Dynamics 365 Business Central – Create Payments quickly and easily in the Vendor Ledger Entries page using the Create Payment function

Introduction

This post highlights a great way to pay multiple invoices, on multiple suppliers quickly and easily from the Vendor Ledger Entry page.

Creating payments

There are numerous ways to pay vendors quickly and easily in Dynamics 365 Business Central.

You can do this manually by going directly to a payment journal and entering the payment as per below

Alternatively you can use the “Suggest Vendor Payments” function from the Payment Journal to have the system build and suggest a list of payments based on criteria you enter. (I’ve covered this in more detail here)

However there’s also another method for creating payments directly from the “Vendor Ledger Entry” page which often goes unnoticed.

Create Payments in Vendor Ledger Entries

The “Create Payment” action you can use directly from the “Vendor Ledger Entries” and is a great tool for creating ad hoc payments.

You first open the “Vendor Ledger Entries” page and add a filter for “Open” items.

** I find the easiest way to do this is to select an invoice that is open and then click drop down on the “Open” column and choose “Filter to this value”

Once you have your list of open documents you can select multiple documents you wish to pay by clicking the ellipse button and selecting “Select more” from the menu:

Once you have selected all the invoices you wish to pay click “Create Payment”

** Please note you can select credit memos as well and the system will create a refund.

Next select the template, batch and other information as per below:

This will open and pre populate the payment journal with the payments which you can review and post.

Conclusion

There are many ways to create payments for your suppliers this is just another way Dynamics 365 Business Central makes this task that little bit easier 🙂

Thanks for reading!

Dynamics 365 Business Central – How to change the Due Date on a posted transaction

Introduction

Due dates are automatically calculated using payment terms however sometimes you may wish to change them after posting the transaction.

You can do this on both the Sales and Purchase side using the relevant “Ledger Entry” page. Below I’ll demonstrate how this is done on a Payables Invoice using “Vendor Ledger Entries”.

Demo

First open the Vendor Ledger Entry page and click “Edit List” off the action pane

You will now see that the Due Date, along with other editable fields, can be changed. Here I’ve changed the due date on the top transaction from 01/07/2020 to 01/08/2020

As you can see I can also change the payment discount and tolerance dates.

Conclusion

Very quick post today but hopefully useful nonetheless.

Thanks for reading!

Dynamics 365 Business Central – How to post one Bank Account Ledger Entry for multiple payment entries in the Payment Journal

Introduction

When creating multiple payments in the payment journal you can have the system create one bank ledger entry per payment or alternatively one bank account ledger entry for the whole batch of payments.

The decision as to whether to have one bank account ledger entry or multiple bank ledger entries is largely driven by how you want the payments to appear on the bank reconciliation. If you are likely to see them individually on your bank statement, then you’d want the system create one bank ledger entry per payment. However, if the payments show on the bank statement as one grand total for the whole batch, you can have the system create one bank account ledger entry for all the payments.

In this article I’ll cover both scenarios. Firstly, how to create individual bank account ledger entries per payment, and then how to create one bank account ledger entry for multiple payments.

Individual Bank Account Ledger Entries

To create individual bank account ledger entries per payment you can add a bank account as a balancing entry on each individual payment as per below

If I were to post this I’d get three individual bank account ledger entries

** Please note, as per the screen shot, you’ll also get 6 G/L Entries posting this way.

Now when I pull the Bank Account Ledger Entries into the bank statement I’ll get 3 individual lines for each payment.

One Bank Account Ledger Entry for multiple payments

To create one bank account ledger entry for multiple payment lines you can leave the “Bal. Account No.” blank on each payment line and create a balancing entry instead as per below:

** Please note all entries require the same Document Number as per the screen shot above.

** Alternatively you can switch the option “Force Doc Balance” off on the General Journal Template and have different document numbers. You then only have to ensure all documents on the same Posting Date balance.

Now when you post this batch of payments you only get one bank account ledger entry for all 3 payments.

** Please note you also get a reduced number of G/L Entries as well.

Now when I pull the bank account ledger entries into the bank reconciliation I get one total of £350.00 for the whole batch of payments rather than individual amounts

One caveat I can think of to the second approach is if you need to reverse one of the payments via the in built “Reverse” feature, you are required to reverse them all. Whereas the individual approach you can reverse them individually.

*Please note you could just create a manual entry to reverse one of the payments though.

As always its best to work through the steps in a sandbox or test company first to see if this meets your individual needs.

Thanks for reading!