2 sets of topics to cover: • Basic every day transactions • Less frequent & monthly transactions For each topic proper procedures will be explained.
Daily Transactions • Order Confirmation • Agency payments • Applying credits • Credits versus payments • Applying grants • Putting “credit on account” • Printing agency invoices
Order Confirmation This is when an order becomes an invoice
Payments Money is received from an agency
Credits Notice that a credit allows you to specify a GL Acct. Reduce the order balance for any reason besides a payment being received. Example: Agency did volunteer work and received a $25 coupon to use for product. Example: Write off uncollectable account.
Payment Payment Payment Cash Accounts Receivable DebitCredit Credit Credit Credit GL Acct assigned Accounts Receivable From Warehouse record or Bank Accts table in the DSA User assigns the GL Acct when credit is entered
Putting “credit on account” 2 methods: • Apply a payment amount that is greater than invoice balance, or create a new order with a payment and credit balance. • Use a grant to record agency pre-payments and over payments.
Option 1 - Create a new order and add a payment to the order You can not apply a payment without an order to attach it to.
Option 2 - Enter the payment in Cash Receipts and create a new order automatically
Use a grant for pre-payments & over payments Add a Pre-Payment
Less frequent & monthly transactions • Printing statements • How to handles returns, bounced checks and write offs • Credit memos versus adding credit to an order • Grant related transactions • Parent Agency/Program relationship and AR • How to fix mistakes
How to handles returns The best solution is to create a Credit Memo against the order: Example 50 lbs of the Fresh Potatoes get returned from the agency in Sept.
How to handle bounced checks Solution is to get the payment removed and the order balance back on to the agency’s account.
How to handle account write-offs Solution is to credit every open invoice for the agency.
In the PrimariusDSA, you need to set up a miscellaneous charge named Refund. Assign a liability account, such as AgencyRefunds or AgencyPayable. What if the balance of the agency’s account being written off is a credit?
In the orders, for each credit balance order, add the miscellaneous charge.
In AccountsPayable, enter an invoice for the refund using the liability account then generate the check to pay the agency.
When to use Credit memos versus adding credit to an order Use a Credit Memo if: • Product is returned from the agency. • Agency did not get all of the qty of a product on an order. • An entire order was issued to the wrong agency. • Wrong item was put on the order. * If there is product that needs to be put back in to your inventory, use a Credit Memo.
When to use Credit memos versus adding credit to an order Use a Credit on the Credit tab if: • You need to credit a misc. charge on an order. • The agency got over charged for an item and the order is within a period that is closed. • The agency did get the product, but they are no longer a member agency (write-off). • The agency got the product but had to dispose of it (bad product or a recall). * If no product needs to be returned to your inventory, use a Credit.
Grant related transactions • Removing a grant from an order • Changing the amount applied to a product on an order. • Changing the grant that got applied to another grant. • Applying a new grant to an old order.
Applying a new grant to an old order If needed reset Effective Date to a date that is less than or equal to the order’s Pickup Date. If you post grants to GL using Pickup Date or Confirmed Date, grant will post to an older period or the first opened period in GL. AR Aging reports and AR Statements do not back out grants applied after the period ending date. This will affect the ending balance of a past period.
How to fix common mistakes Mistake #1 Price of a product on order is not correct Orders which are not confirmed are easy to fix.
Fixing a price on an unconfirmed order 1) Fix the source of the incorrect price:
Fixing a price on an unconfirmed order 2) Remove the product from the order
Fixing a price on an unconfirmed order 3) Reorder the product.
Fixing a price on a confirmed order After the source of the price is corrected: You have a few options based on the situation: Situation 1 –The Pickup Date of the order is within the current order period. Situation 2 – You are “locked out” of changing confirmed orders. Situation 3 – The Pickup Date of the order is within a “closed” period.
The Pickup Date of the order is within the current period. In this case you may want to change the original order:
If you are locked out of changing the order: DSA setting is set to not allow changes to confirmed orders:
The Pickup Date of the order is within a “closed” period. Transaction Close Date is before the order’s Pickup Date.
Using a new transaction to correct a price on an existing order 2 common options: 1) Use a credit on the Credit tab 2) Return the product on a Credit Memo and reorder on a new order.
How to fix common mistakes Mistake # 2 Payment is posted to incorrect Account
Payment is posted to incorrect Account Solution (If deposit is not posted, then delete it) 1) Create offsetting transaction to remove the payment from the incorrect agency account. 2) Enter payment again to the correct agency account.
How to fix common mistakes Mistake # 3 A confirmed order with the wrong pickup date. OR A confirmed order was placed for the wrong agency.
A confirmed order with the wrong pickup date or wrong agency. Solution: Create a Credit Memo against the entire order using the bad pickup date or the bad agency ref. Create a new order with the correct agency and pickup date.