Settlement

The Settlement function simplifies the process of writing off the remaining balance of individual open invoices. Normally this function is used when payment has been received and the invoice is "fully paid", but the payment amount does not exactly match the invoice amount, as may be the case when payment is in a different currency, or the exchange rate does not match the original invoice rate. The settlement function can also be used to write off the remaining balance of invoices that have not been paid, or have only be partially paid. Entries are created in GL for the writeoff using the Receivables account from the distribution code and the GL account from the selected payment method for that customer. Once complete, a GL log will be created to identify the journal entries that were generated.

Note: The settlement function does not generate any gain or loss entries. If you use multicurrency, the settlement of remaining invoice amounts will be done using the currency and exchange rates of the original invoice to ensure that no gain or loss is incurred.

 

  1. Use the Data Filter to select the range of filtering options or leave the filter blank to include all available data.
  2. Select the Payment Method to display in the report from the Payment Method section.
  3. Select the date you want to write off the remaining balances of the invoices from the Settlement Date field.
  4. Select the general ledger period and fiscal year to post to or accept the default from the Fiscal Period/Year fields.
  5. Enter any applicable comments in the Comments field.
  6. Select the check box of any invoices you would like to settle in the detail section.
  7. Click a command button to
    8. Click To
    OK Execute the settlement of the selected invoices and create the GL log of these transactions.
    Activity View the Activity Log for invoice settlement.
    Reset

    Set all fields to their default values.
    Auto

    Clear all existing invoice selections, then select invoices with a "Released" status and a Gross Amount Due less than or equal to the Settlement Variance value specified in the Active Currency function. Invoices with a "Held" status must be selected manually.