EDI 850: The Purchase Order, Explained

The EDI 850 is the Purchase Order — one of the most common EDI transactions. It is how a buyer formally tells a supplier what they want to buy: which items, how many, at what price, shipped where and when.

Where the 850 fits

The 850 usually starts a chain of related documents:

1. 850 — buyer sends the purchase order
2. 855 — supplier acknowledges it
3. 856 — supplier sends the advance ship notice when goods ship
4. 810 — supplier sends the invoice

Key segments in an 850

BEG — Beginning Segment

Marks the start of the order and carries the PO number and date. BEG*00*SA*PO-99831**20240115 means a new (00) standalone order (SA), number PO-99831, dated 2024-01-15.

N1 — Party Identification

Identifies the parties. N1*BY is the buyer, N1*ST is the ship-to location, N1*VN the vendor. Address detail follows in N3/N4 segments.

PO1 — Line Item

The heart of the order. PO1*1*100*EA*12.50**UP*012345678905 means line 1, quantity 100, each, at $12.50, identified by UPC 012345678905.

PID — Product Description

A human-readable description that usually follows a PO1, e.g. "BLUE WIDGET 12IN".

CTT / SE — Totals and trailer

CTT gives line-item counts for control; SE closes the transaction.

A complete mini example

ST*850*0001~
BEG*00*SA*PO-99831**20240115~
N1*BY*BIG RETAILER INC~
PO1*1*100*EA*12.50**UP*012345678905~
PID*F****BLUE WIDGET 12IN~
CTT*1~
SE*6*0001~

Read in plain English: Big Retailer Inc is ordering 100 blue widgets at $12.50 each on purchase order PO-99831.

Frequently asked questions