Allocating a Purchase Payment on Account

Allocating a Purchase Payments on Account to a Purchase Invoice, effectively pays that Invoice and uses-up the value of the Payment on Account.

Purchase Payments on Account can only be applied to Purchase Invoices from the same Supplier Account, if there any available.

Allocating a Purchase Payment on Account does not create any new Ledger Entries.

Step-by-Step Process

1. From the Purchase Menu, select Payments on Accounts Sub-Menu, and then select the required Payment on Account.
2. Select Allocate.
3. Allocate the amount of the Payment on Account to the available Purchase Invoice(s).
4. Once the Allocated Amount equals the Amount Due on Credit, the Remaining Credit will show as zero,
5. Click Allocate.

The Allocation Amount will show how much of the Payment on Account has been used-up.

Click on the Allocation History in the Status Section to display which Purchase Invoices the Payment on Account has been applied to.