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 |
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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 |
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Funds Check |
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Invoice Validation | No | No |
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Insufficient Funds | Invoice distribution amount is more than the funds available | Invoice Validation | No | Yes |
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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 |
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Amount | Invoice amount is more than the invoice amount limit you specify for a supplier site | Invoice Validation | Yes | Yes |
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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 |
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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 |
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AMT ORD | Amount Billed is greater than Amount Ordered * (1 + % Ordered tolerance) | Invoice Validation | Yes | Yes |
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AMT REC | Amount Billed is greater than Amount Received * (1 + % Received tolerance) | Invoice Validation | Yes | Yes |
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MAX AMT ORD | Amount Billed is greater than the sum of Amount Ordered and Maximum Amount Ordered Tolerance Amount | Invoice Validation | Yes | Yes |
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MAX AMT REC | Amount Billed is greater than the sum of Amount Received and Maximum Amount Received Tolerance Amount | Invoice Validation | Yes | Yes |
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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 |
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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 |
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Max Qty Ord | Quantity billed more than the sum of (quantity ordered plus the tolerance amount) | Invoice Validation | Yes | Yes |
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Max Qty Rec | Quantity billed is more than the sum of (quantity received plus the tolerance amount) | Invoice Validation | Yes | Yes |
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Max Rate Amount | Exchange rate variance exceeds amount tolerance limit | Invoice Validation | Yes | Yes |
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Max Ship Amount | Variance between invoice and shipment amount exceeds amount tolerance limit | Invoice Validation | Yes | Yes |
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Max Total Amount | Sum of exchange rate variance and maximum shipment amount variance exceeds amount tolerance | Invoice Validation | Yes | Yes |
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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 |
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Qty Ord | Quantity billed is more than [quantity ordered (1 plus % tolerance)] | Invoice Validation | Yes | Yes |
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Qty Rec | Quantity billed is more than [quantity received (1 plus % tolerance)] | Invoice Validation | Yes | Yes |
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Quality | Quantity billed is more than quantity accepted | Invoice Validation | Yes | Yes |
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Rec Exception | Purchase order receipt indicates exception | Manually in Purchasing | Yes | Yes | Manually release in the Invoice Holds tab |
Tax Difference |
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Invoice Validation | Yes | Yes |
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Variance Holds
Payables can apply these predefined variance holds.
Hold Name | Hold Reason | Hold Placement | Accounting Allowed | Manual Release Allowed | Hold Removal |
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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 |
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Invoice Validation | Yes | Yes |
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Tax Variance |
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Invoice Validation | Yes | Yes |
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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.
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.
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 |
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No Rate | No exchange rate for foreign currency invoice | Invoice Validation | No | No |
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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 |
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Supplier | Hold all unvalidated invoices for a supplier | Invoice Validation | Yes | Yes |
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