Hi When applying invoice payment discount to a payment from a vendor. Does the discount get applied when the line is posted or should I be able to see the discounted amount within the purchase journals? Thanks Kate
Hi Kate Payment from a vendor - do you mean payment from a customer or to a vendor? Either way when you apply the payment to the invoice you can see the remaining discount applicable in the application window. If you are paying vendors the suggest vendor payments will look for payment discounts that can be taken if you want it to. There were some issues with the application of this in earlier versions, I think, of 3.60 and one of the hot fixes addressed it, but my memory fails at this point [:D].
Hello again Steven, Sorry - Paymet to a vendor. Do I have to apply payment to an invoice manually? I have all sorts of settings for invoice discounts setup in the G/L setup. I’ll try the suggested vendor payments. Thanks Kate
Hi Steven, Just another point. These are being entered in manually in the purchasing journal. When I enter the gross amount, it automatically works out the amount of VAT that I have paid. Should I be seeing the discounted amount here?
Hi Kate If you have a test system try it out, but if you have invoice discount on the following “should” happen: Issue an invoice for £100 on 01/12/03. The invoice has a 5% early payment discount within 10 days You chose to pay this on the 05/12/03. Generate the payment of £95 and apply it to the invoice. It will post the £5 to payment discount account in the vendor posting group. I think if you are posting your invoices through the purchase journal screen the discount will not be calculated, but it will be if you are using invoices and get receipts function.
Thanks Steven, I am posting through the Purchase Journal screen. Can you tell me where to find the get receipts function? Many thanks Kate
Hi again Steven, Under the GL Setup, I have the Payment discount excluding VAT setup and also have a % in the VAT Tolerance. Do I need to have anything else ticked or checked to ensure the payment discounts to Vendors are being picked up? Regards Kate
Hi Kate This is slightly opening a can of worms, but here goes . . . 1. Are you using purchase orders? 2. Are you receiving purchase orders? 3. Are you using the purchase journals to process the invoices? 4. Do you have purchase invoices as an option? 5. GL setup - Payment discount granted is set to? 6. GL setup - Payment Tolrenace % is? 7. GL setup - VAT tolerance % is? Do you have a test company? I would not like to suggest changes to a live company [:D]
Just a note on manual payment & discounts. When you use the payment journal-> enter a vendor # & go to function->apply entries. It will show you all the open inv & credits for that vendor. It will show you the Original payment discount. You have to manually enter the amount into Remaining payment discount for it to actually take it. Suggest vendor payments automatically can take the discounts for you. but if your one day off on the discount date and you know that the vendor would “let it slide” you have to change the payment discount date too. Just entering the remaining payment discount without entering todays or a later date will still not let you take the discount. once the discount has been entered then F9. We chose not to use the suggest vendor payments due to the fact we could not tell if the discounts were being taken without actually drilling in and if we had to drill in anyway we figured might as well just do it ourselves and know for a fact the discounts were taken. This has been our experience 3.1b (for manual discount taking). Has it changed on the newer versions?