Processing pay runs across fiscal years

Processing pay runs across fiscal years

ISSUE: Question regarding cheque runs over year end

Question: when processing the pay run, does the system pull invoices created in a 2026 batch with a due date of September 1 or does it ignore that invoice as the pay run is in 2025? 

We process due dates up to seven days after the date we run the pay to avoid missing due dates, so if in 2025 august 25 we run our pay, does the invoice get pulled or do we have to run a separate pay in 2026? How does this affect the AP clearing account?

Solution:

When initiating a payment possibilities, a series of parameters is presented, designed to enable the user to filter out invoices that should not be included in the pay run.  The first two prompts are a date range and only invoices whose due dates fall within that range will be included in the run.  (The From date will default to the due date of the oldest outstanding invoice; the To date will default to the current date plus the number of days specified in the Accounts Payable Settings (Number of days for A/P Invoice Payment).  If the user does not wish to pay invoices entered in the next fiscal year’s batches, the next prompt, Batch Fiscal Year, will enable the user to enter what year’s batches should be included and any invoices entered in batches of any other year will be excluded from the run.

If invoices from multiple years are included in the run, the transactions to the Accounts Payable and Bank accounts will be done in the year specified during the Final Run.

(Further selection criteria are as follows):

• Bank – only one bank can be included on a pay run.  The bank codes are defined in the Accounting Settings (Bank Codes) and are attached to batch codes
• Invoice Entry Types – any desired combination of invoice entry, online cheque entry and invoice import may be selected; any box not checked will exclude invoice  originating from that source from inclusion in the pay run
• Invoice Types – by default, all invoice types are included in the pay run.  Clicking on the drop down list allows the deselection of any that are not to be included.  Alternatively, if only one invoice type is to be included in the run, choose the Select None option and then check just the invoice type to be included
• Vendor Payment Types – pay runs can be done for just EFTs or for just cheques.  By default both will be processed in the same pay run but if the preference is for just one or the other, that can be defined here
• Vendor Types – like invoice types, by default, all vendor types are included in the pay run.  Clicking on the drop down list allows the deselection of any that are not to be included.  Alternatively, if only one vendor type is to be included in the run, choose the Select None option and then check just the vendor type to be included

Please log a ticket with Edsembli FIN if you have any questions, comments or concerns with the above.