Tip of the Month for: July 2014

Credit Card Payment Option in A/P Invoice Entry

A/P Invoice Entry provides a "credit card" button to make reconciling invoices paid via credit card easier.

When paying a purchase order with a credit card, the invoice still needs to be entered into the Accounts Payable module through the A/P Invoice Entry so that the vendor's MTD and YTD purchases will reflect that purchase order, so that the stock receipt can be flagged as "processed" and not remain on the Uninvoiced Receipts History Report, and so that the costs on the invoice can be verified against the stock receipt and any cost changes notified or made in A/P Invoice Entry.

The "Credit Card" button essentially "pays" the invoice on the normal, purchased from vendor, and moves the open payable to the credit card vendor account.  The purchase from vendor will show the invoice and a "check number" which is simply a reference number.  When you view the check details or the invoice details, it will show paid, and the vendor account which the payable was moved to.  The invoice number can be adjusted, if needed, as Answers does not allow duplicate invoice numbers on any particular vendor.  The open item will then show as open on the credit card account, waiting for payment to be made. 

Having an open payable on the credit card account will make your A/P more accurate, in that you can see those open items that are expected to be on your credit card statement.  These invoices can then be selected for check writing just like any other invoice when you are ready to make a credit card payment.

In A/P Invoice Entry, the invoice should be entered using the purchase from vendor.  For invoices paid with a credit card, users can click on the "Credit Card" button.

This will prompt the user to enter or select their credit card "vendor".  Most users already have a vendor account setup for their visa, or mastercard, etc.  Once the vendor is selected, the user is prompted to verify what invoice number is the invoice number you wish to use.  If that particular invoice number has already been used for the credit card vendor, then the user will have to adjust it slightly so it will be a unique invoice number.  If any discounts are offered, Answers will verify the invoice amount, discounts that may be available, and the invoice amount to post to the credit card vendor.  The "payment" on the standard purchasing vendor will reflect any discounts you received for paying that vendor within terms.

The open item will then appear on the credit card vendor account, waiting for you to select it for payment.  The initial invoice on the purchased from vendor will show as paid, and viewing the check # or the invoice detail will give you the vendor you "paid" (ie. the credit card you used to pay) the invoice.

The "Credit Card" option is also available on A/P invoices already entered in the system.  This way, if you decide after inputting the invoice to pay with credit card, you can "pay" the invoice and move it to your credit card statement at that time.