Supplier Payments/Debits/Credits Training Guide
Assumed Knowledge
Before you attempt the Supplier Payments/Debits/Credits training guide, you must complete:
The skills covered by the training guide segments listed above are taken as assumed knowledge. Do not proceed with this segment of the training guide until you have reviewed the training guide segments listed above and successfully completed the skills test at the end of those earlier training guide segments. You can't successfully complete this segment of the training guide without the skills covered in those earlier segments. There are no effective short-cuts! Don't sell yourself short by skipping those essential skills.
Supplier Payments Overview
Supplier Payment Video Training
Watch those training videos on supplier payments:
(Before using any videos, don't get stuck with viewing a tiny image, see How To Play Videos )
Entering a new supplier payment through Supplier Transactions
A supplier payment in Readysell records a payment for goods that have been purchased from a supplier. Once the payment has been entered and allocated, a supplier remittance can be sent to the supplier.
- In the navigation panel, click Relationships>Supplier Transactions>Payments
- Click New. The Supplier Payment window displays.
- Enter header details for the payment:
- Select the supplier who the payment is for.
- Enter the date of the payment. For transactions off a bank statement, this will be the statement date; for other transactions it will be today's date.
- Enter the value of the payment.
- Enter the payment tender method. The available finalisation methods will depend on what you enter here.
- Select the Bank account that the payment has been made from
- Enter a description of the payment.
- Enter a Payment Reference. Usually your account code with the supplier. If paying by cheque enter the cheque number.
When you have finished, you have five options to finalise.
- Click either Save or Save and Close to save the payment without finalising it. This can be used to park a payment.
- Click on Finalise to finalise the payment without allocating it against any invoices. When you click on Finalise you can choose either Finalise or Finalise and Print Remittance.
- Click Finalise and Allocate to finalise the payment and allocate it against an invoice.
- If the payment was by cheque, you can also click Finalise and Print Cheque to finalise the payment and print a cheque if you have preprinted stationary.
Entering and allocating a Supplier Payment through Cards using 'Pay' button
Paying Existing Supplier Open Items by Tagging
In the navigation panel, click Relationships>Cards.
- You can narrow your search by clicking on the Drop Down Box on the top panel at selecting 'Current Suppliers'
- Select "Supplier"
- Click on tab "Status tab"
- Click on tab "Supplier Open Items"
- Click on 'Unallocated Open Items' as you only want to pay transactions that are outstanding.
Hold down the Ctrl Key as you click on each individual Open item that you wish to flag to pay. As you click and highlight each open item you will notice that the '$ Value" in the Pay $ is increasing.
- Click on button "Pay $..." button
- Change the "Date" if required
- Select the "Tender" for the supplier payment.
- Key in the "Description" that goes with this payment
- Enter a payment reference. This is very important if using the Importing of Bank Statements. You can enter your account code with the supplier or if paying by cheque enter the cheque number.
- If you need to add further notes to the payment you must click on 'Save' and click on 'Notes' action button on the top task bar.Notes
- Click on button "Finalise" and select to either 'Finalise' or 'Finalise and Print Remittane'. If you have selected 'Print Cheque Tender' and you need to print the cheques to go with this payment if you have preprinted stationary.
- If you selected 'Print Cheque Tender' then click on 'Finalise and Print Cheque' action button
'Print Cheques' pop up box appears
- Check the details re cheque numbers etc and click on YES
- Printer Window selection window appears.
- Select the correct Printer and click on Print
- You may get a pop up saying 'One or more margins are set outside the printable area of the page. Continue?
- Click on Yes
Another Pop up will appear 'Did all of the cheques print successfully? yes or no. If they didnt you have the choice to say no and reprint the cheques. If they did click on Yes.
'Would you like to Print the Associated Remittance Advices?
- Click on OK to print the remittance or Cancel to exit.
- Printer selection will appear, select the printer and click on Print to Print the Remittance.
Entering a new supplier payment through cards manually
A supplier payment in Readysell indicates that you are paying suppliers for items that have been purchased. A payment can be made via direct deposit, cheque, eftpos or cash etc
Once a payment has been entered, it can then be allocated against the suppliers card, and it then reduces the balance owing by the supplier.
If you need to make a payment to a supplier before placing an order with them, you can insert a payment against the suppliers card and leave the payment unallocated until you receive the goods and invoice.
Once that is done, you can allocate the payment against the corresponding invoice ensuring the amount paid to the supplier equals the value of the invoice.
- In the navigation panel, click Relationships>Cards.
Find the Card and Highlight it
Right Click on the Card
Highlight NEW and Select Supplier Payment Entering a new supplier payment through Supplier Transactions
- Or from the top ribbon, drop down the NEW action button, highlight and select Supplier Payment
- The Supplier Payment window displays.
- Enter header details for the payment:
- Enter the date of the payment.
- Enter the full value of the payment to make
- Enter a description to best describe the payment usually the invoice number
- Select the correct tender method. This is very important as it affects bank reconciliations.
- Enter a reference for the payment. This reference can be your account code with the supplier or something off the bank statement. If paying by cheque then enter the cheque number
- When you have finished, you have two options.
- Click Finalise to finalise the payment without allocating it.
- Click Finalise and Allocate to finalise the payment and allocate it against an invoice. refer to more details on the allocation and applying discount on the link Entering a new supplier payment through Supplier Transactions
Test data screen shot below
Supplier early payment discount terms can be applied to a supplier payment automatically by entering the "Early Payment Discount Terms" and "Early Payment discount Percent" on the supplier setting tab.
Note: The value of the payment term that you insert into the field 'early payment discount term' applies to the 'date' of the open item not the 'due date' on the open item.
eg If you have Payment terms of 30 EOM and you have an invoice dated 1/9/2020 the due date of the invoice would be 1/10/2020.
If you insert an early payment discount term of 15 and a discount percent, that means if you pay this invoice 15 after the date of the open item and before the due date, the discount will apply.
Reversing a Supplier Payment through Cards
There are many ways within Readysell of reversing a Supplier Payment.
Readysell will only allow you to reverse a supplier payment into a date that has not been reconciled. If a bank reconcilation has been extracted and posted for the date you are trying to reverse a supplier payment into, the system will pop up with a validation error. You can only choose to close. By closing, you then have the option to either enter a date that has not been reconciled to stand for the reversal or not reverse the supplier payment at all and click on Close..
You can reverse just the supplier payment and/or the supplier payment along with the allocated open items. The system will prompt you with a validation if the payment has allocations against it and you can choose to 'Ignore' or 'Close'.
If you choose to Ignore and continue with the reversal of the supplier payment, the system will create a reversal supplier payment and set all the open items allocated against the supplier payment to be outstanding.
When reversing just a supplier payment, the system creates a supplier payment in reversal and writes 'Reverse' in the description field and allocates the original payment to the reversed payment.
- In the navigation panel, click Relationships> Cards
Search for the supplier cardid or card name for the payment in question.
- Click on tab Status>Supplier Open Items
Drop the filter in the detail area to 'All Open Items"
- Search for the payment that you need to reverse.
Highlight the supplier payment and either right click and select 'source record' or click on Source record in the detail area ribbon
- You will now be take to the original supplier payment window.
- Click on Reverse action button in the top ribbon
If the payment has an allocation you will get a validation error
If you wish to reverse both the supplier payment and open items that are part of this allocation, click on Ignore on the validation.
You are now prompted with a date. This will be the date for the reversal. If you leave the default date, you could get an error if this date is part of a posted bank reconciliation. Click on Ok
Validation error pop up box will appear if the date is in a reconciled period. Click on Close and decide if you still want to reverse the supplier payment or not. If you do, change the date on the reversed transaction and click on OK
By reversing a supplier payment that has allocations and dating the reversal a different date, the system creates the reversed supplier payment and allocates it against the original supplier payment and all the open items that were linked to the original supplier payment are now outstanding.
Reversing an existing supplier payment through Supplier Transactions
There are many ways within Readysell of reversing a Supplier Payment.
Readysell will only allow you to reverse a supplier payment into a date that has not been reconciled. If a bank reconcilation has been extracted and posted for the date you are trying to reverse a supplier payment into, the system will pop up with a validation error. You can only choose to close. By closing, you then have the option to either enter a date that has not been reconciled to stand for the reversal or not reverse the supplier payment at all and click on Close..
You can reverse just the supplier payment and/or the supplier payment along with the allocated open items. The system will prompt you with a validation if the payment has allocations against it and you can choose to 'Ignore' or 'Close'.
If you choose to Ignore and continue with the reversal of the supplier payment, the system will create a reversal supplier payment and set all the open items allocated against the supplier payment to be outstanding.
When reversing just a supplier payment, the system creates a supplier payment in reversal and writes 'Reverse' in the description field and allocates the original payment to the reversed payment.
- In the navigation panel, click Relationships> Supplier Transactions>Payments
Drown the Filter to show 'All Supplier Payments'
Search for the supplier payment or cardid or card name for the payment in question.
- If a payment has not been reversed, the Reverse action button will be active.
- Highlight the payment
- Click on 'reverse' action button in the ribbon
If the payment has an allocation you will get a validation error
If you wish to reverse both the supplier payment and open items that are part of this allocation, click on Ignore on the validation.
You are now prompted with a date. This will be the date for the reversal. If you leave the default date, you could get an error if this date is part of a posted bank reconciliation. Click on Ok
Validation error pop up box will appear if the date is in a reconciled period. Click on Close and decide if you still want to reverse the supplier payment or not. If you do, change the date on the reversed transaction and click on OK
By reversing a supplier payment that has allocations and dating the reversal a different date, the system creates the reversed supplier payment and allocates it against the original supplier payment and all the open items that were linked to the original supplier payment are now outstanding.
Using the Supplier Payment Discount feature on Over and Under Payments through Supplier Transactions
- In the navigation panel, click Debtors and Creditors>Supplier Transactions
Click New. The Supplier Payment window displays as below.
- Enter the header details for the payment
- Enter the date of the payment.
- Enter the full value of the payment made
- Select the Supplier from the drop-down filter and draw it to the screen
- Enter a description to best describe the payment.
- Select the correct tender method. This is very important as the tender selected affects the bank reconciliations.
Enter a payment reference. This is used when Importing the bank reconciliation. Usually, your account code with the supplier or a cheque number if paying by cheque
- When you have finished entering the payment details you can do one of two things either:
- Click Finalise button to finalise the payment only
Click Finalise and Allocate to finalise the payment and allocate it against an invoice and use the discount feature
If you select Finalise and Allocate, a Supplier Payment Allocation Window will open (test data screen shot below)
- Highlight each open item that makes up the payment and click on 'allocate selected'.
A balance will remain in the 'Value' field at the top of the allocation window depending upon if it is an overpayment or underpayment.
Overpayment:
If the balance in the 'value' field is a negative value, in the line details of the allocation for the Suppay transactiontype line, enter a Negative value into the discount field. This means that you are overpaying by a few cents and you wish to write it off at the time you enter the payment and allocate it
The balance in the value field should now be 0.00
Click on Finalise
Once this overpayment has been entered and allocated with a discount value and finalised, the system will automatically create a SUPDEB on the card (Supplier debit) to stand for the discount value and it will be dissected against the general ledger account of 'Supplier Discount Received eg 62070'.
Underpayment:
Follow the steps above to insert the supplier payment (full value of the payment overpaid)
When you click on Finalise and Allocate on the allocation window, select the open items that make up the supplier payment
You will be left with a balance in the value field because you overpaid. Example of test data screen shots below
If the balance in the 'value' field is a positive value, on the line details of the allocation for the Suppay enter a Positive value in the discount field. This means that you have underpaid by a few cents and you wish to write it off at the time you enter the payment and allocate itThe value now should be 0.00 on the allocation window
Click on Finalise
Once this underpayment has been entered and allocated with a discount value and finalised, the system will automatically create a SUPCRE on the card (supplier credit) to stand for the discount value and it will be dissected against the general ledger account of 'Supplier Discount Received eg 62070'.
Remittance will print the value of the payment along with the open items that were allocated against the payment. If there is a transactions created to stand for the discount, that will print also.
Supplier Payment Runs Overview
You can also extract a ABA file or BPay file if you have this set up.
Generating supplier payments using a supplier payment run
You do not need to submit this payment using just the ABA file, you can manually upload the supplier payments if you dont have the ABA file set up.
If you are going to use ABA (Australian Banking Association) please ensure you follow the setup for the ABA file before you commence Payment Runs. Setting up automatic generation of ABA files for supplier payments
You may need to contact Readysell for the setup of the ABA File .
Ensure that Readysell has set up the Tenders, ABA, Bpay file before you can commence a Supplier Payment Run.
If you should have a problems with either emailing remittances and/or generating ABA file from within a Supplier Payment, DO NOT REVERSE EACH INDIVIDUAL SUPPLIER PAYMENT. Contact Readysell.
If you feel you have made a mistake with one supplier in the payment run, DO NOT REVERSE EACH INDIVIDUAL SUPPLIER PAYMENT RUN only reverse the supplier payment that does not look right or contact Readysell.
If you have overlooked or the supplier open item is not part of the payment run, go back to the supplier and check. If the transaction does not exist you can still insert the transaction as long as it has the right date and if you the payment run is still open, you can still re extract into the run and take up the transaction.
Before commencing a supplier payment run, you should have reconciled the supplier remittances against the open items in Readysell to ensure that the data is correct.
You cannot overpay a supplier open item within the run, however you can underpay and leave a balance on the open item. If the open item you wish to pay is greater than the transaction entered into Readysell you need to go back to the source transaction and fix it.
Also in respect to Supplier Credits or Purchase Credits within the payment run, they are not allocated to be paid it is up to your discretion when you want to take these credits up and in what period. They are part of the field 'Balance' but not part of the field 'Payment Value'.
If the overall supplier balance for a Supplier is in Credit for a due date that has been selected in a payment run, then this supplier will not be part of the supplier payment run. You will have to do a manual supplier payment from the suppliers card, highlighting the open items you wish to pay and allocate accordingly.
If you wish to see all outstanding open items for a supplier and not just the open items due to be paid, set the due date on the supplier payment run to be a date in the future.
Supplier Card data tidy up
- Supplier Account Number within the Supplier Settings Tab on each Supplier Cardid
- Assign a Payment Term within the Suppliers Settings Tab
- Set a Supplier Tender within the supplier settings tab
- If you are going to email the supplier the remittance, within Supplier Settings Tab, turn the Tick on for 'Auto Email Remit' and also from within Contacts tab> a contact name, email address, job description, ‘is receivable’ ticked – if you wish to email the remittance.
- On the Address tab, ensure at least one address is flagged as 'Accounts'.
- If you are using the ABA file to pay the supplier check all set up have been done. see link Setting up automatic generation of ABA files for supplier payments
- If you are using the Bpay file to pay the suppliers check all set up has been done. See link Setting up automated generation of Bpay Supplier payments.
- Ensure that Readysell has set up a Tender to stand for the Supplier Payment via ABA or Bpay or just EFT. Do not just select any tender.
Supplier Payment Run
- From the Navigation panel, double-click Relationships>Supplier Transactions>Payment Runs
- Check that there are no outstanding payment runs by dropping the filter in the ribbon and selecting Outstanding Payment Runs. If there are you will need to finalise it.
- Then click New to create a new payment run
- The New Payment Run window appears
Check the Payment date. If you are not lodging the payment today you can change the date to reflect when you are actually going to transfer the money