet and what to do about each. For the wider picture of COD costs and remittance cycles, see our guide to COD vs prepaid shipping.
The three numbers you are matching
For every delivered COD order, three amounts have to agree:
- Collected: the COD amount the courier collected from the buyer. Normally the order value shown on the label.
- Remitted: what was paid out for that AWB, to your bank or, where your platform allows it, to your shipping wallet.
- Deducted: any charges your provider took from the remittance instead of billing them separately, such as freight or COD charges.
The rule is simple:
Collected = Remitted + Deducted + Still pending
When “still pending” is zero for an AWB and the cycle has passed, that row is reconciled. When it is not zero after the cycle, you have something to chase.
Not every provider deducts charges from remittances. Many bill shipping from a prepaid wallet, so the deducted column stays empty. Know which model yours uses before you start.
The data you need
| Source | What it gives you | Where to find it |
|---|---|---|
| Shipment export | AWB, order ID, COD amount, delivery date, status | Your shipping dashboard |
| Remittance statements | Remittance number, date, AWBs covered, amount per AWB | Courier or platform remittance section |
| Bank statement | Date and amount of each credit, with reference | Your bank |
| Wallet ledger and invoices | Charges, deductions, wallet recharges from COD | Shipping dashboard, monthly invoices |
Make sure your remittance statements break down to AWB level. Delhivery’s help centre, for example, says sellers can open a remittance number to see the AWBs and COD amounts it covers and download a receipt. If your provider only gives you a lump sum, ask for the breakdown.
Building the reconciliation sheet
Use one row per delivered COD AWB. Here is a layout that works.
| Column | Contents | How it is filled |
|---|---|---|
| A. AWB | Courier AWB number | Shipment export |
| B. Order ID | Your store’s order number | Shipment export |
| C. Delivery date | Date marked delivered | Shipment export |
| D. COD collected | Amount to be collected | Shipment export |
| E. Due date | Delivery date plus your remittance days | Formula: =C2+7 for D+7 |
| F. Remittance no. | Payout reference | Remittance statement |
| G. Remitted amount | Amount paid for this AWB | Remittance statement (lookup) |
| H. Remitted to | Bank or wallet | Remittance statement |
| I. Deducted | Charges netted off, if any | Remittance statement |
| J. Difference | D − G − I | Formula |
| K. Status | Matched, Pending, Overdue, Short, Check | Formula or manual |
| L. Ticket / notes | Ticket number, what was said | Manual |
Bring in the remittance data with a lookup on the AWB. In Excel or Google Sheets, with remittance lines on a second tab called Remit (AWB in column A, amount in column C):
G2: =SUMIFS(Remit!C:C, Remit!A:A, A2)
J2: =D2-G2-I2
K2: =IF(J2=0,"Matched",IF(G2=0,IF(TODAY()>E2,"Overdue","Pending"),IF(J2>0,"Short","Check")))SUMIFS adds up every line for that AWB, which also exposes duplicates: a doubled amount shows up as a negative difference and lands in “Check”.
Finally, match each remittance number’s total against a bank credit (or a wallet credit) on a separate tab. A remittance that was announced but never reached the bank is a different problem from a missing AWB.
Want COD collections tied to each order? On Courier Tales you can follow COD collections against each order, and choose a COD remittance plan where the default is D+7.
Common mismatches and what to do
| What you see | Likely cause | What to do |
|---|---|---|
| Delivered, no remittance, past due date | Missed from a batch, delivery date recorded differently, or a hold | Raise a ticket with the AWB, delivery date and amount |
| Remitted less than collected | Unexpected deduction, partial collection, or error | Ask for the deduction detail; compare with your rate card |
| Remitted more than once | Duplicate line in two batches | Report it; expect it to be adjusted in a later payout |
| Remitted, but shipment shows RTO | Status changed after delivery was recorded, or a wrong AWB | Check the tracking history; raise with both AWBs if relevant |
| Remittance amount does not match bank credit | Bank charges, batch split, or a payout to the wrong account | Check bank details; ask for the transaction reference |
| COD amount on label differs from order value | Order edited after booking, discount applied late | Fix your booking process; reconcile to the label amount |
| Remittance delayed for many AWBs at once | Account-level hold, such as a negative wallet balance | Check your wallet and account status first |
The last row is worth knowing. At the time of writing, Delhivery’s COD remittance page says that if a seller’s wallet balance is negative, the remittance is processed in the next cycle once the wallet is positive. Other providers have their own rules, so check yours.
Checking deductions against your rate card
If your provider deducts charges from remittances, check them as carefully as the cash.
- Freight: compare with the estimated charge at booking. A higher figure often means the courier recorded a higher chargeable weight. Our guide to courier weight disputes explains how to respond.
- COD charge: check it matches your rate card’s flat fee or percentage.
- RTO charges: confirm they relate to shipments that actually came back.
- Other surcharges: see our guide to avoiding unexpected courier charges for the usual suspects.
GST is normally added to courier charges. Keep the invoices with your sheet and let your CA confirm the tax treatment.
Ageing: how long has it been outstanding?
Group overdue rows by how long they have been overdue:
| Bucket | Typical action |
|---|---|
| 1–7 days past due | Recheck next week; it may be in the next batch |
| 8–30 days past due | Raise a ticket with AWB details |
| Over 30 days past due | Escalate; keep a written record of every follow-up |
Old items are the hardest to recover. A weekly routine keeps most gaps in the first bucket. Our guide on COD settlement and cash flow shows how much money these gaps can hold back.
A weekly reconciliation routine (30 minutes)
- Export delivered COD shipments for the week.
- Paste the week’s remittance lines into the
Remittab. - Let the formulas fill status; filter for Overdue, Short and Check.
- Match remittance totals to bank or wallet credits.
- Raise tickets for anything overdue or short, with AWB numbers.
- Update the notes column on last week’s open items.
At month end, total each status, save a copy of the sheet with the statements and invoices, and hand it to your accountant.
COD reconciliation on Courier Tales
Courier Tales lets you follow COD collections against each order and choose a COD remittance plan; the default remits seven days after delivery (D+7), and faster plans may carry a fee. If you use COD money to recharge your shipping wallet, record that amount as remitted to the wallet so the AWB still balances in your sheet. For any shipment that does not add up, raise a support ticket from the dashboard. You can also find a parcel’s history by AWB, as our guide on tracking a courier by AWB explains.
Reconciliation is dull until it finds money you thought you had already received. Create your Courier Tales account and keep every COD rupee tied to its order.
Frequently asked questions
How often should I reconcile COD remittances?
Weekly if COD is a large share of your orders, and at least monthly otherwise. Weekly checks catch overdue or short payments while the details are fresh and the courier's records are easy to trace.
What is a short remittance?
A short remittance is when the amount paid out for an AWB is less than the COD amount collected, after any deductions you expect. It can come from an unannounced deduction, a partial collection or an error, so raise it with the AWB number and the amounts.
Do I need special software for COD reconciliation?
Not at the start. A spreadsheet with one row per delivered COD AWB, filled from your shipment export, remittance statements and bank statement, works for most small sellers. Move to accounting or reconciliation software when the volume makes manual matching slow.
How should I record COD money used to recharge my shipping wallet?
Record it as remitted, with the destination marked as the wallet rather than the bank. That way the AWB still shows as settled, and your wallet ledger explains where the money went. Ask your accountant how to book it in your accounts.
Who checks the GST on COD and shipping charges?
Your accountant or CA. Keep the courier or platform invoices alongside your reconciliation sheet so they can match GST charged on freight and COD charges with your input tax records.
Sources
- COD Remittance, Delhivery One Help Center (accessed 2 November 2026)
Courier, marketplace and tax rules change. Check the current terms with your courier, marketplace or adviser before relying on them.