The system has been revamped with a new way to pay Creditors by Credit Card. These payments will be processed by the new ‘Creditor Card Payments Entry ‘Screen and this will replace the current method of using the ‘Transaction Type’ of ‘Credit Card’ in Cash Payment Entry.
By processing the Payment through the new ‘Creditor Card Payments Entry’ Screen essentially the transaction will be shown as a Payment to your Standard Creditor while the transaction that goes to the ‘Credit Card Creditor’ will be shown as being a Purchase.
How do I prepare for the new Process?
- New Creditor Terms will need to be set up within ‘Creditor Terms Maintenance’. A new Base Type of ‘After Roll Date’ will need to be selected. The Roll Date refers to the day your Credit Card Statement Closes. Then Users will select the Period of ‘Days’ or ‘Day of Month’ in which payment is due.
- If you have not processed payments to Suppliers via a Credit Card Payment in ACR before, a Creditor will need to be created in Supplier Maintenance as your designated ‘Credit Card Creditor’ for each Credit Card you will be paying Suppliers with. This Credit Card Creditor can also be set as the Auto Payments payment method under each applicable Supplier file (Supplier Maintenance > Bank Details> Auto Pay > Credit Card Creditor )
- Once the Creditor Terms and Credit Card Creditor are created they can be selected from the ‘Terms Code’ dropdown in Supplier Maintenance for the Credit Card Creditor. The ‘Roll Date’ field (referring to when the Credit Card Statement closes) will then become visible and mandatory.
- A new ACR configuration called ‘Credit Card Fees’ has been added. This will be used when posting applicable journals in relation to Creditor Card Payment Fees. This will default to the ‘System Account’. If your site would like to change this account, please contact the ACR Training Team.
How do I Process a Payment ?
Navigate to Creditors > Creditor Card Payments Entry to bring up the below screen:
Top Section
Card Creditor
Specify the applicable Card Creditor account, and the name of the account will then automatically be loaded into the following field.
PayDate
Enter the pay date of this transaction, or accept the default of the current System Date.
Due Date
Using the Supplier’s terms code, Roll Date and the pay date entered, a due date is calculated automatically and inserted in this field. This date can be overridden manually if required.
Total Charge
Enter the total of the payment. This total will be posted to the Credit Card Creditor as the amount owing, therefore must include any Fee applicable along with GST (only applicable on fee). If the charge to be entered is a credit, input the amount as a negative.
Fees Inc
Enter the fee amount (inc GST) included in the total charge if applicable.
GST General
If GST is applicable to this entry, press enter for the system to calculate the GST based on the ‘Fees Inc’ or key in the amount. Note: Fee charges will by law in Australia include a standard GST content.
Bottom Section
Supplier
Specify the applicable Standard Supplier account, and the name of the account will then automatically be loaded into the following field.
Amount
Enter the amount applicable for the Standard Supplier selected. If the Total charge less fees and GST amount is to be allocated to this Standard Supplier, press [Enter] and the system will automatically insert that amount.
Comment
You may optionally enter a comment pertaining to this line, and that will be attached to the resultant General Ledger Detail entry.
Continue until the Proof is 0.00. Note the Proof = the sum of Total Charge minus Fees Inc.
Upon accepting a batch the applicable Journal entries are posted.
How do I track my Credit Card Payments?
- A new ‘Creditor Card Payments Journal’ has been added under the default Menu -Creditors> Reports > Creditor Card Payments Journal. Users will specify the Date range and select ‘Generate Report’ to print the charges, fees, GST and Supplier payment information.
- Users can drill down and display the Card Payment information in the following places throughout the system-
- Creditor Enquiry
- Creditor Invoice Search
- General Ledger Detail Enquiry (Select transaction with a source of ‘Creditor Card Payment; first then select [Display Card payments Journal] button)
- The Creditor Reconciliation – Re-print Qualified – Summary Report Type will now display the following:
- ‘Total Invoices’ will now show a break down on the right with total ‘Purchase Journals’, and ‘Creditor Card Journals’
- ‘Total Payments’ will now show a break down on the right with total ‘Cash Payments’ and ‘Creditor Card Payments’
What other effects will this have in the system?
- Month/Year End Reset Creditors will now Archive Card Payment Journals and Process Future Card Pay Jrnls.
- The ‘Roll Date’ field on the Supplier file has been added to Report Generator and the Export/Import Utility
- Auto Payments can still be used via the existing Creditor Auto Payments Screen however any applicable Credit Card fees will need to be entered independently. See below to view how the journals will be created.
Additional Information
Please click here to read what Journal Entries are created when using the Credit Card Payment Entry Screen/Auto Payments with payment type of Credit Card.
Please click here to read how Due Dates are calculated with the ‘After Roll Date’ Base. setting in Creditor Terms.