mibuso.com

Hi all
I have come to a special situation where our current agreement with a new supplier requires us to pay an percentage of the invoice (in addition to normal discount) and need to be retained to be paid later.

Eg:
Discount: 7%
Additional per: 3%

Invoice Gross Amount: 100
Discount: 7%
Net Invoice: 93 This is posted in the normal way. But, an additional percentage 3% of gross invoice amount to be calculated and recorded as a liability to this customer. This amount is used as a security and paid (or set off) later.

I recommended to run a process to calculate this at the end each month and transfer the account. But, the Finance and Sales directors insist on automatically capturing them at the time of invoicing.

Any advice on how to do this? Specially at the time of posting routine?

Any suggestions, please experts?

Hi slmaluwa,



If you need to do this at posting time, a few customizations are required. I would try to avoid to modify the payment routines to achieve it. This could be done by posting two V/L entries:

VL1: 96% as liability including the retained discount
VL2: -3% as credit memo on the retained discount, set "on hold", against discounts received (split by VAT and so on).

This could be done within the same transaction from CU90. It would have the advantage that your payments batch needs no modification, and you can set up a process to free the "security" entries from "on hold", and it would automatically be set off or paid by the supplier.

The customizations would involve:

- invoice discounts
- an aggregation of these "security" amounts (balance and pnl) to have a base for VL2. But since this s one transaction, it's not that complicated, you "only" need to post the retained discount when the normal discount is posted and sum it up.

with best regards

Jens