Handling Cash Payments of Invoices
This document explains how to handle cash payments for customer invoices. This includes both invoices not intentionally meant
to be paid in cash and invoices registered to be paid in cash from the beginning.
The purpose is:
To be able to handle cash payment immediately after order entry and invoicing, or after invoicing of an advance invoice.
To facilitate the organization of cash payments at the point of sales, either immediately after order entry and invoicing,
or at a common cash desk.
The invoice is paid and a payment with a unique cash payment number is created. After validation of the cash desk, the invoice
is transferred into accounting.
You will have good control of the paid invoices, and the Sales Ledger and Sub-ledger are updated. It is possible to select
and display cash payments and cash invoices when specific information is needed. For example, it is possible to select all
invoices from a certain date or payments from a certain payer.
The cash payment process updates the following files:
Payments - Details (OPAYMD)
Cash desk reconciliation log (OPAYML)
Sales ledger (FSLEDG)
General ledger (FGLEDG)
Check number master file (FCHKMA).
Before you start
A customer invoice must be registered in the customer order flow.
A facility must be defined in 'Facility. Open' (CRS008).
A user must be defined in 'User. Open' (MNS150).
A cash desk must be defined in 'Cash Desk. Open' (OIS210).
A payment method and a user must be connected to the cash desk in 'Cash Desk. Connect Payment Method' (OIS211) and 'Cash Desk. Connect User' (OIS212).
If reconciliation is used approvers must be connected to the cash desk in 'Cash Desk. Connect Approver' (OIS209).
New number series type C1 with number series 1 and if receipts are printed number series type C2 must be created in 'Number Series. Open' (CRS165).
If reconciliation is used the settings must be defined in 'Cash desk Reconciliation. Settings' (OIS208).
The parameter 'Petty cash' must be activated in 'Payment Term. Open' (CRS075/E) in order to initiate the cash sales management after invoicing.
It is important that the parameter 'Cash payment' on the same panel, (CRS075/E), is not activated. If 'Cash payment' is activated,
the sales ledger is not updated. (However, you cannot activate both parameters together.)
The check box 'Cash desk active' should be selected in 'Customer Order. Open' (OIS100/P) or 'CO type. Open' (OIS010/F) to automatically activate 'Cash Payment. Open' (OIS215) at the end of customer order entry or at the end of an advance invoice. (Note: If this parameter is not activated, (OIS215)
is not started automatically, but you can still start it and register the payment. You will need to select the invoice number
instead of having it automatically retrieved.)
Next manual function of the customer order type should be set to 4=Invoicing in 'Customer Order Type'. Open (OIS010/F) to print the invoice or cash receipt immediately. (Note: If not, you will not go directly to (OIS215) after (OIS100) exit,
but as above, you can still start the program.)
Follow these steps
Add Invoice for Cash Payment
If the invoice was not originally intended for cash payment, the invoice has to be reclassified. The invoice can be reclassified
in the program 'CO Invoice. Display' (OIS350).
When a customer wants to pay an invoice in cash, you initiate the payment by specifying information such as cash desk, payer,
currency, payment method, invoice number(s), and payment amount in foreign currency. You register a cash payment in 'Cash Payment. Open' (OIS215).
Register Payment per Payment Method
Customers want to pay an invoice in different ways, such as by cash and/or by check. You register how the payment is handled
through the payment method. The payment method is defined in 'AR Payment Method. Open' (CRS076). It is possible to register a payment with different payment methods. A payment can also be a partial payment if the customer
wants to pay only a part of the invoice amount.
When the cash payment is registered it has to be validated (that is, confirmed) in 'Cash Payment. Open' (OIS215) before leaving the program. If the Cash desk setting is set to create a receipt this will now be created and printed. After
validation, a payment is created and will be displayed in 'Cash Desk. Validate' (OIS217) with a unique payment number assigned to it. After validation of the cash desk, the invoice is transferred into General Ledger
and Sub-ledger. This transfer can be performed either automatically during cash desk validation in (OIS217), or in a separate
function: 'Cash Desk. Transfer to FAM' (OIS218).