DESKTOP EDITION CLOUD EDITION SERVER EDITION GUIDES FORUM

Advance Payment to Supplier


#1

How can we create Advance payment against a Supplier without selecting a Purchase Invoice?
e.g My Purchase invoice is of $100 and I paid $120 ($20 for next order). How can I manage it ?


#2

The latest version (14.2.15) now includes support for advance payments from customers & to suppliers.

Let’s say you pay supplier $120 (which includes $20 overpayment). This is how you categorize payment to supplier:

Account                                                Amount
-------------------------------------------------------------
Accounts payable          | Purchase Invoice #123 |   $100.00
Supplier advance payments | ABC Supplier          |    $20.00
-------------------------------------------------------------
                                                      $120.00

This will apply $100 to purchase invoice and capture $20 as advance payment to supplier which can be in future used to offset with another purchase invoice or simply received as a refund.