Part Processing Deposit Lines (SOP only)

The SOP deposit function assumes you process the deposit in full – i.e. if you enter an order worth £100 and take a 25% deposit and you process in full taking a payment for the balance or, if you part-processed the goods, you could only take the deposit if the goods value to be invoiced exceeded the deposit.

This new feature allows you to part-process deposit lines, so in the above if you only invoiced £10 on the order, you would use £10 of the deposit leaving the balance for the remainder of the order.

Invoicing Procedure

The invoicing procedure is relatively unchanged in that you choose your order, confirm account and header details, and confirm the quantities of the goods lines to process.What has changed is that the deposit lines, although shown, are view-only (you don’t enter/confirm an action quantity against them).

Instead the system will calculate the value of deposit(s) required to pay the invoice – if all available deposits are used then these lines are completed and, if further monies are required, the payment table will be shown to enter this payment. If a balance of the deposit is left then, provided the order would not otherwise be complete, the balance of the deposit is left to be used on the next invoice against this order.

Refunding Unused Deposit - If you take a deposit and due to changes in the order, either in order entry or through use of write-off in the invoice document, the order could be complete leaving a unused element of deposit the system will offer to refund this amount during invoice production.

After the details have been processed if the order is to be completed but unused deposit remains the system will prompt ‘All Details Complete. Do You Want To Refund Unused Deposit?’

If you respond ‘Yes’ then the system will warn all details completed and then display the payment table to enter the refund amount (as a negative value).

If you respond ‘No’ then the system will process the deposit to match the goods invoiced leaving the balance of the deposit and the order will remain active – this can then be refunded by running the invoice again later.

Rounding Discrepancies – when you enter an order the VAT is calculated line-by-line based on the total value of that line.When part-invoicing it may mean that invoicing in parts will increase the value of the order by a few pence. For example if you order 10 of an item at £5.00 each the total value is £50.00 with VAT of £8.75. If you invoice these individually then each invoice line is £5.00 goods and £0.88 VAT – multiplying this by 10 you’ll see that this means the value when invoicing separately exceeds that of invoicing in one lump some by £0.05. A similar issue could affect goods value when using line discounts.

Normally this would mean, on the final invoice, asking for payment for the £0.05, instead if the deposit matched the original order value in full then the details of one of the goods lines will be reduced so that the order matches that of the remaining deposit.This rounding will only occur if it’s within a threshold set in the manager – if an goods line entry needs to be adjusted it will be highest value line that will be amended. If the adjustment required is outside the required threshold then the operator will be prompted for the extra payment (or to give a refund if appropriate).

Refund – If you created a manual refund during order entry, say because you cancelled an order line, then during invoice production these are also automatically processed, and would be used on the first invoice posted after refund entry.

Credit Processes

Credit Goods and Refund – this process is unchanged, if goods have been returned for some reason and you are not to re-send these again, then you need to give the customer a credit and refund as the goods shipped were paid for (either by deposit or additional payment).

Your credit note for this should ONLY process goods lines, selection criteria should be set to ensure this. After you have selected the goods returned you will be prompted for the refund amount.This document should not be set to de-activate (i.e. complete) the order (as any unused deposit left on active orders will not be refunded).

Refund and Cancel Order – this process is also unchanged.Your credit note should only process the deposit and refund lines (our default codes of ZZ1 and ZZ3) and this document should only be used when no goods lines have been shipped/invoiced.

As an alternative to the above refund option, you may want to consider using the invoice to refund deposits. Responding 0 to the action quantity of the goods lines and, when prompted, refunding the unused deposit will generate a refund of the correct amount and has the advantage in that it can also be used if some good lines have been shipped/invoiced, and they have one option to refund unused deposits.

Installation

Database Changes

Four new data items are required, two on the Sales Order Header (SOH) and two on the Sales Order Detail (SOD).

File Item Name Type Description

SOH REM-DEP-NET K Holds the amount of deposit (exclusive of VAT) remaining to be used on the order in total.

SOH REM-DEP-VAT K Holds the amount of deposit VAT remaining to be used on the order in total.

SOD REM-DEP-NET K Holds the amount of deposit (exclusive of VAT) remaining to be used on the order line.

SOD REM-DEP-VAT K Holds the amount of deposit VAT remaining to be used on the order line.

Application User Facilities

These new items need to be referenced with the SOP Application User Facilities. On the third screen of Optional Features a parameter asks ‘Allow Deposit Processing’. If this is set a pop-up asks for the deposit processing parameters.These new items are referenced here.

Allocate Deposits proportionally when part-invoicing - Set to allow a deposit to be processed in part when the goods lines of an invoice are less than the deposit entered.

Maximum write-off value when part invoicing - When part-invoicing the value of the order, due to discount and VAT calculations, may be higher that when the order was originally entered. This asks for the threshold below which, on the final invoice for an order, the system will write-off this difference when a full deposit was taken on order entry. If the discrepancy is higher than this value, or the deposit was not taken in full, then the system will prompt for the extra payment as normal.

Item for Unallocated Deposits ex VAT on SOH

Item for Unallocated VAT on Deposits on SOH

Item for Unallocated Deposits ex VAT on SOD

Item for Unallocated VAT on Deposits on SOD

Enter the data item numbers of the items created above.