Create Customer Invoices Based on Payment Plan

This document explains how you identify and create invoices based on any payment plans you have registered for your customers, easily and on time.

Outcome

Customer invoices are printed, based on the payment records in the selected payment plan(s). A customer payment journal, a customer invoice journal, and an accounting journal are printed as well.

Send the invoices to the customer. When payments are received, allocate them to the new invoice records created. You do this in 'Payment Received. Record' (ARS110/F) or 'Bank Statement. Open' (ABS100).

This is an example of the basic account entries created:


Accounting Rule	Account	Debit	Credit
For payment plan type 1: AR95 – 120	Revenue (transaction code 11)		9,760
For payment plan type 2: Account entry based on the original invoice	Accounts receivable (transaction code 20)		9,760
AR95 – 127	Payment plan interest (transaction code 11)		20
AR95 – 128	Administrative fee (transaction code 11)		20
AR95 – 129	Arrangement fee (transaction code 11) (included in the first invoice only)		200
AR95 – 100	Accounts receivable, payment plan (transaction code 10)	10,000

The original invoice is recorded automatically as paid and new invoice records are created for each record in the payment plan.

Note: Only interest amounts and fees update the accounts receivable balance file.

Before you start

The starting conditions listed in Processing Payment Plan for Customer must be met.
A payment plan with status 0 must be registered in 'Payment Plan. Open' (ARS390).

Follow These Steps

Create Proposal for Invoices from Payment Plan

Start 'Customer Invoice. Create from Invoice Plan' (ARS380/B). Click New.

On the B panel, previous sets of invoices created are displayed together with status: 0 = The invoice proposal is ready to be processed; 1 = The proposal is being created; 2 = The proposal is being changed by another user; 3 = The proposal is being copied; 4 = The proposal is being deleted; 6 = The proposal is being approved and invoices are being created; 9 = The proposal is approved and invoices are created.
On the selection panel, (ARS381/E), enter these required values: Last payment date to be covered by the proposal and the proposal name.
Enter any of the following optional selection ranges: Year, payment plan, currency, payer, customer, payment method, and payment plan type.
Enter a text to be printed as a heading on the proposal (optional). Press Enter to create the proposal.

All payment records per payment plan are listed on the proposal, with information on the respective payment date, amount, payment method, interest amount, administrative fee, arrangement fee, total amount for each record, and status.

B & C. Review and Adjust Proposal
When the proposal status is 0 in (ARS380/B), select the Change option to start (ARS385/B), where all payers included are listed with their respective status: 0 = Not blocked; 3 = Blocked.
If necessary, set the panel sequence.

This instruction is based on sequence E1.
Select the Change option for a payer whose status is 0 to activate (ARS385/E), where you can enter two optional text lines to be printed as additional information for the payer and also change the block code manually. Press Enter.

You can also use options 3=Hold and 6=Release on the B panel to change the payer status.
In (ARS386/B), review all invoice records listed with information on year, payment plan ID, payment date, payment amount, currency, payment method, status (the same status codes as for the payer, with the same options available in the panel header) and division.
To adjust a record, select the Change option.
In (ARS386/E), enter or adjust any of the following values: Invoice record status (or see above), an optional comment to the invoice (one line long), interest amount, administration fee, arrangement fee and the corresponding VAT codes. Press Enter.
Press F3 until you return to (ARS380/B).

Note that some adjustments require that you create a new proposal, for example when you have adjusted values for the original invoice, the payment plan records, or the selection criteria for the invoice proposal.

Create Invoices Based on Proposal
In (ARS380/B), select option 9=Confirm for the proposal, provided its status is 0.
In (ARS380/F), review the proposed accounting date, invoice date and voucher text and adjust them, when needed.
If you wish to include payment records from several payment plans for the same customer and that have the same currency in one invoice, select the 'Several payment plans' check box. Press Enter.

On the first invoice created from the payment plans, the arrangement fees are totaled. If the administration fee differs among the plans, the highest fee is selected for the "grouped" invoices.
If you have to print the invoices again, select option 6=Reprint for the set of invoices in (ARS380/B), provided its status is 9.