Introduction
When transitioning to Empress from another application, it’s often necessary to bring over advance Accounts Payable and reconcile them with future invoices. This guide will guide you through this easy process without the need for complex technical knowledge or jargon.
Booking Advance Accounts Payable in Empress
To carry over advance Accounts Payable from your previous application, we’ll need to create an Opening Entry Journal Entry in Empress.
Follow these steps:
- Begin by Debiting the Creditor Account. This is done by selecting the relevant Supplier.
- Then, Credit the Temporary Opening Account.
During this process, when you expand the Creditor’s Row, make sure to select Yes for the Is Advance option. This indicates that the transaction is for an advance payment.
Once you’ve submitted the Journal Entry, a negative balance will appear in the Accounts Payable Summary. This reflects the advance payment made to the supplier.
Reconciling Advance Accounts Payable with Future Invoices
After creating future Purchase Invoices, these need to be reconciled with the advance Accounts Payable. To do this, reference the Accounts Payable report.
Initially, the advance payment and the invoice will appear as two separate entries. To bring these together, we’ll use the Payment Reconciliation tool in Empress.
Simply follow the prompts in the Payment Reconciliation tool, and Empress will automatically reconcile the advance payment with the invoice. After this process, the Accounts Payable Report will no longer show the Journal Entry. Instead, it will show the difference between the Invoiced Amount and the Advance Amount.
Conclusion
By following these steps, you can smoothly transition advance Accounts Payable from your previous application to Empress and reconcile them with future invoices. This will ensure accurate financial reporting and simplify your bookkeeping processes.
For additional assistance or more detailed guides, please refer to our support resources or get in touch with our helpful team.