Posting Prepayments Using a Change Document

Some Of the nominals and ledgers used in this topic may be different to those in your chart of accounts.

Any missing prepayments can be identified by running the Management Account Trends report. If prepayments were not correctly defined at the time the transaction was entered, they need to be manually created.

Manual prepayments are required when an invoice has already been posted that did not include the prepayment entries. This is achieved by posting a change document (System Journal Input form). Alternatively, you can post a prepayment document input form providing the form has been installed on your system. For more information, please see Posting Manual Prepayments Using a Document Input Form.

Prepayments cannot be posted to the correct periods if all of the accounting periods within the prepayment time frame do not exist or have been opened. Before positing any prepayment documents, it is essential to check the all accounting periods required exist and have an appropriate access level assigned.

Scenario: An invoice (POIN-2) has been posted from IRIS Financials Purchasingfor annual software support. The invoice should have been prepaid to cover the 12 months the service is to be active. As a consequence, the POIN document needs to be prepaid in IRIS Financials.

1. Go to Enquiries, then select Document Enquiry from the menu.
   
2. Select Equals from the Document Type drop-down list.
3. Next, to select a document type, select ... in Value 1, then double-select to select POIN - Purchase Order Invoice from the Select a document type dialog.
   
4. If the number of the document being changed is known, select Equals from the Document Number drop-down list, enter the document number in Value 1, then select OK.
   
5. The Document Enquiry window is displayed. Select the required POIN document, then select EDIT.
   
6. The PSFJournal document input form is displayed. Enter the prepayment date range, in dd/mm/yyyy-dd/mm/yyyy format, in Userfield 1 on the expense transaction line.
   
7. On the expense transaction line, enter Prepayment (a capital P must be used) in Userfield 2.
   
8. When all the prepayment information has been entered, press F5 or select POST to post the edited document.
   
9. If the document date is older than 90 days, a IRIS Financials document date is in the past warning message is displayed. Select OK, to continue posting the document.
   
10. The Prepayment rule posts the applicable PB - Prepayment Transfer to Balance sheet document and subsequent PM - Prepayment Movement to Expense documents to prepay the POIN, as shown in the following graphic.