Manually Entering Supplier Invoices

Outcome

The entered invoices can belong to one of the following categories:

• Approved and posted to a cost account
• Unapproved and posted to a clearing account.
• Payment records in a set of recurring payments, either based on an approved invoice or an agreement without a proper invoice.

Accounts payable and the general ledger is updated.

Before you start

• Detail records for entry of approved and unapproved invoices must be defined for FAM function AP10 (Manual entry of supplier invoices) in 'FAM Function. Open Details' (CRS406). See the respective instruction for details.
• The following components must be or should be connected to the supplier in 'Supplier. Define Purchase & Financial' (CRS624):

• Currency (required)
• Exchange rate type (required)
• Payment terms (required)
• A payment method for accounts payable (required)
• The supplier's bank (if using a payment method under payment class 3, that is, if bank transfer should be used for payment)
• Cash discount terms (if the supplier has granted the company a cash discount)
• A trade code for trade statistics purposes (optional)
• A service code (optional). This code is used when entering invoices from self-employed suppliers, but only if the company is required to send tax reports on such payments to the tax authorities.

• If messages should be sent automatically to the authorizer of the invoices, application messages 149-150, 157, 200, 202 and 608 must be activated in 'Settings – Application Messages. Open' (CRS424).

Follow these steps

1. Review Incoming Supplier Invoices

   Make a first check of the paper invoices you receive, according to your company's routines and policy. To simplify the entry and to make it easier to decide which workflow to use, sort all invoices you accept to pay and divide them into categories (for example, approved, unapproved, with or without matching to purchase order).

2. Manually Enter Supplier Invoices for Payment

   Enter your paper invoices in 'Supplier Invoice. Record' (APS100); the FAM function detail record you select for the type of invoice controls much of the workflow.

   If the invoice contains a reference to a purchase order number you can carry out the matching to purchase order and goods receipt during the entry. This, however, is explained in a separate process.

   If the 'Tax withholding method' of the supplier in (CRS624/F) is set to 4 and a service code is entered in (APS100/F), an additional panel is shown (APS100/K) to enable you to control the calculation of the tax withheld. You can also deduct on-account payments where withholding tax was deducted using the same service code or deduct other non applicable costs from the base amount for the calculation.

   If you use an account defined as a fixed asset account when posting the invoice, 'Fixed Asset. Open Preliminary' (FAS180) is automatically activated to enable you to directly create a preliminary asset or add a cost to a definite asset before creating a voucher.

   Note that if you use 'Journal Entry & Payment. Open' (GLS110/B) for all types of invoice and payment entry, you can start the entry there and automatically call (APS100).

3. Enter Payment Records for Recurring Payments

   If you have recurring supplier payments, either based on a paper invoice or an agreement, enter such payment records in a separate supplier payment plan. You can do this when entering the invoice in (APS100) or separately in 'Supplier Payment. Open Recurring' (APS095).

   You can of course match the invoice to a purchase order before completing the entry.

4. Post Invoice

   Depending on your settings you post the invoice either manually or automatically in (APS100/J). The recurring payments you entered directly in (APS095), without connection to an invoice, are not posted.