Processing payables for payment drafts

To demonstrate this process, we are using expense invoice. Payables Invoice or expense invoices are invoices that are not associated with purchase orders.

  1. Create and release Payables invoice:
    1. Sign in as Payables Manager and select Manage Invoices.
    2. Click Create Invoice.
    3. On the Main tab, complete the fields.
      Invoice Entry Template
      Select Basic.
      Company
      Specify the company.
      Vendor
      Specify the vendor.
      Invoice Number
      Specify the invoice number.
      Invoice Date
      Specify the invoice date.
      Payment Terms
      Specify payment terms or Due Date.
      Due Date
      Specify Payment Terms or due date.
      Invoice Amount
      Specify the invoice amount.

      The information such as Process Level and payment details come from the payables company and vendor setup.

    4. Click Save.
    5. Click Release.
  2. Journalize invoice.

    Released.

    1. Select Run Processes > Journalize.
    2. On the Journalize Preview header,use the parameters to search for the invoices to journalize. The invoices are displayed with corresponding distribution lines.You must process invoice distribution closing at least once in an accounting period. Optionally, you can close invoice distributions more frequently. Use this action to create a Journal Control with a status of
    3. Click the Journalize Distributions button, and specify this information
    4. Select either Payables Company or Company Group.
      Process Level
      Optionally, use this parameter to narrow down the invoices to a specific process level for the selected Payables Company or Company Group.
      Post Thru Date
      Invoices with posting dates that are less than or equal to the post thru date are included.
    5. Click OK.
    6. Select the View Journalized Distributions tab. Invoice distributions are journalized and Journal Control is created.
  3. Perform cash requirement:

    The Cash Requirement process is used to schedule invoices for payment depending on the selected criteria.

    1. Select Run Processes > Process Payments > Perform Cash Requirements.
    2. Specify the Vendor Group and Pay Group.
      Pay Through Date
      Specify the pay through date. All released invoices that have a due date on or before the pay through date are scheduled for payment.
      Payment Date
      You must process invoice distribution closing at least once in an accountingPayment date used to determine whether to take invoice discounts or to revalue non-base currency invoices. The payment date must be less than or equal to the Pay Through Date.
      Process Payments,
      Select Payables Payment.
    3. In Cash Code Options section, select either Cash Code or Cash Code Group.
    4. The Select and Sort Options sections contain optional fields. Use these fields to narrow the list of invoices that are processed for payment.
    5. Click OK.
  4. Run Electronic Payment Creation:

    After invoices are scheduled for payment, run one of the payment creation programs to pay all scheduled invoices. For example, Electronic Payment Creation.

    1. In the Main section, specify this information:
      Vendor Group
      Select a vendor group.
      Pay Group
      Select a pay group to generate a single payment for a vendor to pay invoices that are received in multiple accounts payable companies and process levels
      Payment Code
      Select a payment code.
      Cash Code
      Select a cash code or a Cash Code Group.
      Cash Code Group
      Select a cash code group or a Cash Code.
    2. In the Select Options section, specify this information:
      Payment Date
      The payment date is assigned to general ledger transactions that were created for payments.
      Effective Date
      Specify the date that the funds are transferred from the bank account.

      Specify other fields as required.

    3. Click OK.
  5. Run Payment Closing:
    To close the payment cycle, run the payment closing program for an entire pay group or run the program concurrently for individual process groups. Use this process to create journals for payment reversing the accrual account (debited) and cash posting account (suspense), as defined in Company Cash Code, is credited.
    1. Select Run Processes > Process Payment > Payment Close.
    2. Specify a Vendor Group and Pay Group.
    3. Click OK.