Entering Amortization Vouchers
This section provides an overview of amortization vouchers.
Use amortization vouchers to initiate the process of making advance payments by entering relevant amortization information that will be used to manage the schedule of amortization. This not only saves you from having to manually create the accounting entries to amortize payments but also reduces the balance of the prepaid account.
Creating a voucher of the style Amortization is essentially similar to creating a Regular voucher including the functionality such as Copy PO, Withholding, and Multicurrency among others.
Enter amortization details on the Amortization tab, which is available only for Amortization style vouchers. You enter the start and end dates along with a selection of Amortization type. The values you can select are based on the set up on the Amortization Template in PeopleSoft General Ledger.
See Amortization Template Page
When you save the voucher a Sequential Amortization ID is generated, which is for a GL business unit. After you post the voucher the non-merchandise charges (Miscellaneous, Freight, Sales, and Use Taxes) are prorated to each distribution line amount and the Gross amount will debit from the new account type –Prepaid Asset Account.
Note: The Accounts Payable system supports only prorated non-merchandise charges for Amortization Vouchers.
Amortization vouchers use the same pages as regular vouchers although some fields, field values, and processing are different.
See Understanding Voucher Processing and the Voucher Life Cycle
To create amortization vouchers:
Set up the Amortization Template and define the user authority to enable the selection of Amortization Voucher style on the User Preferences – Payables Online Vouchering Page.
Select Amortization in the Voucher Style field on the add search page for the Voucher component (VCHR_EXPRESS), and click Add.
If you are creating an amortization voucher with Value added tax (VAT), the VAT Recovery amount is posted to a separate account, as the amount is recoverable. However, the VAT Non Recoverable amount will be charged to the Prepaid Asset account and will be amortized.
Enter your new distribution lines.
Access additional information for your amortization on the remaining pages in the Voucher component. These pages are the same as those for regular voucher entry.
Save the voucher.
Post the voucher using the Voucher Posting batch process.
Note: The Accounts Payable system does not support the following implementations when you create Amortization Vouchers:
Creating an amortization voucher with Voucher Build.
Manually creating an Adjustment voucher against an amortization voucher.
Unposting the amortization voucher after it is posted.
Note: Voucher Mass Maintenance supports only Close of Amortization Vouchers.