Advance holders overview
An advance holder is an employee of a company who is accountable for an expense amount that is provided by the organization. Only a company's worker can be an advance holder. When a procurement happens, an advance holder reports to the company about the expenditures that were made. The company reimburses the employee for the expense amount. A company controls a balance for each advance holder. Users in legal entities in Estonia, Latvia, Lithuania, Poland, Czech Republic, Hungary, and Russia can reflect specific transactions accompanying operations with company’s employees who are accountable for the expense amount that is provided by the organization.
Set up an advance holder
Complete the following tasks to up an advance holder. Be sure to complete these tasks in the following order.
- Create advance holder groups.
- Set up an employee posting profile.
- Set up account payable parameters.
- Create a specific terms of payment for the advance holder.
- Create a specific terms of payment for the advance holder.
- Create an advance holder.
Advance holder groups
Use the Advance holder groups page to create an advance holder group. You can specify the name, description, and offset account for the advance holder group.
Employee posting profile
Use the Employee posting profiles page to create a profile for advance holder transactions. You can specify the following information for the employee posting profile.
| Field | Description |
|---|---|
| Posting profile | Enter the posting profile identification code for the advance holder. |
| Description | Enter a brief description of the posting profile. |
| Valid for | Select one of the following options for the level of grouping for setting up the posting profile:
|
| Reference | Select the advance holder code if Table is selected in the Valid for field, or select the advance holder group if Group is selected in the Valid for field. |
| Summary account | Select the summary account for posting the transactions. |
Account payable parameters
To reflect advance holder’s transactions you must set up the following fields on the Account payable parameters page in the Advance holders section.
| Field | Description |
|---|---|
| Posting profile | Select the default profile to complete transactions for advance holders. |
| Advance holder sorting | If selected, advance holders will be displayed at the beginning of the list in the Advance holders page. |
| Issue when balance is open | If selected, issue of a cash advance to an advance holder who has an open positive balance will be allowed. |
| Balance closing via cash field group: Name | Select the cash slip journal code. This journal code is used to generate cash disbursement slips and reimbursement slips when closing an advance holder’s balances through cash. |
| Cash | Select the cash account to determine the vouchers that are used for closing the balances for the advance holder. |
| Balance closing via bank field group: Name | Select the journal code for transactions to close the balances through a bank. |
| Account type | Select a bank to close the balances for an advance holder through a bank. |
| Main account | Select a bank account code to close the balances for an advance holder through a bank. |
Terms of payment for advance holder
To correctly register and post a purchase order through an advance holder, you must use a Terms of payment that was set up with the From advance holder option set to True.
Create an advance holder
Before you can create an advance holder, you must have already set up workers. For more information, see Enter worker information (Task guide).
Go to Accounts payable > Advance holders > Advance holders.
Note
You can't add or delete employees on the Advance holders page. Employees must first be hired in the Human resources module. On the Employee posting profiles page, you can set up the employee posting profile that is used to post advance holder balances.
Select an employee, and then select Edit.
On the General FastTab, set the Advance holder option to Yes to indicate that the employee is an advance holder.
In the Group field, select the advance holder group that the employee belongs to.
Under Identity document, provide the details of an identification document.
- Series: Enter the series of the document that is used to verify the identity of the advance holder.
- Number: Enter the number of the document that is used to verify the identity of the advance holder.
- Issue date: Select or enter the document issue date.
- Issued by: Enter the details of the authority or person who issued the document.
Select Save, or close the page.
Note
If the Advance holder sorting option is set to Yes on the Accounts payable parameters page, advance holders appear at the top of the grid on the Advance holders page.
Advance holder inquiries and reports
Advance holder transactions inquiry
For a list of transactions for an advance holder, select Transactions on the Advance holders page. To see transactions for all advance holders or to create a specific inquiry based on advance holders’ transactions, go to Accounts payable > Inquiries and reports > Advance holders inquiries and reports > Transactions. Select Voucher to open the Voucher transactions page.
Advance holder balance inquiry
To see balance for an Advance holder use the Advance holders page. To see balance for all advance holders or to create a specific inquiry based on advance holders’ accounts, click Accounts payable > Inquiries and reports > Advance holders inquiries and reports > Balance.
Advance holder balance report
To preview and print a report based on information about advance holders’ balance, click Accounts payable > Inquiries and reports > Advance holders inquiries and reports > Advance holder balance report.
Advance holder transactions report
To preview and print a report based on advance holders’ transactions, click Accounts payable > Inquiries and reports > Advance holders inquiries and reports > Advance holder transactions report.
Advance holder transactions
Transactions for workers who are advance holders can be posted by using advance holder accounts. The worker ID that is specified for each advance holder can be used to track all advance holder transactions. This number is retrieved as an account number for advance holder transactions on the General journals and Advance holder transactions pages.
Create and post a purchase order with advance holder details
For more general information about purchase orders, see Purchase order overview. If a vendor invoice is created and posted with advance holder details, the advance holder’s balances will be posted to the employee balance account instead of the vendor balance account. To add advance holder details to a purchase order, do the following:
- In the Terms of payment field in the Price and discount section, select the payment term. For more information about Terms of payment, see Define vendor payment terms.
- Select a payment term that has the From advance holder option selected on the Terms of payment page.
- On the Price and discount FastTab, in the Advance holder field, select the advance holder for the purchase order.
The purchase order posting process creates two vendor transactions with opposite amounts and one advance holder transaction. Without advance holder details, only one vendor transaction is created.
Settle advance holder balances by using the bank
When you settle advance holder balances by using the bank, journal entries for closing the advance holder balances are created in the general journal. You can set up the code for the journal and the bank in the Advance holders section on the Accounts payable parameters page.
To close an advance holder’s balance by using the bank, go to Accounts payable > Advance holders > Advance holders.
On the Action PAne, select Balance > Close via bank.
Enter the following information on the Close via bank page.
Field Description Date of payment Enter the date that the payment should be posted. Amount to be transferred Enter the balance amount while closing. The amount that is indicated in the Amount field on the Balance page is displayed by default. Automatic Select the Automatic check box to automatically create and post a journal that is preset on the Accounts payable parameters page.
Settle advance holder balances by using cash
When you settle advance holder balances by using cash, journal entries for closing the advance holder balances are created in a slip journal. You can set up the code for the journal and the cash in the Advance holders tab on the Accounts payable parameters page.
To close an advance holder’s balance using cash, go to Accounts payable > Advance holders > Advance holders.
On the Action Pane, select Balance > Close via cash.
Enter the following information on the Close via cash page.
Field Description Date of payment Enter the date that the payment should be posted. Amount to be transferred Enter the balance amount while closing. The amount that is indicated in the Amount field on the Balance page is displayed by default. Automatic Select the Automatic check box to automatically create and post a journal that is preset on the Accounts payable parameters page.
After the slip journal is processed, if the amount in the Amount to be transferred field was negative, a disbursement slip is generated for the advance holder when the balances are closed. If the amount in the Amount to be transferred field was positive, a reimbursement slip is generated.