Pre-payments
A prepayment is the amount paid for services before their receipt or invoiced due date. When an invoice is issued for a pre-payment, it is against the pre-paid account. During the defined pre-paid period, the amount is amortized accordingly against the capex or expense account.
The Pre-payments required field on the purchase line indicates if pre-payments can be credited to the supplier against a purchase. Selecting this field also results in the display of the Pre-payments related list on the purchase line. The pre-payment information is carried over to a purchase order line whenever a purchase order is created.
The following are the key fields of a prepayment:
| Field | Description |
|---|---|
| Number | System-generated unique identifier of the pre-payment. |
| Contract | Contract to which this pre-payment is associated. |
| Purchase line | The purchase line associated with this pre-payment. This field is auto-populated when created from the pre-payments related list on purchase line. |
| Purchase requisition | The purchase requisition associated with this pre-payment. This field is referenced from the purchase line. |
| Purchase order line | The purchase order for which pre-payments are authorized up to the specified amount.This field is auto-populated when a purchase order line is created from the purchase line. |
| Purchase order | The purchase order associated with this pre-payment. This field is referenced from the purchase order line. |
| Authorized by | The user who authorizes this pre-payment. This field is populated based on the user who creates the pre-payment. |
| Authorized on | The date on which the pre-payment is authorized. |
| Accounting Details | |
| Amount | Total purchase line amount. |
| Currency code | Currency code of the total line amount. |
| Pre-pay on | Date on which the specified amount is pre-paid. |
| Pre-pay by | The type of pre-payment. For example, Amount or Percentage. |
| Pre-payment percentage | The percentage of the total line amount for the pre-payment.This field is visible only if the pre-payment type is set to Percentage. |
| Pre-payment amount | The portion of the total line amount for the pre-payment. |
| Pre-paid period start | The start date of the pre-payment period, from which the pre-payments start. |
| Pre-paid period end | The end date of the pre-payment period, after which no pre-payments are made. |
Multiple pre-payments related to one line can be made. For example, you can pre-pay 50% of the total line amount on X date and another 50% on Y date. The total of the pre-payment amounts must not exceed the line amount.
Parent Topic:Purchase lines