The Settlements module can be used for settlements between purchase and sales invoices and accounts (e.g. ‘Prepayments to suppliers’ and ‘Customer prepayments’).
Settlements can be sorted and filtered. It is possible to filter according to the start/end date and the other party. In order to see the results, click on ‘Show’; in order to clear the filter, click on ‘Clear filter’. For filtering, you can enter search dates on the start and end date fields. If you enter only the start date, the program will search for entries made on and after the respective date. If you enter the end date, the program will find all entries made until that date. If you enter both the start and the end date, the program will find all entries within that period.
It is possible to sort according to the date, the other party, sum, status and description.
A new settlement can be added by selecting Billing >Settlements > Add settlement fromthe program menu.
If purchase or sales invoices are being settled, it is possible to select between purchase and sales invoices and accounts related to a specific customer, supplier or employee.
The window that opens displays and allows adding general data on the settlement.
• Sum, currency
• Other party
• Date of settlement
After saving the information, a settlement in an unconfirmed status is created; on that, debit and credit sums and respective accounts must be selected.
• Debit account
• Credit account
If necessary, it is also possible to add extra-rows to the debit and credit accounts. Debit and credits amount must be equal to save the changes.
By clicking on the ‘Save and confirm’ button, the settlement is conformed and the necessary entries are created.
Subtracting a customer prepayment from a sales invoice
If a buyer has made a prepayment, then the incoming payment is registered and reconciled to account 2210 Customer prepayments – obligations of the organization increase. If necessary, the prepayment can be used for reducing the payable sums on sales invoices. For this purpose, user creates a new settlement by filling in the sum, the related party and date of settlement, and saves the information. After saving, an unconfirmed settlement opens, where debit and credit sums, as well as accounts need to be indicated. Debit account is account 2210 Customer prepayments; for credit, a prepared sales invoice is selected, sums are filled in, and the settlement is saved and confirmed. After this, the balance of account 2210 and payable sum of the respective sales invoice reduce by the amount of the settlement.
Subtracting a prepayment to a supplier from a purchase invoice
If a prepayment has been made to a supplier, then the outgoing payment is registered in the Incoming/Outgoing Payments module and reconciled to account 1530 Prepayments to suppliers – claims of the organization increase. If you wish, you can use this prepayment for reducing a payable sum on a purchase invoice. For this purpose, a new settlement has to be added with the sum, related party and date of settlement, and this information must be saved. After saving, an unconfirmed settlement opens, where debit and credit sums, as well as accounts need to be indicated. Previously entered purchase invoice must selected as the debit account; credit account is account 1530 ‘Prepayments to suppliers’ with sums filled in; then, the settlement is saved and confirmed. After this, the balance of account 1530 and payable sum of the respective purchase invoice reduce by the amount of the settlement.
Reimbursing a prepayment to buyer/supplier
If a buyer or a supplier has a made a prepayment (registered to account 2210 Customer prepayments) and you would like to reimburse it, then you can open the buyer/supplier card and click on the ‘Return prepayment’ button in the Accounts section. With this, a payment order is created that can be uploaded to the bank E-Financials does not create entries with this operation!
After adding an outgoing payment, it has to be reconciled by uploading a bank account statement or by adding it manually. In the case of outgoing payments, it is not possible to select account 2210 Customer prepayments in the e-Financials; therefore, you should select account 1530 Prepayments to suppliers and confirm the outgoing payment.
Next, you should prepare a settlement for accounts 2210 Customer prepayments and 1530 Prepayments to suppliers in the Settlements module so that these accounts would not have an outstanding balance.
For this purpose, use the ‘Add a new settlement’ button for adding a new settlement, fill in the necessary fields and save. Regarding transaction accounts, debit account should be 2210 Customer prepayments, credit account should be 1530 Prepayments to suppliers, add the sums and save. By saving and confirming, customer prepayment is reduced, as is the prepayment to suppliers, which was made while settling invoices.
A confirmed settlement can only be changed after voiding the confirmation. In order to void, click on the ‘View’ button after the respective settlement in the settlements list. Then, a settlement window opens with the button ‘Void confirmation’; after clicking on that, entries are deleted and the settlement goes back to unconfirmed status.
Settlement can be deleted only in the unconfirmed status. This means that entries need to be voided before confirmed settlements can be deleted.