Customer Offset Proposal
Description of Customer Offset process
This process is used to offset customer open invoice/prepayment items with
positive balances against customer open invoice/prepayment items with negative
balances using an offset proposal.
An offset proposal may be created online or as a background job.
Customers to be included in an offset proposal are specified by selecting
a range of customer IDs. You can select only one currency at a time and all
open invoices/prepayments (except advance invoices) that are authorized for
payment in that currency are considered for the selection. It is also possible
to allow open items of any ledger status to be included in the proposal or to
allow only open items of a specific ledger status (i.e. either Normal
or Bad Debt) to be included. If an allowed difference is specified, an
offset proposal will be suggested only if the difference resulting from the
offset is less or equal to that amount. Here, the difference is posted as a
new difference invoice item against the customer and then written off using
the write off code specified by you. (Note that you are required to specify
a difference item invoice type, difference item invoice series, debit write
off code and credit write-of code and write off code if you enter an allowed
difference.) If no allowed difference is specified, the offset proposal will
be created if there is no difference resulting from the offset.
There are six possible methods in which open items can be matched against
each other to create an offset
- Match All Open Items
If this matching method is selected,
an offset will be suggested for an individual customer only if the balance
of all open items are within the specified allowed difference amount.
An offset proposal will be created only if at least one customer has a balance
within the specified allowed difference amount.
- Match Single Debit Item with Single Credit Item
If this matching
method is selected, the system takes the first debit item and searches through
the credit items to find a match within the allowed difference amount. The
system will then take the next debit item and continue until all debit items
are covered. All matched items will be added to the offset proposal.
- Match Open Items with One or More Credit Items
If this matching
method is selected, the system take the first debit item and matches it
with with one or more credit items until matched within allowed difference
amount. The system will then take the next debit item and do the same thing
until all debit items are covered. All matched items will be added to the
offset proposal.
- Match Open Items with Common Invoice Reference
If this matching
method is selected, a reference type must be selected to which the items
should be matched . The reference types available are Invoice Reference,
Order Reference, Customer Reference and Creators Reference.
The system matches debit items and credit items with the same reference
information and within the allowed difference amount. All matched items
will be added to the offset proposal.
- Write-off Single Items
If this matching method is selected,
an offset will be created if a single item is within the allowed difference.
The system will compare each item with the allowed difference amount. All
items within allowed difference will be added to the offset proposal.
- Manual
If this matching method is selected, an empty proposal
will be created which is independent from the customers.The invoices/ prepayments
can be manually added in the detail level using the Select Multiple
Invoices/Prepayments page.You can select only one currency
at a time when loading a new proposal and the invoices/prepayments (except
advance invoices) that are authorized for payment in that currency are available
for the selection. The payment amount can be manually modified in the detail
level in order to balance the positive items with negative items. Here,
the actual difference should be equal to zero in order to approve the offset
proposal for creating the payment transactions and the voucher.
Once an offset proposal is created it can be modified, printed and approved.
Approval of the offset proposal too can be performed online or as a background
job, and it results in the creation of a voucher which can be viewed in the
Voucher Details page. The default voucher date, voucher type and
user group suggested by the system in the Payment Parameters dialog
at the time of approving the voucher can be changed if required.