Outgoing Payments
Creating a payment
From the Payments list, click +New.
There are two ways of generating payment data: manually or by using the Suggest Vendor Payments function. But first we need to enter Bank Account No. in the header. This determines from which account the payment will be made.
Suggest Vendor Payments
From the Payment menu select Suggest Vendor Payments....
Fill in the fields according to your needs. Check respective fields tooltip for a closer explanation to their meaning. Then click OK to create vendor payment lines.
Manually create payment lines
To manually create a payment, create a new line and fill in the fields. Depending on what is chosen in Recipient Type, many of the fields will have different meanings.
Field | Description |
---|---|
Payment Date | Specifies the date that the payment should be made. |
Recipient Type | Select the type of recipient: Vendor, Customer, Employee, Internal Bank Account or External Bank Account. Depending on the type selected, different fields needs to be filled in. |
Recipient No. | Depending on Recipient Type this will relate to different tables: Vendor, Customer, Employee or Bank Account. |
Recipient Name | The name of the payment recipient. |
Recipient Bank Account | Select from Vendor Bank Account, Customer Bank Account or Bank Account depending on Recipient Type (Vendor, Customer, Internal Bank Account respectively). |
Recipient IBAN | Specifies the IBAN of the receiving account. Can be automatically filled in based on the value in Recipient Bank Account if applicable. |
Recipient SWIFT Code | Specifies the SWIFT code (BIC) of the receiving account. Can be automatically filled in based on the value in Recipient Bank Account if applicable. |
Payment For Doc. Type | If Recipient Type is Vendor or Customer, you can select a document type (Invoice, Credit Memo etc.) that this payment will be applied to when it is posted. |
Payment For Doc. No. | If Recipient Type is Vendor or Customer, together with Payment For Doc. Type, you can select a Document No. that this payment will be applied to when it is posted. |
Amount | The amount to be paid. |
Amount (LCY) | The amount to be paid given in LCY. |
Currency Code | The currency in which to make the payment. |
Reference Type | The type of reference to send to the recipient. |
Reference | The reference information to send to the recipient. |
Status Message | Displays any error or information messages received from the bank when using Get Status From Bank on the Bank menu. |
Note. To make a currency payment to a non-IBAN account, the recipient of the payment must be set up as a vendor and the recipient´s bank account must be entered in the Vendor Bank Account Card. When making the payment field Recipient IBAN can be left empty.
Sending a payment
Release the payment
In order to send the payment, it must first be released. If an approval workflow has not been set up, just click Release in the Release menu. If an approval workflow has been set up click Send Approval Request from the Request Approval menu. When the payment has been approved Status will be set to Released.
Send the payment
To send the payment to the bank, click Send To Bank on the Bank menu.
Check if there are errors
From the Bank menu, select Get Status From Bank. This will get available status messages from the banks and update Status of the Payment and possibly Status Message of the payment line.
Posting a payment
When you have made sure that the payments has gone through (using for example the Account Statements) you will want to post the payment in order to create the entries needed and close any vendor or customer entries applied to the payments. This is done by selecting Post or Post and Print from the Payment menu.
Posting rules
Depending on the Recipient Type that is used on each line the amounts are posted to different G/L Accounts.
The total amount of the payment (Amount (LCY) in the header) is posted to the Bank Account No. set in the Payment. That means that the amount is posted to the G/L Account specified in the field G/L Account No. in the Bank Acc. Posting Group specified on that bank account. And of course also to the Bank Ledger Entries of that Bank Account. This is balanced using the total amount of all the lines which are posted according to the following rules:
Recipient Type | How is the line posted? |
---|---|
Vendor | As if you would post a General Journal using Vendor in Account Type. The Vendor Posting Group is used to determine for example which Payables Account is used. |
Customer | As if you would post a General Journal using Customer in Account Type. The Customer Posting Group is used to determine for example which Receivables Account is used. |
Employee | As if you would post a General Journal using Employee in Account Type. The Employee Posting Group is used to determine for example which Payables Account is used. |
Internal Bank Account | Posted as a transfer from the Bank Account No. specified in the payment header to the account specified in Recipient Bank Account on the line. Each Bank Acc. Posting Group determines which G/L Accounts are used. |
External Bank Account | The G/L Account that is specified in Recipient No. is used for posting the line. |
G/L Cost Account | Posts directly to the specified G/L Account in Recipient No. like External Bank Account above. The difference is that this line does not create a outgoing payment, but can instead be used for registering for example a bank cost that occured when making the other payments. |