Overview

Purchase invoices in iVendNext support discounts to help track expenses and supplier deals accurately. This article walks you through creating and managing them step by step.

Introduction to Purchase Invoices with Discounts

Discounts on purchase invoices can be applied at two levels:

1. Item-Level Discounts: Discounts applied to specific items in the invoice.

2. Additional Discounts: Discounts applied to the total invoice amount.

iVendNext allows businesses to record these discounts in separate ledger accounts, ensuring accurate financial reporting and compliance with accounting standards. This article will walk you through the process of creating and managing purchase invoices with discounts in iVendNext.

Step 1: Enable Discount Accounting

Before you can apply discounts to purchase invoices, you need to ensure that discount accounting is enabled in iVendNext. Here’s how to do it:

1. Navigate to Accounts Settings:

• Go to the Accounts Settings page in iVendNext.

2. Enable Discount Accounting:

• Locate the Enable Discount Accounting checkbox.

• Check the box to activate discount accounting in the system.

Step 2: Create a Purchase Invoice

Once discount accounting is enabled, you can start creating purchase invoices with discounts. Here’s how:

1. Navigate to Purchase Invoices:

• Go to the Purchase Invoice section in iVendNext.

2. Create a New Invoice:

• Click on New to create a new purchase invoice.

3. Add Supplier Details:

• Enter the supplier’s name, billing address, and other relevant details.

Step 3: Add Items to the Invoice

After entering the supplier details, you need to add items to the invoice. Here’s how:

1. Select Items:

• In the Items table, select the items you want to include in the invoice.

2. Enter Quantity and Price:

• Enter the quantity and price for each item.

Step 4: Apply Item-Level Discounts

If you want to apply discounts to specific items in the invoice, follow these steps:

1. Expand the Item Row:

• In the Items table, expand the row for the item you want to discount.

2. Enter Discount:

• In the Discount and Margin section, enter the discount amount or percentage.

3. Select Discount Account:

• Scroll down to the Accounting Details section and select the Discount Account where the discount will be recorded.

Step 5: Apply Additional Discounts to the Invoice

In addition to item-level discounts, you can apply an overall discount to the entire invoice. Here’s how:

1. Go to the Additional Discount Section:

• Scroll down to the Additional Discount section in the invoice.

2. Enter Additional Discount:

• Enter the discount amount or percentage.

3. Select Additional Discount Account:

• Select the Additional Discount Account where the discount will be recorded.

Step 6: Review and Submit the Invoice

After applying discounts, review the invoice to ensure that all details are correct. Here’s what to check:

• Verify that the discounts are applied correctly.

• Ensure that the correct discount accounts are selected.

• Double-check the total invoice amount.

Once you’re satisfied, save and submit the invoice. iVendNext will automatically create ledger entries for the discounts in the specified discount accounts.

Managing Purchase Invoices with Discounts

After creating purchase invoices with discounts, you may need to manage or modify them. Here’s how to do it:

1. Viewing Discounts in Purchase Invoices

• Open the purchase invoice and navigate to the Items table or Additional Discount section to view the applied discounts.

2. Editing Discounts

• If you need to modify a discount, open the invoice and update the discount amount or percentage in the relevant section.

3. Cancelling or Deleting Invoices

• If an invoice needs to be cancelled or deleted, ensure that the discount entries are also reversed in the ledger accounts.

Best Practices for Managing Purchase Invoices with Discounts

Here’s a quick look at some of the best practices for managing Purchase Invoices with Discounts.

1. Consistency in Discount Application:

• Apply discounts consistently across all invoices to maintain uniformity in accounting practices.

2. Regularly Review Discount Accounts:

• Periodically review discount accounts to ensure that discounts are being recorded accurately.