Pay one or more vendor bills

When you pay a bill, to help you keep track of outstanding values, you need to record this against the relevant bill. You can record the payment from within the relevant invoice. You can also create a remittance advice, which you can send to your vendors so they know which invoice you're paying.

If you want to pay multiple bills for the same vendor at the same time, or want to record a small discount to offset the payment, you can do so. If you send your vendor an overpayment, you can also record the remaining amount as a payment on account using this option.

If you have set up check printing, you can print checks from the Check Register. For more information about printing checks, see the following topics:

To pay a single bill

If you chose to create a remittance advice, it appears in a new window. You can choose to print or save it from your browser menu.

  1. From Expenses, click Vendor Bills.
  2. Click the bill you want to pay.
  3. Click Record Payment and enter the following information:
    Amount Paid *Enter the amount you want to pay against this invoice.
    Discount Given (optional)Enter any discount you received from the vendor.
    Paid from Bank Account *Choose the bank account you want to make the payment from.
    Method *

    Specify the payment method.

    Note: If you select Check, you must also select a vendor for the transaction in order for it to appear in the Check Register. You can print the check from the Check Register.

    Date PaidEnter the date of the payment.
    Your Reference (optional)Enter a reference or the cheque number for the payment.
    Print Remittance AdviceIf you want to create a remittance advice to send to your vendor, select this check box.

    * Indicates a required field.

    Note:

    You can't pay more than the total outstanding value of the invoice. If you need to record an overpayment, or pay more than one bill at once, use the Banking option instead.

  4. Click Save.

To pay a bill or bills from Banking

You can pay one or more bills from the same vendor at the same time by using the Expense/Payment option from a bank account. When you record the payment, you can also produce a remittance advice, which you can then send to your vendor to let them know which bills you're paying.

Note:

You can also use the Expense/Payment option to create payments on account and to allocate payments on account or stand-alone credit notes to one or more bills at the same time as recording a receipt. If you want to allocate credits and payments on account without recording a receipt, you can do this using the Account Allocation option.

If you entered a value in Amount Paid, as you select the relevant invoices, the left to allocate value reduces. If there is an amount left over, for example, because you've overpaid, a payment on account is created for the remaining amount.

Note:

If you want to record all of the invoices as being paid, select the check box at the top left-hand corner. If you want to allocate a payment on account or credit note, select the payment or credit then select the bill you want to allocate it to.

The amount paid plus the discount can't exceed the outstanding amount.

Note:

If you had an amount left to allocate, you're prompted to save this as a payment on account. To do this, click Yes. Alternatively, to return to the Vendor Payment option and allocate this amount to another invoice, click No.

  1. From Banking, select the bank account you want to use.
  2. Open the New Entry menu and click Expense/Payment to open the Payment (Outgoing money) page.
    Note:

    You can also create a new payment from the New Entry menu on the main Banking page. Keep in mind, if you choose to enter the payment directly from the Banking page, you must select the correct bank account when entering the payment details.

  3. Click Vendor Payment and complete the following information:
    Vendor *Enter either the company name or reference. As you start to type the list of vendors appears, choose the vendor you paid.

    Tip: When you choose the vendor, all the outstanding items appear. If required, you can use the Display filter to change this.
    Paid from Bank Account *Check the correct bank account appears. If you need to change this, choose the correct account from the drop-down list.
    Method *

    Specify the payment method.

    Note: If you select Check, you must also select a vendor for the transaction in order for it to appear in the Check Register. You can print the check from the Check Register.

    Date Paid *Enter the date you made the payment.
    Amount Paid *

    Enter the total amount you paid your vendor.

    Tip: If you don't enter a value here, the payment amount is calculated from the items you select from the list.

    Your Reference (Optional)If required, enter a reference for this payment.

    * Indicates a required field.

  4. Select the check box for the bills you paid.
  5. If you want to enter a discount or only pay part of the invoice, click the Discount or Paid columns for relevant invoice then:
    • To partially pay an invoice, enter the payment amount in Amount to pay and click Apply.
    • To enter a discount, enter the value in Discount and click Apply.
  6. Do one of the following:
    • To produce a remittance advice, open the Save drop-down menu and click Print Remittance. The remittance advice opens in a new window and you can print or save it from your browser menu.
    • To add another payment without creating a remittance advice, open the Save drop-down menu and click Add Another.
    • To save the payment without creating a remittance advice or adding another payment, click Save.

You've successfully recorded the bill payment and it now shows as either paid or part-paid.