Invoice processing

Invoice processing includes creating, releasing, approving, paying, and interfacing invoices.

This table shows the key steps that you perform for invoice processing:

Step Number Key Step Result
1 Create invoices Different invoice types can be created from one form. Many fields on the entry screen have default values that you defined during setup. You can also make changes to unreleased invoices in this form.
2 Approval rules Approval rules are defined by the customer. These rules are used to control an invoice if it must go through an approval process or a release process. This step is conditional based on how the customer set up the approval rules.
3 Release invoices You can release invoices, making them available for payment. Any release or approval rules that you defined for your company are applied here.
4 Maintain invoices You can make some changes to released invoices before paying them. For example, you can change expense distributions and payment schedules.
5 Select invoices for payment Cash Requirements is the process to run when selecting invoices for payment. The parameters you provide determine what released invoices are scheduled. Cash Requirements can be run in Non-Update first to ensure that you are scheduling the required invoices for payment.
6 Generate payments In this step, you can create payments to your vendors. The Electronic Payment Creation or Payment Tape Creation program along with the Payment Code are used to determine the format of the payment. See the Cash Payment Format setup for the Payment Code/Bank Transaction Code for the payment format options.

The use of Process Automation is required to create the corresponding Payment Output File Header, Detail, and Remittance.
7 Create a payment register This step is optional. Run Cash Payment Register to create a report of payments. Run the Cash Payment Register with the Vendor Group, Pay Group, and Report Option=Current to review the status of scheduled payments for a current payment cycle.
8 Payment close Several tasks are performed when you close the payment cycle:
  • Creating general ledger entries
  • Updating vendor balances
  • Removing temporary hold codes from vendors and invoices
  • Changing the status on invoices from released to historical, making them unavailable for maintenance
  • Creating the next occurrence for a recurring invoice
9 Journalize distributions Use Journalize Preview as a Non-Update way to review the distributions to be posting. After posting, use View Journalized Distributions to see what was posted to Global Ledger.
10 Close a period If you selected System Control in the Global Ledger solution, you must process period closing at the end of each accounting period. During this step, accounts payable transaction dates are automatically edited. This ensures that all transactions have been transferred to the general ledger for the period that is being closed.