25 Overview to Automatic Payment Processing

This chapter contains these topics:

25.1 Objectives

  • To withhold taxes from suppliers

  • To print a cash requirements report

  • To approve and pay vouchers

  • To create bank tapes

  • To post payments

  • To revise and void payments

25.2 About Automatic Payment Processing

Automatic payment processing allows you to manage your payments, so you maintain company finances at maximum levels while issuing disbursements on time to take advantage of favorable discount terms. Use automatic payment processing to pay vouchers during your usual payment cycle. Automatic payment processing consists of:

  • Withholding supplier taxes

  • Preparing vouchers for payment

  • Grouping vouchers for payment

  • Working with payment groups

  • Working with payments

  • Updating the A/P ledger

  • Approving and posting automatic payments

  • Voiding automatic payments

The following illustration shows the automatic payment process.

Figure 25-1 Automatic Payment Process

Description of Figure 25-1 follows
Description of "Figure 25-1 Automatic Payment Process"

25.2.1 How Does the System Identify Automatic Payments?

The following table shows the identifying characteristics of automatic payments:

Document Class Document Type
Voucher document type (original document)
  • PV (voucher)

  • PR (recurring voucher)

  • PL (voucher logging)

  • PD (debit memo)
Payment document type (matching document)
  • PK (automatic payment)

  • PT (electronic funds transfer

  • P1 (draft)
Batch type
  • K (automatic payment)

See Also: