Manual
Paying vendors
A vendor’s invoice stays Open on Vendor Ledger Entries until a payment is applied to it.
Vendor Payments
Vendor Payments (under Purchase Processing) is a worksheet of payments to vendors, one line each, in the batch chosen above the lines.
| Field | What it is for |
|---|---|
| Vendor No. | Who is paid. |
| Payment Date | The date the payment is posted on. |
| Payment No. | Its number, from Payment Nos on Purchases Payables Setup (PMT… at the bakery). |
| Bank Account No. | The bank account the money leaves from. |
| Currency | The bank account’s currency. A payment in another currency posts at its date’s exchange rate. |
| Amount, Amount UGX | What is paid, and its value in local currency. Applying invoices sets it to their total. |
| Description, Payment Reference | What it is for, and the cheque number or transfer reference. |
| Applies-to ID, Applied | The invoices it pays. |
To pay a vendor:
- Fill in the vendor, the payment date and the bank account.
- Choose Apply Entries. On each invoice the payment settles, choose Set Applies-to ID; lower its Amt. To Apply for a part payment. The payment’s Amount becomes the total.
- Print the Payment Voucher if it needs signing, then Post.
Posting debits the vendor and credits the bank account, through the payment journal named on Purchases Payables Setup, and the invoices it was applied to close. Posted Vendor Payments keeps each payment, and prints its Payment Voucher again.
The Payment Journal
The Payment Journal (under Journals, as Payment Journals) posts payments as journal lines: a vendor debited and a bank account credited, or any other pair of accounts, such as PAYE paid to the tax authority. Its lines have the general journal’s fields, and Apply Entries, Print Voucher, Post and Post Batch. See Journals.
Applying and unapplying posted entries
A payment posted without being applied stays open on the vendor’s account. To apply it later:
- On Vendor Ledger Entries, choose the payment and Apply Entries.
- On Apply Posted Vendor Entries, choose Set Applies-to ID on each invoice it pays.
- Choose Post Application.
Unapply Entries takes an entry’s applications back, the latest first, and the entries open again. A payment in another currency that settles an invoice posted at another rate posts the realized gain or loss, which unapplying takes back.
Seeing what is due
Vendor Ledger Entries shows each open invoice’s Due Date, in red once it has passed, and its Remaining Amount. Vendor Summary Aging and Vendor Detailed Aging, on the Vendors list, sort what is owed by how long it is overdue. You can also ask the Assistant “what do we owe vendors that is overdue?”