The vendor invoice system integrates tightly with the purchase order system so that purchase order details can be easily pulled onto a vendor invoice. It helps the Accounts Payable processing system for recording expenses to projects as well as administrative invoices.
Each vendor invoice has an approval status on it. Only approved vendor invoices can be paid using the check or credit card processing system. It is possible to set up your system to bypass the approval process if desired. In the System Setup screen, Transaction Preferences options, you're able to set your approver options which allow you to automatically approve vendor invoices when they are created. In order to use this functionality, you must also have the ability to edit accounting transactions after they have been approved. Once a vendor invoice has been approved, you may select it for payment and add individual line items onto client invoices.
Vendor credits are also entered as vendor invoices to the system. To create a vendor credit, you only need to make the vendor invoice amount negative. If the total amount of the vendor invoice is negative, you'll be able to apply this vendor invoice to other vendor invoices as a credit or add the vendor credit onto payments to reduce the overall amount of payment.
If you are posting WIP and creating vouchers that are not connected to orders, please be aware that you are able to select Purchase Items, Expense Report Items and Media Items from the drop-down menu. Even if contained on the same Voucher, the amounts will be sorted according to specific categories based upon the where the items are set up in Workamajig.
New Vendor Invoice
Once a Vendor Invoice is saved, the system brings you to the Line items tab and lets the user select the lines of the chosen PO to be invoiced if an Order number was entered on the header. You may also select the Expenses tab and create a line by selecting an Item and entering in the Net or Gross amount for the item.
On saving the first time on the Invoice tab, the user is redirected to the Select Orders page to allow initial selection of orders on the invoice, the selection will be based on Project entered on the Invoice Header. The user can get back to this page by clicking on the Select Orders button on the Line Items tab.
Selecting Purchase Orders
As you select the purchase order line items to add to the vendor invoice, you can modify the amount on the selection screen. The selection screen has each purchase order and its line items grouped together in the list. You can either select individual line items by selecting the checkbox at the left side of the list or you can click the checkbox to the left of the purchase order number to select all of the line items on the purchase order. If you would like to select all of the line items in the list, click the checkbox at the top of the list. If you would like to view a purchase order, click the pencil icon to the left of the purchase order number. This will take you directly to the purchase order. Once you have selected all of the line items that you would like to add to the vendor invoice, click the save button and the system will add all of the line items and take you to the line item entry screen.
Only orders from the same company as specified on the header of the transaction will be visible.
Changing Amounts On Select Orders
If you change amounts on this page, this is what will be defaulted onto the vendor invoice when you bring them over. Make sure that the amounts look correct before clicking the Save button so that you do not have to edit the transactions after they have been added to the vendor invoice.
When you click Save, all of the selected order lines are brought onto the vendor invoice. All of the values on the order will have defaulted onto the line of the vendor invoice.
As you enter information into these fields, the system will default information based on the field you just entered.
Applying Credit To Invoice
To apply a credit to the invoice, select the Apply Credits tab. Any credits that are available for you to be applied to the invoice will be in the list. Select the checkbox on the left-hand side to apply the credit to the vendor invoice. You may also enter a description for the reason that this credit is being applied. The user can edit the credit amount to be applied to this Vendor Invoice too and it needs to be less than or equal to the Open Invoice Amount but will need to be less than the open amount of the credit. Click the save button to update the invoice.
Only Credits from the same company are visible in the list.
The total amount applied to the vendor invoice must be less than or equal to the total of the Credits and the applied payments.
The amount available to apply is the total amount of the Credit less the amount applied out to other invoices. The total applied to other invoices cannot exceed the total amount of the credit.
Vendor credits are input into the system as negative invoices. The system allows you to select purchase orders onto a vendor invoice and still put in a large negative line item to create an overall vendor credit. When the total amount of a vendor invoices negative, you'll be able to apply the open amount of the credit to other invoices. You can also take a vendor credit on a payment to a vendor. This will reduce the overall amount due to the vendor. The system allows you to apply a part of the credit directly to another invoice and another part of the invoice to be taken on a payment to a vendor.
You can use the recurring tab to generate additional invoices at a specified interval. Only invoices that are not linked to a purchase order can be used in recurring invoices. When generating a recurring invoice, you have the option to select the time interval (Monthly, Quarterly or Yearly) and the number of recurring invoices to create. The invoice date of the current invoice is used as the starting point for generating future invoices. Then click on the Create Invoices button.
After the invoices have been generated, the system will show all invoices and will allow you to perform several actions and give you quick access to all related recurring invoices.
Initially, all invoices are created with the same status as the initial invoice. You only need to submit the first invoice for approval and all other invoices will be approved with it. You can then go to any other invoice in the list, un-approve it and change it if needed. There is no difference between a recurring invoice and a normal invoice. Once changes have been made, that invoice will need to be approved separately.
If you change one invoice, you can select to apply these changes to selected invoices if they have not been posted or have been modified to be linked to purchase orders applied to them. Select the Update Using this Invoice from the drop-down list, check the invoices you want to update and click on the GO command button. The system will update these selected invoices with the details from the current invoice.
You can also delete selected invoices by clicking the checkbox next to each invoice to delete and then select Delete from the drop-down box and click on GO.
The Payments tab has two sections, the Applied Prepayments section and the Applied Payments. The applied prepayments show up when there are any payments for the vendor with unapplied open amounts but have been posted to the GL to an Unapplied Payment Account.
To apply a prepayment or cash advance to an invoice, you can select the payments tab. Any posted payments will appear in this list. To post a payment without applying it to an Invoice, the user will have to select an Unapplied Payment Account. The users can then select payments and apply them to the invoice to reduce the open amount.
- Only posted payments are visible.
- Only payments for the same company are visible.
- You can only select prepayments before the vendor invoice is posted.
- The total amount applied to the vendor invoice must be less than or equal to the total amount of credits applied and the total amount of payments applied (either as prepayments or as payments).
- The total amount applied from a particular payment must be less than or equal to the total amount of the payment less the amount already applied to vendor invoices.
The applied Payments section will show any payments that have been applied to this vendor invoice.