Advance holder transactions
Learn how to work with advance holder transactions.
Transactions for these 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 in 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. Select a payment term that has the From advance holder option selected on the Terms of payment page. For more information about setting up terms of payment for advance holders, see Advance holders overview.
- In the Advance holder field on the Price and discount FastTab, 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 via a bank
When you settle advance holder balances via a 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. For more information, see Advance holders overview. To close an advance holder’s balance via a bank, open Accounts payable > Advance holders > Advance holders. Click the Balance button on the Action Pane, and then click 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 in the Balance form is displayed by default. |
| Automatic | Select the Automatic check box to create and post a journal that is preset on the Accounts payable parameters page. |
Settle advance holder balances via cash
When you settle advance holder balances via 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. For more information, see Advance holders overview. To close an advance holder’s balance via cash, open Accounts payable > Advance holders > Advance holders. Click the Balance button on the Action Pane, and then click 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 in the Balance form is displayed by default. |
| Automatic | Select the Automatic check box to create and post automatically 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.