Optimizing Accounts Payable: Efficient Tracking and Management Techniques
Managing accounts payable efficiently is crucial for maintaining healthy cash flow and strong vendor relationships. This guide delves into various tools and techniques to optimize your accounts payable processes. From tracking invoices and generating detailed ageing reports to customizing statements and managing recurring transactions, we cover everything you need to streamline your payable operations. Explore advanced features like invoice item offsets, transaction reversals, and year-end reporting to ensure accuracy and compliance. Whether you’re generating quick checks or handling bulk payments, our comprehensive approach will help you achieve financial accuracy and operational efficiency.
You can track accounts payable by invoice number and retrieve by invoice number. Transaction history stays maintained indefinitely.
Ageing
Ageing report has five ageing periods that move with the system date. It generates a statistical payment history you can use to quantify average payment time for each vendor and all vendors. Each vendor lists the last payment date and amount, and there is a “hanging debit” recap that shows vendors with unusual activity.
There are options to report open or all invoices, detail, summarized, balance, and zero. There is also a modified vendor master option for fraud detection. It shows activity for any vendor with a change made to the vendor sub master for any given time period.
Statements
You can send Statements to slow-paying customers either printed or via email since the statement writer can print or email supporting invoices. In addition, you can customize statements using Excel. Plus & Minus calculates finance charges using various formula options.
Invoice Item Offset
Invoice Item Offset lets you clear hanging debits into an income statement account or offset it against other customers or vendors.
Reverser
Use Reverser to delete or reverse check transactions. It also has the option to delete or reverse purchase transactions.
Year-End – Form 1099
At year-end, you can print or transmit magnetic files to the IRS. Supported forms include: 1099 Miscellaneous, 1099 Dividends, 1099 Interest, and 1098. Formats are updated yearly.
Recurring
The Recurring worksheet sets up future purchases for payment. They display in the check writer window when the transaction date is older than the cut-off date.
Quick Check Writer
Quick Check generates purchase and disbursement transactions for each check and has the same print/ACH features as the Check Writer. It can be used to generate spot checks or after-the-fact hand-written checks.
Check Writer
Check Writer presets payables to you in a worksheet, where you can click or drag invoices for payment. Groups of invoices can be selected based on age. It supports: preprinted, MICR, and ACH checks and allows you to review supporting PDF files and purchase orders before writing a check.