Process payment discount

Disclaimer

All screenshots in the article were taken in the Dutch version of Yuki.

In conjunction with the Yuki Payment Service, you have the ability to process payment discount/credit limitation on purchase invoices.

The payment discount can be entered by a user with a 'Back office' role in the domain in two places:

• at the default value of the supplier
• when processing the purchase invoice.

The entrepreneur finds the payment discount in the payment list in the 'Discount' column. The icon for the discount amount is green when the invoice is still within the payment period and will be red when the payment period has expired.

When creating a draft SEPA payment file, given the payment term, the discount will or will not be included. If desired, the entrepreneur can override this and decide whether or not to include the discount in the SEPA payment file.

To activate and use this feature, three steps must be completed:

• activate Payment discount feature
• book purchase invoice with discount (automatically entered when set as default value at supplier)
• pay purchase invoice with discount.

After finalizing a draft SEPA payment file, Yuki will automatically create a general journal entry to debit the payment discount to general ledger account '45906 Payment discount received'.

Activate Payment discount feature

Only the owner of a domain (with the 'Management' role) or a user with the 'Management' and 'Security manager' role can activate the feature. They decide whether to work with discounts or not.

Hover your mouse over the Settings icon in the navigation bar and then click on Payment list settings under the Banks section.  

The following screen is opened:

Enable the Payment discount feature by selecting On. Then click on the Save button. 

Book purchase invoice with discount

When the feature is enabled, you will see the new Payment discount field at the bottom of your input screen when booking a purchase invoice.

The payment discount can be entered as either a percentage or an amount. When you enter one of the two, the other field will be calculated automatically. 

After completing the document, Yuki will store this discount percentage in the supplier's default values so that when booking the next purchase invoice, the discount will be automatically included. 

Pay purchase invoice with discount

In the payment list, the Discount column is added making all discounted invoices visible. The discount is indicated with a green icon if the due date has not yet passed. If it has, a red icon will appear in front of the discount.

Now go through all the steps to pay the relevant invoices via a SEPA payment file as described in detail in article Pay payment list invoices with payment discount via SEPA payment file.

ATTENTION!

In the draft SEPA payment file you can still indicate whether or not you want to apply the payment discount to the invoice. By default, the payment discount is on if you pay before the due date.

Hover over the line of the particular invoice from which you want to remove or apply the payment discount, click on the button with the three dots, and then select the Apply discount or Remove discount menu option.

The amount you now see in the Payment column will be included in the final SEPA payment file. 

Entry

After creating the final SEPA payment file, Yuki will automatically create a general journal entry to debit the payment discount to general ledger account '45906 Payment discount received'.

Aggregated payment file

If a aggregated payment file is used, Yuki will book the payment discount on the relevant purchase invoices to general ledger account '45906 Payment discount received' and the remaining (payable) amount to general ledger account '23000 Internal transfer of funds'. All invoices in the SEPA payment file will be marked as 'Paid'.

Not aggregated payment file

If you are using a not aggregated  payment file, Yuki will only create a general journal entry to record the payment discount on the relevant purchase invoices in general ledger account '45906 Payment discount received'. The remaining outstanding amount will remain open on the invoices in the SEPA payment file until the payments are matched.

TIP!

If the entrepreneur uses the Yuki Payment Service but however, does not create SEPA payment files (i.e. does not actively use them), then no automatic journal entries will be created and the discount will have to be manually debited to 'Payment discount' when matching the payment to the purchase invoice: