SytelineMaster

Syteline multi-site supports centralized AR payment process.  Here are the basic set-up steps

1.  Site Groups

Create a site group that contains all sites that will be sharing cross-site A/R Payments

NOTE:  All sites within the group must have the same domestic currency

2.  Replication Rules

Set up Replication Rule for category A/R for each site within the Site Group

Interval Type = Transactional

3.  Inter-Site Parameters

Add record for all From Site/To Site combinations

Populate Inter-Site Accounts on Payment Tab

4.  Accounts Receivable Parameters

Populate the Site Group field

Once the Basic Set-Up has been performed, you should be able to see invoices from all sites within the Site Group in the A/R Quick Payment Application grid.   However, Open Credits from remote sites will not appear in the A/R Quick Payment grid.   Those credits should be applied to invoices in remote site prior to entering payment in Payment site.

Example of journal entries for cross-site payment posting:

Three sites exist for Entity XYZ. Site A is designated as the centralized collection site where all customer payments are collected. If Site A receives a $300 payment from a customer to pay 3 invoices, each from a different site, the following journal entries must occur.

1. Invoice customer – $100 from each entity.

1. Post payment of $300 – distribute $100 to each entity.

NOTE: To reverse the inter-site transactions; each site will create a manual entry when corporate pays cash to the sites.

Let say you have an AR payment applied to an incorrect invoice. And you need to remove the payment from incorrect invoice and apply it to a different invoice.

If you do not need to change the check number, then you can update the applied to invoice number in the AR Posted transaction Detail form. Pull up the record for the payment and change the apply to invoice number from the incorrect invoice number to the correct invoice number. 

If your check numbers are tied to the invoice numbers and you need to create a new payment to apply to the correct invoice, you will need to adjust the AR payment.
1) Open the AR payment form and add a new record for your customer.
2) Type will be adjustment and you will  need to enter your original check number in the number field. Save.
3) Enter the amount as a negative number and save
4) Click on the distributions and type in the invoice number that the payment was originally applied to.  Enter the amount as a negative amount. Verify that the amount remaining is 0
5) In the AR Adjustment Posting, post the payment adjustment.
6) In AR payments, create the new check and apply to the appropriate invoice

With various reason, such as foreign currency conversion, you may see small outstanding balance resident in AR for some customer account, and the customer truly didn’t owe that money.

One option is to write off small outstanding balances (either positive or negative) to either Discounts Allowed or Allowances.   To do this, you will need to create a zero dollar payment.   The steps are as follows:
1.  A/R Payments
New
Enter the Customer Number
Type = Check
Number = (new check number)
Save
2.  Click Distributions
Enter the invoice number with outstanding balance
The amount left open on the invoice will default in Dist Amount field on Amounts tab
Transfer this value (either positive or negative) into either the Disc field or Allowance field
Then set the Dist Amount = 0.00
Post the payment
Another option is to enter credit or debit memos to offset any remaining balances

When doing an AR payment posting, if there are multiple payments from same customer or differ customers, the cash account entry will be consolidated into single one.  So in Bank Reconciliation, there will be single total line cash record, instead of check by check.

For example,

1. Create Payment
Customer 1 : Cheque Amount = USD 200 ; Date :1 December 2010; Bank : BK1
Customer 2: Cheque Amount = USD 300 ; Date : 2 December 2010; Bank : BK1
2. A/R Payment Posting
3. GL –> Journal Posting
4. Bank Reconciliation
Transaction appear as 1 line ; Amount USD500 ; Date : 1 Dec 2010

If you do not want an A/R payment (Adjust, Check, Wire) or a returned check (check entered as a negative amount) included in a summarized Bank Reconciliation record, you will have to do separate AR payment postings.

When you have a single check posted, the customer number, check number, and customer name will be seen in the Bank Reconciliation form.

When you have more than one check posted, for different customers, a "summary" deposit is created. Since there is more than one customer here, the customer number, customer name, and check cannot be specified in the one line bank reconciliation "Deposit".  If you want to see specifics for each check, then you have to post them separately, one at a time.

The detailed payment information which is used to calculate one of these summarized bank reconciliation records can be obtained by looking at the A/R Distribution Journal.

Parameters can be setup on the Accounts Receivable Parameters form. A Returned Check Fee amount can be entered there. They can also designate to create Debit Memo for the customer for the returned check amount, plus returned check fee amount.
In order to create a Debit Memo to send to the customer when a check is returned, follow these steps:

1) Go into Bank Reconciliations
Filter for bank code
Put cursor in bottom to add a bank rec
Add bank rec type "Deposit"
Transaction Number = this is the bank rec trans #, similar to manual check number. They can start with 100 and let system increment after that
Ref Type = A/R
Ref Num = Customer Number
Customer Check Number = check number returned
Amount = Amount of check
Bank Amount = Amount of check
Generate Returned Check Fee = Yes
Save the record

2) Open the Returned Checks form
Enter the bank code
Process Returned Checks = Yes
Preview – Process
They should see the record in the grid
Commit – Process
Debit Memo should have been created
If the check is re-deposited, the user can select the Process Returned Check Deposit option on the Returned Check form, and the system will create a credit memo to offset the debit memo.

General Concept:

• Customer amounts will be stored in the customer’s currency. This effects CO, Estimating, and AR.
• Vendor amounts will be stored in the vendor’s currency. This effects PO and AP.
• Cash accounts in Bank Reconciliation may be stated in non-domestic currencies. When receiving customer payments or making vendor payments we may specify the payment with either domestic currency or the customer/vendor currency.
• All journal. Ledger, inventory ( price & cost) and shop floor amounts are always stated in domestic currency.

NOTE: Therefore when amounts are posted into journals they are translated.

PO & AP:

• Gain/Loss – When exchange rates increase over time (foreign currency per one unit of domestic currency), we record a gain and when exchange rates decrease, we record a loss.
• Entry – PO header & line/release casts are entered and stored in the vendor’s currency. Whenever these amounts are defaulted from the Item master, they are converted using the current exchange rate.
• Receiving – At receiving time, we record the amount received, cost, and exchange rate. We post domestic amounts to the journal using this exchange rate.

Account Numbers Posted (PO Dist):

• Debit- Inventory account
• Credit- Vouchers Payable

Generating Voucher (PO) & Posting Vouchers (AP) – When we create the voucher record, we store any change in exchange rate from Receiving time to voucher generation time as a distribution. The voucher is stored in the Vendor’s currency. When the Voucher is Posted, domestic amounts are posted to the journal and vendor amounts are put on the Posted Transactions record along with the exchange rate that was used for posting.

Account Numbers Posted (AP Dist):

• Credit – Accounts Payable
• Debit- Vouchers payable

Payment – Payments may be entered in either Domestic Amount or Vendor’s amount based upon the currency code of the Bank Code you select for the payment. When the payment is posted, domestic amounts get posted to the journal, and vendor amounts are put on the Posted Transaction record. At payment posting time, we perform a mini-gain/loss for the voucher and any payments or adjustments to that voucher. All of the Posted transactions tied to the voucher will be “upgraded” to the new exchange rate
Account Numbers Posted (AP Dist):

• Credit – Cash account (Payment Amt @ new rate)
• Debit – Accounts Payable (Voucher Amt @ old rate)

Voucher’s Gain/Loss posted to either Loss (Debit) or Gain (Credit)

CO & AR:

• Gain/Loss- When exchange rates decrease over time ( foreign currency per one unit of domestic currency), we record a gain and when exchange rates increase, we record a loss.
• Entry- CO header and line prices are entered and stored in the customer’s currency. Whenever these
  amounts are defaulted from the item master, they re converted using the current exchange rate.
• Shipping- At shipping time, we record the amount shipped, price, and exchange rate. We post domestic amounts to the journal using this exchange rate.

Account Numbers Posted (CO Dist):

• Debit – Cost of Good Sold
• Credit – Inventory

Invoice Printing (CO) Posting (AR) – When we create the invoice record, we store any change in exchange rate from Shipping time to invoice printing time as a distribution. The invoice is stored in the Customer’s currency. When the Invoice is Posted, domestic amounts are posted to the journal and customer amounts are put on the Posted Transaction record along with the exchange rate that was used for posting.

Account Numbers Posted (AR Dist):

• Credit – Sales (Invoice @ Old rate)
• Debit – Accounts Receivable (Invoice @ new rate)

Payment – Payments may be entered in either Domestic Amount or Customer’s amount based upon the currency code of the Bank Code you select for the payment. When the payment is posted, domestic amounts get posted to the journal, and customer amounts are put on the Posted Transaction record. At payment time, we perform a mini-gain/loss for the invoice and any payments, debits or credits to that invoice. All of the Posted transactions tied to the invoice will be “upgraded: to the new exchange rate.

Account Number Posted (AR Dist):

• Debit – Cash (Payment Amt @ new rate)
• Credit _ Accounts Receivable ( Invoice Amt @ old rate)

Difference to currency Loss (Debit) or Gain Account (Credit)

Gain/Loss Utility

At various times, users may wish to recognize any outstanding Gains or Losses. They may run this utility and specify either AR,AP or both.

AR – We process all Posted A/R Transactions and upgrade them to the current exchange rate. For each invoice that has a gain or loss, we post the amount to Accounts Receivable and the Gain or Loss Account.
AP- We process all outstanding PO Receipts (received but not yet vouchered) and upgrade them to the current exchange rate. For each record that contains a gain or loss. We post the amount to Vouchers payable and the Gain or Loss Account.

We process all unposted vouchers and upgrade them to the current exchange rate. For each voucher that has a gain or loss, we post the amount to Vouchers Payable and the Gain or Loss Account.

Gain/Loss Accounts:

• Users establish account records for Gains and Losses.
• The Gain Account is always used to record gains due to exchange rate changes.
• The Loss Account is always used to record losses due to exchange rate changes.

Currency Master:
SyteLine contains a currency master file where all currencies are maintained. Users may enter an unlimited number of date & time stamped currency exchange rates. They may also back-date these rates by entering a past date. There are two exchange rates entered. The Buying rate is used exclusively in PO and AP. The selling rate is used exclusively in CO, Estimating, and AR.

Financial Statements:

Users are able to print Financial Statements in different currencies. Prior to SYMIX 4.0, they could only accomplish this when they were consolidating multiple divisions. The “final” Financial statement would be printed in the currency of the division running the report. The exchange rates used to convert the data were the ones stored in the division running the report. Now in V 4.0, users can choose which currency they wish to print their financial statements in. The exchange rates used to print the report are the rates stored in the database that contains the ledger records being processed. The translations are for display purposed only. No posting of any kind takes place & no gain or loss is calculated.
Translations are defined for each line of the financial statement. Users choose to use the Buying or Selling Exchange rate. They choose a translation method: None ( no translation), Spot ( historic rate for each transaction), Current ( current exchange rate), Average Period ( weighted average exchange rate in effect for the accounting period for each transaction), End of Period ( exchange rate in effect at the end of the accounting period for each transaction)

A refund check has been received from a vendor and you need to enter it into SyteLine, the following are the steps that you should take to complete this process:

1) Go to Customer Maintenance and add a new customer record with the Vendor’s information.
2) In AP, you currently have a voucher and a payment on this vendor record. At this point, you need to decide whether or not you want this refund reflected in AP Posted Trans. If you’ll never repay this and don’t want the vendor’s balance due to increase, then you won’t enter any transactions on the AP side.
On the other hand, if you will eventually pay them back this amount, then you’ll want to adjust that payment amount, so that this refund is reflected on the voucher. In order to do that, you want to go to Vouchers and Adjustments and create an adjustment voucher against the voucher number, for the amount of the refund (should be a positive amount).
3) If you created an adjustment voucher in step (2), then you’ll need to process Voucher Posting to post that adjustment. If you didn’t, proceed to step (4).
4) In AR, create an invoice for the amount of the refund, using the new customer number that you created.
5) Perform Invoice Posting.
6) In Customer Payments, enter a payment for the new customer number, using the check # and the amount on the refund check.
7) Use Check Posting to post the payment.
Now AR has a zero balance.

Open Credits and Debits

Any credit memo created in SyteLine from a credit return or price adjustment invoice will automatically be created as an open credit.  Debit memos created by price adjustment will also be open.  Only when creating a credit or debit through AR you are given the opportunity to dictate which posted invoice the transaction is to be applied to at the time of creation.

To “clear up” open credits, debits and payments in Accounts Receivable Posted Transactions the open items must be applied to one or more invoices.  Credit memos and debit memos cannot be selected for payment and therefore can remain on an aging report as an open balance causing some amount of trouble in reporting as well as causing aging reports and other reports to take longer to run.

The reapplication process for each transaction type will be addressed individually.

Credit and Debit Memos – One to one

To reapply a credit or debit memo to a single invoice navigate to the AR Posted transactions screen and follow these steps.  Prior to doing the steps for reapplication review the transactions for the customer and determine in advance where you want to apply the credits.

• Put focus (cursor) on the credit/debit memo to be applied.
• View the detail for this transaction.  Depending upon the version you are running this may be a check box, double click, or tab.
• In the field labeled Invoice enter the invoice number this credit is to be applied to.
• Save.

If you have an open credit and an open debit for the same absolute amount apply them to the same invoice.  If you want these items to drop off your aging immediately apply them to a paid invoice.  Providing the debit and credit are for the same absolute amount the net change to the value of the invoice will be zero.

Credit Memos and Open Payments – Applied to Multiple Invoices

In the case where there is one credit memo that needs to be spread over multiple invoices or if only a portion of a credit memo is to be applied to an invoice follow these steps.

• Navigate to A/R Posted Transactions.
• Put focus on the target credit.  Note the number appearing for this transaction in the Chk/Ref column.
• Navigate to Customer Payments.  Enter a payment for the customer under discussion.  In the Check Number field enter the Chk/Ref number you just looked up.
• SyteLine should give you a display in the Description field that says Reapplication of Open Credit.
• Be aware the date that SyteLine returns will be the date the open credit was created.  This date should be overridden and changed to the current date in order to keep historical aging reports accurate.
• Apply the credit as if it was a check, using all standards and procedures you have in place for AR cash receipts.
• You can leave an open remainder if desired.

Removing or hiding applied items

Once all of the open credits, debits and payments have been applied to the appropriate invoices you may want to have them drop off your aging and posted transaction screen.  This can be accomplished by running either Activate/Deactivate Posted Transactions or Delete A/R Posted Transactions.

If you will be dealing with customers or vendors who use currencies other than your base (domestic) currency, use the following process to set up exchange rates and other multi-currency features.

1. Make sure the general ledger accounts specific to currency exchange are set up in the Chart of Accounts:

• Realized Gain
• Realized Loss
• Unrealized Gain
• Unrealized Loss
• A/R Unrealized Offset
• A/P Unrealized Offset
• V/P Unrealized Offset

If you are not using Unit Code 4 for anything else, you might want to set Unit Code 4 to Accessible for these accounts, and use it for reporting the foreign currency impact of the different currencies. If you do this, the currency codes must be entered for Unit Code 4. For information about setting up unit codes, see Account Unit Code (1-4).

1. Set up currency and exchange rate variance accounts for the domestic currency and the Euro on the Multi-Currency Parameters form, to help you track realized and unrealized gains and losses due to exchange rate changes. These accounts should match the ones you set up in step 1. During installation, you set up a Site Currency Code, which is the domestic currency code shown on this form.
2. Set up all other required currencies used by your vendors and customers in the Currency Codes form.For each currency code, the unrealized and realized G/L accounts specified on this form default to the accounts set up in the Multi-Currency Parameters form. You can also designate expenses by currency code if you use unit code 3 or 4.
3. Use the Currency Rates form to enter exchange rates between all currencies you set up in step 3 and the domestic currency.
4. Use the Bank Reconciliations form to set up bank codes and accounts to use with foreign currency customers and vendors. The bank reconciliation, attached to the bank code, maintains a record of all receipts and payments for each currency/bank code. If you will be recording A/R or A/P payments in foreign currencies, you should set up the foreign bank codes (with applicable currency codes) on the Bank Reconciliations form. Then you can include those foreign bank codes on customer and vendor records.
5. Use the Customers and Vendors forms to set up foreign currency customers and vendors.
6. If your system will share currency information between multiple sites, set up Replication Rules for the Shared Currency replication category.
7. Enter foreign currency customer orders and purchase orders. To see the amounts translated to your domestic currency, use the associated Domestic Currency forms.
8. Periodically, update the exchange rates and run the Currency Revaluation Utility. This utility uses the current exchange rate (from the Currency Rates form) to determine gains and losses due to currency fluctuations.

After Setup

1. Enter foreign currency customer orders and purchase orders. To see the amounts translated to your domestic currency, use the associated Domestic Currency forms.
2. Periodically, update the exchange rates and run the Currency Revaluation Utility. This utility uses the current exchange rate (from the Currency Rates form) to determine gains and losses due to currency fluctuations.