Enter Basic Data for Payment Documents

Explanation

This activity is used to enter basic data for handling various payment types, especially payment documents. This mandatory task is to be performed by a system administrator or equivalent person. Note: The fields available for each document type will differ as some information will only be applicable to specific document types.

Basic data requirements of some of the most commonly used payment documents are described below.

Customer Check

For customer checks, you are required to specify a document series ID. You can specify whether you want the postings to be made in an interim cash account when the payment document is sent to a payment institute for cashing. At least one document series ID entered for the payment document must be selected as default.

Supplier Check

All basic data entered for customer check are also entered for supplier check. In addition, you are required to specify the maximum number of ledger items that can be printed on the check (i.e. the number of  remittance items), the remittance code, the cash account connected to the payment document, the payment method with which the payment document is used, and the check template.

There are three possible remittance code values

Supplier Check - Creating a Positive Pay File

Positive pay is the process of generating a file that will be sent to the bank which consists of a list of approved check amounts and other information. . This file is used by the bank as a security measure to verify the checks that have been submitted for processing. In order to send  positive pay checks the following attributes should have been selected:

Customer Bill of Exchange

It is required enter a document series ID and a series ID for unmatched payment on account. At least one document series Id should be selected as default. You can specify whether you want the postings made in an interim cash account when the payment document is cashed on and/or before it's due date. If you specify bill types in basic data rows, you are required to select one bill type as the default bill type for customer bill of exchange. (Note that if you specify a bill type for one basic data row, you are required to specify a bill type for all the  other basic data rows.)

You can keep the customer bills of exchange open when you send them to the payment institute for cashing before their due date. The Keep BoE Open when Cashing Before Due Date check box controls this as shown below:

For customer bills of exchange, endorsing of bills can be enabled by selecting the Allow Endorsing check box. Endorsing is done to settle the debts to the company suppliers, by using a bill of exchange received from a customer.

Supplier Bill of Exchange

The basic data for supplier bill of exchange is similar to that for supplier check. However, the sort order for remittance advise and use of an interim account is not applicable for supplier bill of exchange. In addition, you can specify a bill type for each basic data row (note that if you specify a bill type for one basic data row, you are required to specify a bill type for all the  other basic data rows). If you enter bill types, one bill type must be selected as the default bill type for supplier bill of exchange. It is also possible to specify whether stamp duty should be allowed or not.

Customer Payment Receipt

For customer payment receipt, you are required to enter a document series ID. You may also specify a cash account and/or a branch for the document series ID in the same basic data row. If a payment results in a tax invoice, the system automatically picks a document  series ID for which the Tax Invoice check box is selected. Therefore, if the Use Tax Invoice check box is selected for the company in the Company/Invoice/Tax Information tab, you must have at least one document series ID defined for customer payment receipts with the Tax Invoice check box selected.

Cash Paid Document and Cash Received Document

Document types Cash Paid Document and Cash Received Document comes in to effect depending on the type of transaction performed through the cash account. For receipts to be printed from cash box cash accounts, an account specific document series has to be defined. If a payment is made from the cash account, the document series defined for document type Cash Paid Document is effective and if a payment is received by the cash account the document series defined for document type Cash Received Document becomes effective.

Customer Repayment Check

All basic data entered for supplier check are also entered for customer repayment check. The notable difference here is the Use Document Number Series from Supplier Check ID field will only be visible for this particular payment document type. An existing series ID linked to a supplier check can be connected to a customer repayment check in order to maintain an unbroken document number series consecutively.
Note: The Cash Account, Check Template ID and Remittance Code must be the same for both supplier checks and repayment checks in the instance the document number series connected to a supplier check series is used.

Customer Repayment Check - Creating a Positive Pay Check

All issued checks, i.e. including customer repayment checks and supplier checks will be included in a single positive pay file provided that the same positive pay file template has been used.

Create Positive Pay File:  If the same positive pay file template is selected for both supplier and customer repayment, a positive pay file will be created through the automatic payment process on the supplier side. I.e., when a supplier check is created using a supplier payment order. However, if a different positive pay file template has been used for a particular customer repayment checks then this customer repayment check will not be included in the positive pay file created in the automatic supplier payment process. In such an instance you must create a positive pay file for repayment checks using the external file assistant.

Positive Pay File Template: The positive pay file template allows you to select an external file template. It is used to validate against the available external file templates defined for the positive pay file type.

Prerequisites

This activity has the following prerequisites:

System Effects

Window

Payment Documents

Related Window Descriptions

Payment Documents

Procedure

  1. Open the Payment Documents window.
  2. Enter the document type for which you want to specify basic data in the Payment Document Type field, by choosing the appropriate document type from the available drop down list. The fields applicable for the selected document type will be displayed.
  3. Select New and enter a value in the Document Series ID field.
  4. Enter other information in the fields applicable for the document type. 
  5. Save the changes.