Apply Invoices

These processing options specify how the system applies receipts to invoices with discounts and how the system manages overpayments and underpayments when the amount to apply is different from the open invoice amount.

1. Discounts Recognition Method

Specify whether to process all discounts or only those discounts that are earned. The G/L date of the receipt must be on or before the invoice discount due date for the discount to be earned. Values are:

Blank: Process all discounts.

1: Process earned discounts only.

2. Discount Reason Code

Specify the discount reason code that the system uses when discounts are taken. The discount reason code that you enter must exist in UDC 00/DE. You must also set up a corresponding AAI item (RKDxx) where xx is the reason code) for each discount reason code that you specify.

3. Grace Days

Specify the number of days to add to the discount due date to extend the eligibility of an available discount.

4. Underpaid Tolerance Amount

Specify the limit that the system uses to write off underpayments that occur at the invoice level. If the difference between the amount applied (Gross Amount field - AG) on the Electronic Receipts Input record (F03B13Z1) and the open amount of the invoice is equal to or less than the amount specified, the system writes off the remaining amount.

If you work with multiple currencies, the write-off tolerance amounts for underpaid invoices are based on the currency code of the receipt, and not the currency code of the invoice or company. Set up a different version of this program for each receipt currency, and then specify the currency code in the data selection when you process automatic receipts using the Apply Receipts to Invoices program (R03B50).

5. Underpaid Reason Code

Specify the reason code to assign to write-offs that the system creates for underpaid invoices that do not exceed the tolerance amount. Valid write-off reason codes are defined in UDC 03B/RC. You must also set up a corresponding AAI item RAxx (where xx is the reason code) to specify the write-off account to use.

6. Processing Underpayments

Specify the method for processing underpaid invoices that exceed the underpaid tolerance amount. Values are:

Blank: Create a chargeback

1: Partially pay the invoice.

2: Create a deduction.

Chargeback Reason Code

Specify the reason code to assign to chargebacks that the system creates for underpaid invoices that exceed the tolerance amount specified for write-offs. Use this option only when you set the processing option for Processing Underpayments to blank. Valid chargeback reason codes are defined in UDC 03B/CB. The system uses the offset account that was assigned to the invoice from which the chargeback originated.

Deduction Reason Code

Specify the reason code to assign to deductions that the system creates for underpaid invoices that exceed the tolerance amount specified for write-offs. Use this processing option only when you set the processing option for Processing Underpayments to 2 on the Apply Invoices tab. Valid deduction reason codes are defined in UDC 03B/CR. You must also set up a corresponding AAI item RN to specify the deduction suspense account to use.

8. Overpaid Tolerance Amount

Specify the limit that the system uses to write off overpayments that occur at the invoice level. In the F03B13Z1 table, if the difference between the amount applied (Gross Amount field - AG) and the open amount of the invoice is equal to or less than the amount specified, the system writes off the remaining amount.

Enter the value as a positive amount.

If you work with multiple currencies, the write-off tolerance amounts for overpaid invoices are based on the currency code of the receipt, and not the currency code of the invoice or company. Set up a different version of this program for each receipt currency, and then specify the currency code in the data selection when you process automatic receipts using the Apply Receipts to Invoices program (R03B50).

9. Overpaid Reason Code

Specify the reason code to assign to write-offs that the system creates for overpaid invoices that do not exceed the tolerance amount. Valid write-off reason codes are defined in UDC 03B/RC. You must also set up a corresponding AAI item RAxx (where xx is the reason code) to specify the write-off account to use.

10. Processing Overpayments

Specify the method for processing overpaid invoices that exceed the overpaid tolerance amount. Values are:

Blank: Create an unapplied receipt.

1: Overpay the invoice; the invoice has a negative open amount that represents a credit for the overpayment.

11. Match Invoices

Specify whether to match only the invoices that have an approved pay status. Values are:

Blank: Match all invoices.

1: Match invoices with an approved pay status only.

12. Discounts on Partial Payment

Specify whether to apply discounts when the payment amount is less than the open amount of the invoice. The invoice should be paid fully and the G/L date of the receipt must be on or before the Discount Due Date of the invoice for the discount to be earned.This processing option works in conjunction with the processing option Discounts Recognition. Values are:

Blank: Apply discounts for partially paid invoices.

1:Ignore discounts for partially paid invoices.