1. Using Payables Invoice to Pay
  2. Types of Holds

Types of Holds

Holds can prevent invoice payment, and sometimes, creation of accounting entries.

Holds can be applied automatically and manually. You can release some holds manually. Other holds require that you fix the exception condition before the hold can be released. You can use the predefined holds resolution workflow to route invoices with manually-releasable holds.

Here are a few different types of holds.

Account Holds

Payables uses holds with the Account Hold Reason type to identify invoices with invalid or incorrect accounts. An invalid account prevents payment of an invoice and prevents Payables from creating accounting entries for an invoice or payment

Hold Name Hold Reason Hold Placement Accounting Allowed Manual Release Allowed Hold Removal
Dist Acct Invalid Invoice distribution distributed to invalid account Invoice Validation No No Correct account and resubmit Invoice Validation
ERV Acct Invalid Payables created invalid Exchange Rate Variance account for invoice distribution. Used only if you enable Automatic Offsets Invoice Validation No No Correct account and resubmit Invoice Validation

Funds Holds

Payables applies these holds only when you use budgetary control, and when there are either insufficient funds for an invoice distribution or Payables can't check funds.

Hold Name Hold Reason Hold Placement Accounting Allowed Manual Release Allowed Hold Removal
Funds Check
  • No budget exists for the account in the accounting period on the invoice
  • Invoice account isn't equal to the purchase order account
  • Detail account not assigned to a parent account
 Invoice Validation No No
  • Create a budget in General Ledger and resubmit Invoice Validation
  • Enter different account for invoice distribution and resubmit Invoice Validation
  • Assign detail account to parent account and resubmit Invoice Validation
Insufficient Funds Invoice distribution amount is more than the funds available Invoice Validation No Yes
  • Enter different account for invoice distribution and resubmit Invoice Validation
  • Transfer funds to account budget and resubmit Invoice Validation
  • In General Ledger, enable a user to override funds control and user resubmit Invoice Validation
  • Manually release in the Invoice Holds tab

Invoice Holds

You can define invoice holds on the Manage Holds and Release page or you can use predefined holds. If you place a manual hold on an invoice, you must release that hold manually.

Hold Name Hold Reason Hold Placement Accounting Allowed Manual Release Allowed Hold Removal
Amount Invoice amount is more than the invoice amount limit you specify for a supplier site Invoice Validation Yes Yes
  • Adjust invoice amount and resubmit Invoice Validation
  • Change Invoice Amount Limit option for supplier site and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Invalid PO You apply this hold when a supplier doesn't provide a valid purchase order number for matching Manual No Yes Manually release in the Invoice Holds tab
Note: You can submit the Invalid PO Supplier Notice to request a valid PO from the supplier
Natural Account Tax You assigned a tax code to an expense or asset account in the Tax Options window, and you enabled the Enforce Tax From Account Payables option. The tax code on the invoice doesn't match the tax code assigned to the account Invoice Validation No Yes
  • Change the tax code on the invoice to match the tax code assigned to the account
  • Disable the Enforce Tax From Account Payables option
  • In the Tax Options window in General Ledger, change the tax code association, or manually release the hold in the Invoice Holds tab
Pay When Paid Subcontractor can't be paid until the customer pays Invoice Validation Yes Yes Release in the Invoice Holds tab
Pay When Paid Subcontractor can't be paid until the customer pays Invoice Validation Yes Yes Release in the Invoice Holds tab
PO Deliverable PO deliverables aren't submitted by the subcontractor Invoice Validation Yes Yes Release in the Invoice Holds tab
Supplier You enabled the Hold Unvalidated Invoices option for a supplier site in the Suppliers Sites window Invoice Validation Yes Yes Manually release in the Invoice Holds tab
Note: To prevent future Supplier holds, disable the Hold Unvalidated Invoices supplier site option
Withholding Tax Payables can't perform automatic withholding of tax Invoice Validation No No Correct error that caused automatic withholding of tax to fail. For example, you might need to set up a period in the withholding tax special calendar

Matching Holds

Payables applies matching holds to invoices that violate certain predefined matching criteria.

Hold Name Hold Reason Hold Placement Accounting Allowed Manual Release Allowed Hold Removal
AMT ORD Amount Billed is greater than Amount Ordered * (1 + % Ordered tolerance) Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit for Invoice Validation
  • Manually release in the Holds tab
AMT REC Amount Billed is greater than Amount Received * (1 + % Received tolerance) Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Holds tab
MAX AMT ORD Amount Billed is greater than the sum of Amount Ordered and Maximum Amount Ordered Tolerance Amount Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Holds tab
MAX AMT REC Amount Billed is greater than the sum of Amount Received and Maximum Amount Received Tolerance Amount Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Holds tab
MILESTONE Quantity or Amount Billed isn’t equal to the total Quantity or Amount Ordered Invoice Validation Yes Yes System hold - Correct PO or invoice and resubmit Invoice Validation
Can't Close PO Online receipt accrual enabled in Purchasing and Purchase order quantity delivered isn’t equal to the quantity received Invoice Validation Yes Yes
  • Resolve purchase order delivery information in Purchasing and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Can't Try Final Close Invoice (final matched to purchase order) placed on hold during Invoice Validation Invoice Validation No No Release hold that caused invoice to be placed on hold and resubmit Invoice Validation
Final Matching Invoice is matched to a purchase order that was final matched by another invoice Invoice Validation No No Reverse the distribution and resubmit Invoice Validation to remove the Final Matching hold
Matching Required You've enabled the Hold Unmatched Invoices option in the Supplier Sites window, and the invoice isn’t matched to purchase order or receipt Invoice Validation Yes Yes
  • Match invoice to purchase order or receipt and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Max Qty Ord Quantity billed more than the sum of (quantity ordered plus the tolerance amount) Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Max Qty Rec Quantity billed is more than the sum of (quantity received plus the tolerance amount) Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Max Rate Amount Exchange rate variance exceeds amount tolerance limit Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Max Ship Amount Variance between invoice and shipment amount exceeds amount tolerance limit Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Max Total Amount Sum of exchange rate variance and maximum shipment amount variance exceeds amount tolerance Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Price Weighted average price of all distributions on the matched invoice and all price corrections related to the invoice is more than [purchase order unit price (1 plus % tolerance)] Invoice Validation Yes Yes
  • Correct PO, invoice, or price corrections, and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Qty Ord Quantity billed is more than [quantity ordered (1 plus % tolerance)] Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Qty Rec Quantity billed is more than [quantity received (1 plus % tolerance)] Invoice Validation Yes Yes
  • Enter receipt in Purchasing and resubmit Invoice Validation
  • Adjust tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Quality Quantity billed is more than quantity accepted Invoice Validation Yes Yes
  • Enter acceptance in Purchasing and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Rec Exception Purchase order receipt indicates exception Manually in Purchasing Yes Yes Manually release in the Invoice Holds tab
Tax Difference
  • Invoice tax code value is not equal to the purchase order tax code
  • Invoice tax code value = purchase order tax code value, but taxable flag set to No for PO shipments
 Invoice Validation Yes Yes
  • Correct PO or invoice and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab

Variance Holds

Payables can apply these predefined variance holds.

Hold Name Hold Reason Hold Placement Accounting Allowed Manual Release Allowed Hold Removal
Dist Variance Invoice amount isn't equal to the sum of invoice distribution amounts Invoice Validation No No Adjust invoice distributions or invoice amount and resubmit Invoice Validation
Prepaid Amount Prepaid amount including tax exceeds the invoice amount Invoice Validation Yes No Undo the prepayment and apply a lower amount
Tax Amount Range
  • Tax amount is less than [(tax rate taxable dist line total) - tolerance amount]
  • Tax amount is more than [(tax rate taxable dist line total) + tolerance amount]
 Invoice Validation Yes Yes
  • Adjust tax rate for tax code and resubmit Invoice Validation
  • Change tax code or tax group on invoice distributions and resubmit Invoice Validation
  • Adjust tax tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab
Tax Variance
  • Tax amount is less than [(tax rate taxable dist line total) (1 - % tolerance)]

  • Tax amount is more than [(tax rate taxable dist line total) (1 + % tolerance)]

 Invoice Validation Yes Yes
  • Adjust tax rate for tax code and resubmit Invoice Validation
  • Change tax code values on invoice distributions and resubmit Invoice Validation
  • Adjust tax tolerance and resubmit Invoice Validation
  • Manually release in the Invoice Holds tab

Installment Holds

You can manually place an installment on hold to prevent payment. For example, a supplier sends you an invoice for two desks and delivers one desk. You can partially pay the invoice by splitting the installment and placing one installment on hold. You can release the installment hold after you receive the second desk.

Note: You can review installment holds on the Manage Installments page

Supplier Site Holds

You can set supplier holds on the Invoicing tab on the Create and Edit Site pages. This table describes each supplier site hold.

Hold Description Manually Releasable?
Invoice amount limit The invoice validation process places an Amount hold on the invoice. This happens if an invoice amount exceeds the specified limit Yes
All invoices You can't select the supplier site for payment in a payment process request or in a Quick payment
Note: You can view suppliers with this hold in the Supplier Sites on Payment Hold section on the Payments landing page
 No
Unmatched invoices The invoice validation process places a Matching required hold on the invoice. This happens if an invoice isn't matched to a purchase order, receipt, or consumption advice Yes
Unvalidated invoices The invoice validation process places a Supplier hold on invoices that are created after you enable this option. You can still pay invoices that were previously created and validated Yes

System Holds

The invoice validation process automatically applies system holds for exception conditions. For example, if the sum of the invoice distributions doesn't equal the invoice line amount, validation applies a distribution variance hold to the invoice.

You can't place system holds manually, and you can't release certain system holds manually. Instead, you must correct the exception condition by updating the invoice or purchase order, and then validating the invoice to release the hold. For example, to resolve a distribution variance hold, adjust the distribution amounts, and then validate the invoice.

Note: You can manually release system holds for matching exceptions

Miscellaneous Holds

Payables can also apply these miscellaneous predefined holds to invoices.

Hold Name Hold Reason Hold Placement Accounting Allowed Manual Release Allowed Hold Removal
No Rate No exchange rate for foreign currency invoice Invoice Validation No No
  • Enter exchange rate and resubmit Invoice Validation
  • Submit AutoRate and resubmit Invoice Validation
All Payments You enabled the Hold All Payments option for the invoice's supplier site No hold placed on invoice, but the enabled option prevents payment of a supplier site's invoices Yes N/A
  • Disable the Hold All Payments option in the Supplier Sites window. Payables lets you select the supplier site's invoices for payment if they're validated (and approved, if the invoice requires invoice approval)
  • Create a manual payment for any of the held invoices
Supplier Hold all unvalidated invoices for a supplier Invoice Validation Yes Yes
  • Remove the hold in the Invoice Holds tab, or use the Actions button
  • To disable completely, disable the Hold Unvalidated Invoices option at the supplier site