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Control Information

This chapter contains the following topic:

Introduction to Control Information

Introduction to Control Information

The A/P Control information selection contains information about the accounting set-up of your Accounts Payable module. It “controls” functions in the Accounts Payable module and supplies default values for other functions.

Select

Control information from the A/P Master information menu.

You must use two tabs to enter control information. If you cancel before completing the second screen, any changes made on the first screen are discarded.

There is only one entry for this selection. You can work with either new or existing information. A new entry occurs only when the module is installed (or the Control Information is initialized).

The first screen is displayed:

In character mode, the following screen displays:

Enter the following:

Default Accounts

A/P account

Each vendor is assigned a default A/P account number. This account is used for that vendor’s vouchers. Since the same account is often used for many vendors, you can provide a default for the default. The account number you enter here becomes the default in the Vendors A/P account no field.

The account should be defined in the A/P Accounts selection (which in turn is defined in the CTL Valid G/L accounts selection).

The messages below appear if the account you have entered is not in Valid G/L Accounts, or in A/P Accounts. If you have entered the number incorrectly, Select <Enter> to correct it. Select the <Space bar> to add the new account number.

This account is not on file

and/or
This account is not in the A/P accounts file

Would you like to add it ?

Type in account description

Enter a new account’s description for the Valid G/L Accounts.

Cash account

Checks and direct deposit payments must be paid from a cash account, which must be defined in the CTL Cash accounts selection. This in turn must be defined in the CTL Valid G/L accounts selection.

Use this field to specify a default value for this account number, to be used in the Payables Cash account field, Open items (Modify, manual payment), and in Checks Cash account # field (but not for the immediate check voucher, which has its own Control information default defined in the Default immediate cash account field).

The cash account used when generating a direct deposit ACH file and/or positive pay file must also be entered in CTL <Banks>. See Implement Positive Pay and Direct Deposit.

This account is not on file

and/or
This account is not in the Cash accounts file
Would you like to add it ?

These message[s] appear if the account you have entered is not in Valid G/L Accounts or in Cash Accounts. Answer <Enter> to correct an erroneous entry, or select the <Space bar> to add the account.

Type in account description

If adding a new account, enter its description.

Discount account

Enter the number of the usual account you use to record purchase discounts. When you use Payables, you can either default to this account or enter a different account.

Distribution account

Enter the number of the usual account you use to record purchase distributions. When you use Payables, you can either default to this account or enter a different account.

This account is not on file. Would you like to add it ?

This message appears only if the account you have just entered is not in the Valid G/L Accounts. Answer N to correct an erroneous entry, or Y to add the item to the file.

If adding a new account, enter its description.

Aging

The Aging fields are used as defaults when you print the Aged open items report, accessible from the Reports menu selection.

Age by

This field controls what aging method is used in the Aged Open Items report. Select Invoice date to age by invoice date or Due date to age by due date.

Number age days period n

These fields allow you to describe up to four age brackets for use in the Aged Open Items Report. n represents a number from 1 to 4.

Days must be entered in ascending sequence. Only the upper limit of each bracket is entered, since the lower limit is implied (by the upper bound of the preceding bracket).

The lower limit of the first bracket is not entered explicitly. If aging by invoice date, the lower limit is assumed to be zero (that is, you cannot pay a bill before you receive it). If aging by due date, it is assumed to be minus infinity (that is, you can pay your bills as long before their due date as you want).

Negative values are allowed, but are meaningful only if you age by due date. This lets you distinguish payments that are made just on time from those that are imprudently early. For more informaton on using negative values see Using the Aged Open Items Report For Projections in the Aged Open Items chapter.

“999” is used, by convention, for the upper limit of the oldest bracket. This does not imply that there is a fifth bracket of “1000 days and over”. Anything older than 999 days is forced into the last bracket.

Options 

Enter the upper limit of each aging period, or use the option:

Aging period n description

These fields allow you to provide a brief description of each bracket entered in Number age days period fields. These will appear as captions on the Aged open items report. n represents a number from 1 to 4.

Options 

Enter a brief description of each bracket, or use the option:

Check format to use

A/P checks can be printed on three different stock forms. You can also print checks on a customized form when you use the Check form designer.

With the stock forms, there are minor differences in the format of the check itself, but the some differences in the check stub. The printing of the reference may occurs on the stub.

Your check stub format choices are:

The advantages and disadvantages of the four options may be summarized thus:

* Ask for a sample check from your forms supplier. If you produce a custom form, we recommend that you send a printed form example (printed on the printer you are going to use) to your forms supplier with an explanation of each field. Some samples of check formats are provided with the install of PBS. See the Pre-defined Check and Remittance Formats section of the Check and Remittance Forms chapter.

No matter which format you choose, when you have more vouchers than will fit on a check stub you do have the option of printing a separate remittance page.

Choosing a Check Printer

An important part of check form printing is choosing the right printer. The right printer will help make the aligning of the check paper stock with the printed check data more easily done. Although we do not recommend a specific printer, understanding how the alignment works could help you decide on your purchase. For more information on the check alignment, see the Windows Printer Alignment and Company information - Laser printers-alignment sections in the Prepare Payments / Checks and Direct Deposit ACH chapter.

Print company name on check

This choice is valuable if you have multiple companies. By having check forms printed without the company name, you can use the same check stock for more than one company.

Select the check mark to print the company name on the checks, or remove the check mark if the company name is preprinted on the check forms.

Print check number on

This determines where the check number is printed. Select either:

Last voucher number 

The number entered here sets the starting number for vouchers. The first voucher number assigned in Payables is this number plus 1. When additional vouchers are entered in Payables, the voucher number is automatically increased by 1 for each new voucher.

Keep vendor history

Enter a check mark if you want to keep vendor history.

Passport highly recommends that you keep vendor history. A possible reason not to keep history is when your hard disk has very limited space. We highly recommend that you upgrade your disk space when this happens.

Some reports are available only when you keep vendor history. View vendor invoices is only available when you keep history. Refer to the Vendor History chapter for report examples.

Keeping vendor history lets you void checks more readily.

Your answer determines whether vouchers and payments are kept on file after being paid off. You can store these for as long as you wish, or you can selectively delete parts of this file. See the Purging Vendor History section of the Vendor History chapter.

Transfer Payment Information to Check Reconciliation

If you are using, or intend to use Check Reconciliation and you want to transfer checks, ACH payments and voided check information into Check Reconciliation, you must keep vendor history. If you are not keeping history, you may enter the checks information manually in Check Reconciliation (C/R). However you may end up with double postings to General Ledger if you get distributions from C/R.

When keeping vendor history there are two methods of transferring payment information when you are using the PBS Check Reconciliation module. For both methods you must set the C/R Control information field Using PBS Accounts Payable to checked. The transfer method you use is determined by the C/R Control information Post PBS Accounts Payable checks automatically field. The methods are:

Here are the details on both transfer methods:

Transfer Method 1 - Automatic

When C/R Control information is set to automatically transfer payment information to Check Reconciliation, these are the A/P menu selections where posting is direct to C/R:

Transfer Method 2 - Batch

If you are using the second method, Vendor History is used to store information until it is transferred to the C/R Checkbook. The transfer is run using the C/R Transfer checks /deposits selection.

Use memo tracking

Memo tracking cannot be used when Accounts Payable is interfaced to Job Cost.

Enter your selection for memo tracking.

A memo transaction provides a purchase-from vendor and a pay-to vendor. This is useful for credit card payments and employee expense reporting. For example you may have already paid the purchase-from vendor with a credit card, but you have not yet paid the credit card pay-to vendor. When you enter the payable to the credit card company the memos are assignable to the payable when entering the payable distributions. The default distribution account assigned to each pay-to vendor may be used.

The Memos selection, found on the Payables menu, allows you to enter memos in advance of entering the payable and assigning the memos to the payable when you enter distributions. If you prefer, you may enter all or some of the memo distributions when you enter the payable. The payables edit list includes memo information.

After posting a payable with memos vendor history that includes memo distributions identifies the actual purchase-from vendor for specific purchases that are being paid to a different vendor such as a credit card company or employee expense reimbursement account. Posting also updates the vendor record with period to date, next period and year to date memo purchase amounts.

Memo purchase information as well as regular purchases can be printed using the Vendor History Report and the Purchase Journal. Period to date, year to date, next period and current period totals for memos, stored in Vendors, are included with the Vendor by vendor # and Vendor by vendor name reports. The Memos report will print posted or unposted memos. The Purchase Journal has an option to show memo purchases on the report.

Memos also provide a means of tracking sales tax per state. This may be useful for auditing purposes. The Tax by state report provides state totals.

These are the options:

If memo transactions have been entered in the memo transaction file, you can not turn off memo tracking.

Memos cannot be used if you are interfaced with Job Cost.

Generate ACH

Check this box to generate a direct deposit ACH file when paying vouchers or do not check the box to not use this feature.

ACH direct deposit can be selective per vendor. For more information on the features and setup of direct deposit ACH processing, see the appendix Implement Positive Pay and Direct Deposit.

Generate positive pay

Check this box to generate a positive pay file when printing checks or uncheck it to not use this feature.

For more information the features and setup of positive pay see the appendix Implement Positive Pay and Direct Deposit.

Batch controls level 

This field displays as N/A and may not be entered whenever CTL Company information specifies that batch controls are not used.

Otherwise, enter the level of batch control desired: No controls, Partial, or Full controls. Refer to the Batch Processing Control chapter in the System User documentation for more information on batch processing.

After entering these fields the second tab displays. Enter the fields on this tab.

1099 information

Print 1099 forms

If you wish to produce 1099-MISC IRS reports and a 1096 annual summary report for selected vendors, check the box; if not, leave it unchecked.

This field is protected from change. Refer to the System User documentation for overriding protected changes.

Taxpayer id number

If you responded to not Print 1099 forms this field cannot be entered.

Otherwise, enter your taxpayer ID number.

ID type

If you responded to not Print 1099 forms this field cannot be entered.

Otherwise, enter the type of taxpayer ID number:

1 = Business (employer ID number)

2 = Individual (Social Security number)

The Taxpayer id number field changes to the appropriate format: 99-9999999 for a business or 999-99-9999 for an individual.

1099 year ending date

If you responded to not Print 1099 forms this field cannot be entered.

Otherwise, enter the date on which the current calendar year ends.

This automatically updates when you perform the Close year for 1099's procedure.

Options 

You have the following option:

Immediate printing

Allow immediate printing

Check the box to use the Print Check Immediately option in Payables. This option enables you to issue a printed (not manual) check immediately using a Immediate check voucher. Leave it unchecked to disable immediate check printing.

Immediate check printing can only pay one voucher at a time. For printing multiple vouchers on one check use Print checks and post.

Default immediate cash account

If you select to not allow immediate printing, this field cannot be entered.

Otherwise, specify the cash account to which immediate check vouchers are posted. The account you enter here appears as the default when entering the Cash account field in Payables, but only for the immediate check voucher. For non-immediate checks, refer to the Cash account Control information field. If you do not want to distinguish by account number between the two types, enter the same account number in the Cash account and Default immediate cash account fields.

This account is not on file

and/or
This account is not in the A/P accounts file
Would you like to add it ?

These message[s] appear only if the account you have just entered is not in Valid G/L Accounts or in A/P Accounts (respectively). If you have merely keyed in the number incorrectly, leave it unchecked to correct it. Check this box to accept the new account number and add it.

Type in account description

If adding a new account, enter its description.

Default immediate printer

If you elect to not allow immediate printing, this field may not be entered.

Otherwise, enter the name of the printer on which you most often print your A/P checks. This is the default printer when you use immediate check payable vouchers. The default can be changed during processing.

If you do not want a default you may leave the field blank. This is the optimal approach.

If you do specify a specific printer, the name should be the same as one defined on the printers tab of CTL Company information; this however is not validated by the program so any value can be entered. If the name of the printer is changed in Company information it will not be changed here unless you re-enter it.

You can also assign Windows printer to display a window where you can select the printer. Due to the aligning the data to the form during printing, Windows printer may not work with your printer and the results may not be usable. However, if you design your own check format you may be able to get the data to fit on your check stock.

You have these options.

This field is case sensitive. Enter the exact lower and uppercase characters as they appear on the screen in the Printer-name field in Company information. If you change the name in Company information you will have to update this field with the name change.

In character mode the following screen displays:

Fields are numbered consecutively from the preceding screen, and thus may appear differently in your company than they do in the screen display above.

Label Printing Return Address

Company name

Address-1

Address-2

Address-3

All four lines of the address lines are optional and if present are not required to conform to any particular format.

Enter your company name and address.

Date Control Information

The next four fields provide date controls for the A/P module.

Current period ending date

If you use the Passport Business Solutions General Ledger, you may enter the same date as the Current period ending date in G/L Accounting Periods. However, you are not required to close a period at the same time you move to another entry period in G/L.

After the initial entry of this field, the close a period function will change the date automatically. Normally, you will never have to manually enter this date. Refer to the Close a Period chapter.

If you do not use G/L, enter the last date of the accounting period you are in.

This date is provided as a reminder of the current period in which you are working and will display when you are adding, changing or viewing vendor information.

When a payable or a check is posted, amounts are added to either the Period to date (if the posting date is in the current period) or Next period (if posting date is a month ahead of the current period) vendor fields.

Enter the current period ending date.

Options 

You have the following option:

Date Entry Range

A/P checks, voucher distribution and void check dates are prone to misinterpretation and incorrect entry. The next three fields provide the set up for a feature that restrict users to entering dates, which ultimately result in G/L transactions, to a specified date range. The use of date entry control would increase the security against accidental incorrect entry of distribution dates.

Fields that are affected by date entry control include:

* When you use either the Import or Data Import Payables menu selections, no date controls are placed on these functions.

Date control

Enter the date control type. Use one of the values from the table below:

Starting entry date

This field may not be entered if you selected No control to the Date control field.

Enter the starting date for which you are going to control the date entry. This can be any date, but normally it is the first day of the current month.

When you run the Close a period function, you will be asked to re-enter this date. A default of the next period starting date is provided.

Options 

You have the following option:

Ending entry date

This field may not be entered if you selected No control to the Date control field.

Enter the ending date for which you are going to control the date entry. This can be any date, but normally it is the last day of the current month.

When you run the Close a period function, you will be asked to re-enter this date. A default of the next period ending date is provided.

Options 

You have the following option:

Make any changes required. Press <Enter> to accept your changes.