Payments in advance

matias_jaure

Hi everyone! I would like to know how can I make payments in advance to a vendor when I have no pending invoices to be payed. Everytime we have to make a pay in advance we have to create a false invoice to do it. May be you have a better way...

Thanks!!
Matias

jversusj

we do something similar, but with deposits.

We create a PO for goods. We add a line to G/L accounts deposits - inventory, qty = 1, unit price = deposit due. We post that receipt (creating an invoice for the amount of the deposit).

When the real invoice shows up, we add a G/L line to deposits inventory, qty = 1, unit price = negative deposit amount (to net the original deposit to zero in the deposit account). We post the receipt and the negative line reduces the remaining amount due such that the PI is only for the remaining balance due the vendor.

ssingla

From a Accountants/Auditors view :

How the detail of Advances as on a given date be obtained Vendor wise. :?:

:-k :-k

csimoneaux

Why not just cut a manual check and apply it later?

Alex_Chow

matias_jaure wrote:

Hi everyone! I would like to know how can I make payments in advance to a vendor when I have no pending invoices to be payed. Everytime we have to make a pay in advance we have to create a false invoice to do it. May be you have a better way...

Thanks!!
Matias

FYI, Navision 5.0 has the prepayment functionality built in.

jversusj

ssingla wrote:

From a Accountants/Auditors view :

How the detail of Advances as on a given date be obtained Vendor wise. :?:

:-k :-k

the entry in the deposit g/l account can be tied to a vendor at a specific time...maybe i misunderstand you? The financial statements also show a column for inventory deposits, so that is all accounted for.

it does work. maybe not as well as other solutions, but gets the job done.

matias_jaure

deadlizard wrote:

FYI, Navision 5.0 has the prepayment functionality built in.

So, in Navision 3.7 which can be an alternative solution without creating a fake registration? if it is any...

muksha

We create a PO for goods. We add a line to G/L accounts deposits - inventory, qty = 1, unit price = deposit due. We post that receipt (creating an invoice for the amount of the deposit).

When the real invoice shows up, we add a G/L line to deposits inventory, qty = 1, unit price = negative deposit amount (to net the original deposit to zero in the deposit account). We post the receipt and the negative line reduces the remaining amount due such that the PI is only for the remaining balance due the vendor.

This may look like a temp. solution but it serve the purpose. However there are few informations which we may not get.

In my opinion from a PO a function should be called to issue the advance to the vendor which will lead to the g/l entry. In this way we can get a details of vendorwise and PO wise advances.

muksha

I do not understand why my quotes in above post did not work??? :shock:

vivektaurian

Hi,

Make Payment to the vendor by using Payment journal.

Apply afterwards.