Supplier Offset Proposal
Description of Supplier Offset process
This process is used to offset supplier
open invoice/prepayment items with positive balances against supplier open invoice/prepayment
items with negative balances using an offset proposal.
An offset proposal may be created online or as a background job.
Suppliers to be included in an offset proposal are specified
by selecting a range of supplier 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 supplier 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 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 supplier
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 supplier
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 search through the credit items to
find a match within the allowed difference amount. The system will then
takes 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, PO Reference, Payment 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 amount. The system will compare each item with the
allowed difference amount. All items within the 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 suppliers.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.