Entering Invoices with Discounts

Access the Standard Invoice Entry form.

To enter invoices with discounts:

1. Follow the steps to enter a basic invoice.

2. To specify a discount percent, verify that the Discount % option is selected.

   The system automatically selects the Discount % option when you enter an invoice. It calculates the discount available amount when you specify a percentage in the detail area. You enter the discount percentage as a decimal. For example, you enter .02 for a 2 percent discount.

   You can override the calculated amount by specifying a different amount in the Discount Available field.

   If you do not select this field, the system does not display the Disc Percent (discount percent) field in the detail area of the form.

3. To calculate the discount based on a payment term, complete the Payment Terms field.

   If a default value is set up in the customer master record, the system completes the field with the value. You can override the payment term, if desired, or override the discount percent or discount available in the detail area.

4. (Optional) In the detail area, override or complete the Pymt Terms (payment terms), Disc Percent, and Discount Available fields.

   The system assigns the payment term value from the header area to each corresponding pay item in the detail area. You can override the default value at the pay item level, if desired. The discount available field must be blank to recalculate a discount amount based on a new payment term.

   If you want to override the discount to zero, you must set up a payment term that does not calculate discounts.

   The system does not store the discount percent. Therefore, the system does not calculate or recalculate the discount percent based on the discount amount that you enter or change.

   If you override the discount amount, do not change the Payment Term field or the Disc Percent field.

   Note: If you use a split or installment payment term, the system does not update the discount fields until you finish entering the invoice. You must reinquire on the invoice to view the gross, discount, and tax amounts divided among the multiple pay items.

5. (Optional) Complete the Due Date and Discount Due Date fields, and click OK.

6. Complete the necessary G/L distribution information.

   • Discount %

     Select to display the Disc Percent field in the detail area of the form, which enables you to specify the discount amount as a percentage of the gross amount.

   • Disc Percent

     Enter the percent of the total invoice to discount if it is paid within the discount period. You enter the discount percent as a decimal, for example, a 2 percent discount is entered as .02.

   • Discount Available

     Displays the amount of the invoice pay item that is eligible to be subtracted from the gross amount when the transaction is paid. The system calculates discount amounts based on the payment term that is entered on the transaction.

     Note: If the system calculates the discount, verify that it applies to the pay item that is specified. Usually, freight, sales tax, and labor charges that are included in the gross amount do not qualify for discounts.

   • Discount Due Date

     Displays the date that the invoice must be paid to receive the discount. The system calculates the discount due date based on the payment term. If the payment term does not specify a discount, the system completes this field with the net due date.