If within the Smart Ops Release window, click here to learn about AP Invoices.



Inputting AP Invoices is easy. Users can either manually enter a new AP Invoice or import a csv file of AP Invoice details. If the AP Invoice has a 'Document Issues' tab listed, click here to learn how to resolve Document Issues. 


This article reviews the following:


Security

 

The Permissions listed here are associated with AP Invoices within Accounting. These Permissions can be added to Custom User Roles or single Users. Learn more about managing Permissions and Custom User Roles here.

 

Important Note: These Permission is for Accounting only and do not provide access to AP Invoices within Smart Ops.
   

AP Invoices Permissions are found in the Permission Tree as follows:

  • Accounts Payable
    • AP Invoices
      • View AP invoices Within Accounting
      • Edit AP Invoices
      • Edit AP Invoice Payment Terms & Due Date
      • Create AP Invoices
      • Use Pay Bill
      • Mark Invoices as Paid
      • Assign Missing Items
      • Approve AP Invoices
      • Unapprove AP Invoices
      • Void AP Invoices
      • Unvoid AP Invoices
      • Delete AP Invoices
           

The Permission Access report can be used to determine which User Roles or Users already have these Permissions assigned.

 

Learn more about User Setup and Security here.


AP Invoice Warnings


Two warnings will be noted on the AP Invoice form if a violation occurs:

  • Vendor Contract Price Violation - The Vendor violated the set contract price, which can be entered on the Vendor Item record along with an acceptable variance %. Speak with a Vendor representative to notify them of this issue
  • Item Category Threshold Variance - The item costs within an Item Category are beyond the acceptable variance threshold. This could be due to a cost increase by the Vendor or an incorrect entry was made. If an incorrect amount was entered, ensure to verify that the each amount is the correct cost for this Inventory UofM 1 before saving, completing, or approving the invoice


Create an AP Invoice



To create an AP Invoice, hover over 'Vendor' and click 'Invoice'. This will open a new AP Invoice form.


Back to Top

AP Invoice Header




1) Location - The location and legal entity should default from User settings. The User's default location will automatically appear each time a new Invoice is created for a faster input time, but this field can also be changed if needed. When updated, the Location in the Details grid below will also update to the new Location, unless otherwise noted in User Preferences

  • Note: Locations will be grayed out if they are inactivated. Click here to learn how to inactivate a Location


2) Vendor - The name of the Vendor from which the invoice was received. Once selected, the Vendor address will be noted below 'AP Invoice' in the top ribbon and any necessary 1099 information from the Vendor record will be listed below the Comment box. This provides necessary information at a quick glance

  • Note: Depending on the Vendor Entry method (set on the Vendor record), the details grid will be set to 'Account' or 'Item'


3) Invoice Number - This is the Vendor's invoice number. If no number is available, create a new one

  • Note: If you are entering a large invoice, like a food invoice from your supplier, you may want to use the ‘AP Invoice Import Function’. This functionality allows the User to import a pre-defined template with your suppliers invoice details. Click on this link to access the Importing An AP Transaction tutorial


4) Document Date - The date listed on the invoice


5) GL Date - The date the invoice posts to the General Ledger

  • Note: When this date is different than the Document Date, an orange exclamation pointwill appear, bringing attention to the fact that there is a difference between the two dates


6) Document Amount - Enter the total original amount of the invoice before any discounts. Although this is not mandatory, the placement of this field allows for a quick entry along with the required fields


7) Status - This is the Transaction Status and Operations Status of the AP Invoice

  • Note: Transaction Status will be 'Approved' or 'Unapproved'
    • Once the Transaction is Approved, the Operations Status will be automatically marked as 'Completed'
  • Note: Operations Status will be 'Completed' or 'In Progress'
    • An AP Invoice marked as 'Completed' is ready for processing
    • An AP Invoice is not required to be 'Completed' in order to be processed in Accounting


8) Payment Terms - These are used to specify the Terms in which a payment should be received. Changing the 'Payment Terms' is optional, but if the Vendor is setup correctly, this value will already be populated


9) Due Date - This is the date by which the payment is due. This field will auto-populate to today's date, but can easily be changed by typing in a new date or clicking the calendar icon and selecting a different date


10) Credit Expected - Any amount shorted on a given delivery. A highlighted 'Unassigned Amount' will pop up below the 'Amount' box and refers to the amount remaining to be assigned to a cost category. Refer to the Credit Expected article for more information about how to use the 'Credit Expected' field on the AP Invoice form


11) Comment - This optional field is useful for adding additional notes about a Credit Expected as well as other information to the AP Invoice, as demonstrated in the image below. Comments appear in the 'All Transactions' and 'AP Transactions' lists and can be used for sorting and filtering purposes


12) 1099 Amount - This amount equals the Document Amount field until it is manually changed. If an invoice is duplicated and the 1099 amount is not equal to the Document Amount, the 1099 amount does not automatically update. If the 1099 Amount does not equal the Document Amount, an orange exclamation pointwill appear, bringing attention to the fact that there is a difference between the two amounts. A document cannot be Saved or Approved if the 1099 Amount is greater than the Document Amount or the 1099 Amount is less than $0

  • Note: This box appears when the Vendor is a 1099 Vendor, as noted on the Vendor record, and on approved transactions even after the Vendor is updated to not be a 1099 Vendor


13) 1099 Form - This field will auto-populate with the type of 1099 Form selected as the default form on the Vendor record. The drop-down selector displays the forms marked as 'Active' on the Vendor record that can be selected and used for this transaction 

  •  Note: This box only appears when the Vendor is a 1099 Vendor


14) 1099 Box - This field will auto-populate to the default 1099 Box noted on the Vendor record. The drop-down selector lists all boxes for the selected 1099 Form, which can be updated if the 'Allow Box Override' checkbox is checked on the Vendor record. Otherwise, this field cannot be updated

  •  Note: This box only appears when the Vendor is a 1099 Vendor


15) Priority - The Priority Status assigned to this invoice, which can assist in identifying and prioritizing the payments on a check run that should be processed first so that cash flow is maximized. If the Vendor is marked as a certain priority, this field will automatically update when the Vendor is assigned. However, this field can be updated after the Vendor is selected to once of the following values:

  • Critical
  • High
  • Standard
  • Low


16) Mark as Paid - This toggle allows the User to automatically create an AP Payment. This can be toggled either before or after the payment is Approved, as long as there is an amount remaining on the invoice. If clicked, a field will appear that has the user select a bank account

  • Note: If the fiscal period is closed for either the Legal Entity of the Location listed on the header or the Legal Entity assigned to the bank account, a prompt will appear displaying that the transaction cannot be saved


17) Link to Asset - This toggle will link the Invoice details to specific Assets


18) Franchising - This option allows Franchisors to record and pay AP Invoices on behalf of their Franchisees. The expense can then be passed on and billed to the Franchisee. Refer to the AP Invoice: Franchising article for more information about entering Invoices on behalf of your Franchisees


19) Payment Hold - This toggle puts the invoice on hold so that it cannot be paid. As soon as the Amount Remaining is greater than zero, this toggle will be active. Click here to learn more about Payment Holds

  • Note: When the Amount Remaining is equal to zero, the toggle will automatically be turned off and cannot be updated


Back to Top

AP Invoice Details


Invoice details can be entered in two different ways: Entry by Account or Entry by Item. Both ways are detailed out below.



Entry by Account (Cost Categories)


 

1) Use Preset Allocations Selector - Toggle this on to choose from a list of Preset Allocations. A Preset Allocation will spread the amount entered to preselected GL Accounts and Locations based on their preset allocation percentages. Click here to learn more about Preset Allocations

2) Account - The cost category. The system will search for all categories that include the letters typed in

3) Amount - The amount for this category

4) Comment - This is an optional field where a User can type in any brief comments associated with this line item

5) Location - The Location and Legal Entity receiving the order. This will auto-populate to reflect the Location listed on the header, unless otherwise noted in User Preferences. Multiple Locations or Location Groups can be selected from this field, enabling the amount entered to be equally distributed across all Locations

  • Note: The multi-select option is only available for Entry by Account. The Locations in the selector will be limited to those that have access to the selected GL Account

6) Start Date of Service - The date that the range of service begins. This is optional and often used for bills that extend over the end of the month / period (i.e. a utility bill dated 5/10/2019 with Dates of Service from 4/10/2019 to 5/9/2019). This is explained further in the section below

  • Note: If legacy data was entered before the replacement of the Accrual Tab, older AP Invoices will automatically save their Dates of Service under the Details Tab

7) End Date of Service - The date that the range of service ends. This is optional and often used for bills that extend over the end of the month / period (i.e. a utility bill dated 5/10/2019 with Dates of Service from 4/10/2019 to 5/9/2019). This is explained further in the section below

  • Note: If legacy data was entered before the replacement of the Accrual Tab, older AP Invoices will automatically save their Dates of Service under the Details Tab

8) Add / Clear Button - This will either add or clear the information from the line. If added, the line will appear in the grid

9) Upload File - This enables the User to upload a file from their device

10) Attach from Documents - This will appear if the User has the necessary security access. This enables the User to attach a document from Documents to Process

11) Open attachment viewer - This will enable the User to view the attachment alongside the transaction. Click here to learn about the Attachment Viewer


Continue to add cost categories until the Unassigned Amount from the header is balanced. When finished, select the 'Save & New' button to enter another invoice or 'Save & Close' to exit the screen.

  • Note: As a helpful hint, ask your vendors to summarize their invoices at the bottom by category. They are often very willing to do this and it will speed up data entry for you



Entry by Item


 

1) Use Preset Allocations Selector - Toggle this on to choose from a list of Preset Allocations. A Preset Allocation will spread the amount entered to preselected GL Accounts and Locations based on their preset allocation percentages.Click here to learn more about Preset Allocations

2) Item - An item from the Invoice. The system will search for all items that include the letters you typed in

  • Note: AP Entry Users can select 'Missing Item' from this selector if the item is not set up in R365. Once saved, a 'Missing Items' tab will appear where a higher level Accounting User can review and assign the Missing Item in R365. Click here to for more information about Missing Items

3) Vendor Item - This field will be pre-populated based on the setup information for this item

4) U of M - This field will be pre-populated based on the setup information for this item

5) Quantity - The quantity of the item

6) Each Amount - This field will be pre-populated based on the set-up information for this item

7) Total - The generated amount from the quantity entered (Quantity x Each Amount)

8) Account - This field will be pre-populated based on the setup information for this item

9) Location - The Location and Legal Entity that is receiving the order. This will auto-populate to reflect the Location listed on the header, unless otherwise noted in User Preferences

10) Start Date of Service - The date that the range of service begins. This is optional and often used for bills that extend over the end of the month / period (i.e. a utility bill dated 5/10/2019 with Dates of Service from 4/10/2019 to 5/9/2019). This is explained further in the section below

  • Note: If legacy data was entered before the replacement of the Accrual Tab, older AP Invoices will automatically save their Dates of Service under the Details Tab

11) End Date of Service - The date that the range of service ends. This is optional and often used for bills that extend over the end of the month / period (i.e. a utility bill dated 5/10/2019 with Dates of Service from 4/10/2019 to 5/9/2019). This is explained further in the section below

  • Note: If legacy data was entered before the replacement of the Accrual Tab, older AP Invoices will automatically save their Dates of Service under the Details Tab

12) Add / Clear Button - This will either add or clear the information from the line. If added, the line will appear in the grid

13) Upload File - This enables the User to upload a file from their device

14) Attach from Documents - This will appear if the User has the necessary security access. This enables the User to attach a document from Documents to Process

15) Open attachment viewer - This will enable the User to view the attachment alongside the transaction. Click here to learn about the Attachment Viewer


Continue to add items until the Unassigned Amount from the header is balanced. When finished, select the 'Save & New' button to enter another invoice or 'Save & Close' to exit the screen.


Back to Top

AP Entry Shortcuts



While entering information into the 'Details' grid, Users can utilize shortcuts to choose or update the Location all from their keyboard. To do so, follow the steps below:

  1.  Move between fields by pressing 'Tab'
  2.  On the 'Location' selector, press 'Backspace' / 'Delete' to remove the listed Location
  3.  On the 'Location' selector, add one or more Location(s) by pressing the down / up arrow until the correct Location and then 'Enter' / 'Return' to select the Location
  4.  On the 'Location' selector, remove one or more Location(s) by pressing the down / up arrow until the correct Location and then 'Backspace' / 'Delete' to deselect the Location
  5.  Add a row by pressing 'Enter' / 'Return' when the 'Add' button is highlighted


Back to Top

AP Invoice Actions


AP Invoices will have the following actions for all Accounting Managers and Full Access Users.



1) Delete - This will delete the transaction

2) Memorize - This will memorize the transaction and save it as a template for future AP Invoices. Click here to learn more about Memorized AP Transactions

3) Duplicate - This will create a duplicate transaction of the record. It is important to note that duplicate transactions will be automatically saved in R365 as unapproved transactions once they are created

4) Pay Bill - This will generate a check for the Vendor to pay for the invoice

5) Email Credit Request - This will email the Vendor for the listed Credit Expected amount. Before clicking this option, ensure to fill out the 'Credit Expected' field with the necessary value and then enter in an explanation for the expected credit in the 'Credit Comment' field that appears. These details will then auto-populate in a generated email to the Vendor once this option is selected

6) Transaction Summary - This will create a report that lists the entries made on the 'Details' tab of the AP Invoice

7) Import - This will enable the User to import an R365 AP Invoice csv file, which will auto-populate the screen with its details

8) Email Link - This will open a modal where the User can email this AP Invoice's link to another User

9) Spread - After approving the AP Invoice, this will enable the User to spread the transaction of a designated period of time. Click here to learn more about Transaction Spreading


Back to Top

Edit Approved AP Invoices



Approved AP Invoices can be edited without the hassle of Unapproving a transaction first. To do so, Users will need the following Permission:

  • Accounts Payable → AP Invoices → Unapprove AP Invoices


Upon opening an Approved AP Invoice, an 'Edit' button will appear above the Details grid. Click it and then update any necessary details. When finished, click the 'Edit Complete' button to save the changes made.


Back to Top

Dates of Service



Dates of Service allow a User to record expenses in the right period even though the Dates of Service may expand over multiple months. To activate this feature, hover over 'Administration' in the top ribbon and click 'Preferences'.



When the 'System Preferences' window opens, navigate to the 'Miscellaneous' tab, and at the bottom right-hand corner of the header, click 'Display Accrual During AP Entry'. This will enable the Dates of Service appear on the AP Credit Memo form. 



Dates that are added into an AP Invoice can be viewed in the 'Transaction Details' list with two postings made to their GL Accounts and their Start Date and End Dates posted in their respective date columns. These transactions can be exported and used to calculate a User's accrual.


Back to Top