Reconciling options

Define an employee advance and expense reconciling option for each accounts payable company that processes employee advances and expenses. You have the option to reconcile advances and expenses against an employee's open balance or match expenses to advances.

Running Payment Closing (AP170) creates a released credit memo for the same amount as the employee advance with an invoice suffix of "01" when the advance is paid. This is an open credit in the Accounts Payable application and is reconciled against any released expenses and paybacks for the same employee.

Open balance option

To reconcile advances and expenses against an employee's open balance, select Open in the Employee Expense Reconciliation field for the company in Company (AP00.4). This is the default value.

Matching option

To match employee expenses to advances, select Matching in the Employee Expense Reconciling field for the company in Company (AP00.4).

With this option, Payment Closing (AP170) also assigns the prepayment hold code defined in Vendor Group (AP00.1) to the advance. Use Expense-Advance Matching (EE30.1) to apply unreleased expenses to one or more paid advances before you release the expenses to the Accounts Payable application for further processing.