After you have received an invoice from your supplier and you have paid the invoice, you can allocate the two transactions so that you don't owe money to your supplier.
You can also allocate several transactions with each other including credit notes, payments, debit and credit adjustments .
A few things to remember when you allocate are:
You cannot enter a negative allocated value against a positive transaction or a positive allocated value against any negative transactions. If you have done so by mistake, when processing you will receive a warning message.
You cannot enter an allocated value which has an absolute greater value than the absolute value of the transaction's outstanding value. If you have done so by mistake, when processing you will receive a warning message.
When you use Corrections you cannot enter an allocated value which is greater than the value previously allocated.
Example of a full allocation for a GBP transaction:
Click Creditors then Transactions.
Click Invoice to raise an invoice for £1,000.00.
Click on Payment and raise a payment for £1,000.00.
Click on Creditors then click Allocations.
Locate the above supplier on the Advanced Filter panel. If you're unsure of the code, you can click the drop-down arrow and select Show More which displays several more records and offers you to search the code and name of the supplier.
Note: The above invoice and payment will be displayed on the Cash Allocations screen.
Select the check boxes for both transactions and click Process.
If necessary update any fields on the Update Allocations screen then click Save.
Note: You will receive a confirmation message and the Allocation Reference for the transaction.
Example of a rounding difference for a currency transaction:
Currency exchange rate = 1.263542 and using an any currency or currency supplier.
Click Creditors then Transactions.
Click Invoice to raise an invoice for the first detail line as currency gross = 526.55; home value = 416.72.
Enter a second detail line for a currency gross = 98.29; home value = 77.80.
Total invoice value in currency = 624.84; home value = 494.52.
Click on Payment to raise a payment for currency total = 624.84; home value = 494.52.
Click on Creditors then click Allocations.
Locate the above supplier on the Advanced Filter panel.
Note: The above invoice and payment will be displayed on the Cash Allocations screen.
Select the checkboxes for both transactions and click Process.
There is a message displayed on the Update Allocations screen of a profit on rounding of GBP 0.01 and the extra fields visible only when a rounding has taken place.
Click Save.
Note: You will receive a confirmation message and the Allocation Reference for the transaction.
Example of an exchange difference for a currency transaction:
Using an any currency or currency supplier.
Click Creditors then Transactions.
Click Invoice to raise an invoice for home gross = £120.00 using an exchange rate of 385.63.
Note: The currency gross = £46,275.60.
Click on Payment to raise a payment for home gross = £120 using an exchange rate of 386.89.
Note: The currency gross = 46,426.80.
Click on Creditors then click Allocations.
Locate the above supplier on the Advanced Filter panel and select the currency you used for the above transactions.
Note: The above invoice and payment will be displayed on the Cash Allocations screen.
Select the checkbox for the transactions to auto populate the Allocated Value.
Click into the Allocated Value for the receipt and amend the value to match the value of the invoice of -46,426.80 as the allocated value must always be zero.
Click Process.
There is a message displayed on the Update Allocations screen of a loss on exchange of GBP 0.39 and the extra fields visible only when an exchange difference has occurred.
Click Save.
Note: You will receive a confirmation message and the Allocation Reference for the transaction.