The Mixed Payment process is used to enter payment transactions that have affected a Cash Account, such as cash receipts from customers and disbursements to suppliers based on statements of account. You can also use Mixed Payment to enter several payment transactions within one payment, with possible matching of invoices. Invoices created and posted in other companies apart from the cash receiving company or the payment company can also be included in the matching and for each company involved. Separate vouchers will be created for the multi-company payment. If any invoices are matched with the payment, the payment and the matched invoices will be assigned a unique ID and a matching date. This matching ID will be shown with both invoices and payments in the relevant queries and reports, which makes it easier for you to identify which payments are connected to which invoices. You can enter customer and supplier payments, and confirm payments implemented via payment orders transferred previously to the payment institution by file. Any transaction that affects the balances of cash accounts, e.g., cashed checks or bills of exchange, bank charges, and interest revenue, can be entered in the Mixed Payment.
The Mixed Payment process is handled in the Mixed Payment window. Apart from the current closing balance on the account at the payment institution, the Mixed Payment window shows the estimated balance. Implemented payments are entered afterwards, when confirmation has been received from the payment institution in the form of a statement of account or an equivalent. This confirms that payments have been implemented, i.e., that a cash transaction has taken place. Statements of account contain information about the payee, payer, payment date, as well as amounts and any charges.
Disbursements to suppliers are normally made using a Payment Order which is transferred via file management to the payment institution or is paid by some other means. These and Direct Debiting of customers, which is also initiated by transfer of a file to the payment institution, can be confirmed as implemented. Apart from information on implemented suppliers and customer payments, statements of account can also include details of cashed checks or bills of exchange and other financial transactions. Statements of account form a basis for both payments and accounting transactions. When vouchers are created or entered and saved, vouchers are created in the hold table in IFS/Accounting Rules. Before a cash transaction can be entered in an account, a statement of account or equivalent confirmation is required from the payment institution.
The Mixed Payment process is used to enter statements of account and other documents from payment institutions. Statements of account specify all cash receipts and disbursements for a specific account for a given period. All details are entered in the Mixed Payment window, such as details of payment institution, cash account, currency, and balance information. While entry is in progress and once saved, the mixed payment is in Not Approved status, which means that no payment or accounting transaction has yet been generated. This happens when the mixed payment is approved. The mixed payment can be saved temporarily as Not Approved.
The system manages two facilities for currency registration in the Mixed Payment window. If the cash account in the payment institution is in a currency other than the accounting currency, only payment transactions in the cash account currency can be entered. In this case, all balances are reported in both the cash account currency and the accounting currency. If, however, the cash account is in the same currency as the accounting currency, payment transactions are managed in any currency and all balances are reported in accounting currency only. When currency combinations are used it is possible to choose a calculation pattern by selecting a recalculation type. Recalculation patterns differ depending on the recalculation type as well as the field modified. The table below describes the different sequences of recalculations.
| Recalculation Type | Modified Field |
|
Recalculation Sequence | |
| (1) | (2) | (3) | ||
| Recalculate Invoice Amount | Amount in Payment Currency | Amount in Accounting Currency | Amount in Invoice Currency | |
| Amount in Accounting Currency | Amount in Payment Currency | Amount in Accounting Currency | Amount in Invoice Currency | |
| Recalculate Currency Rate | Amount in Payment Currency | Amount in Accounting Currency | Currency Rate | |
| Amount in Accounting Currency | Amount in Payment Currency | Amount in Accounting Currency | Currency Rate | |
| Any | Amount in Invoice Currency | Currency Rate | ||
| Currency Rate | Amount in Invoice Currency |
At least one transaction must be entered before the mixed payment can be approved. The system allows mixing cash receipts and disbursements in the same window at the same time. To distinguish between them, the system has a number of predefined transaction types for cash payments, various types of customer payments, various types of supplier payments, cashing of Bills of Exchange, cashing checks and bank charges. Customer or supplier payments not fully matched can also be posted as parked payments, payments in advance or payments on account, or as Difference Items. Those new unsettled items can be also created in another company apart from the payment company, except of parked payment which are always related to cash paying/cash receiving company. You can choose the currency rate type to be applied for each mixed payment transaction. The default buying rate for the company will be used for transactions related to suppliers and bank fee payments. The default selling rate will be used for transactions related to customers. For payments which have matched invoices or unmatched payments of an affiliated company, the currency rate of the payment company is used in the affiliated company to calculate the currency exchange gain and loss, if both companies have the same accounting currency. In case of different accounting currencies between the companies, the currency exchange gain and loss in the affiliated company is based on the currency rates of the affiliated company. For direct cash payments the default buying will be used in case of a cash disbursements and the default selling rate will be used in case of the cash receipt. If buying/selling currency rate types are not used, the default currency rate type of the company will be used.
Before you start entering information, check that Basic Data Required (BDR) has been set up as per instructions in Define Financials Basics, the Set up Basic Data Mixed Payment process.