Agency Bill: Adjust Company Payables for Direct Bill Commission

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Invoice Adjustment Reconcile Company Payables Training 6: Accounting

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Agency Bill Journal Transaction Payables

The procedure detailed in this document should be followed when an insuring company bills invoices as agency and direct bill; then reduces the company payable amount for agency billed invoices with the direct bill commission amount due the agent on direct bill invoices.

Journal Entries

1. Select Accounting -> Journal Entry.
2. Enter G/L Account 1130 for the first journal. Press <TAB>.
3. Enter the Sub G/L for the company. Press <TAB>
4. Select a Date. (Right-click the date field to select a dynamic date, such as "End of Month".) Press <TAB>.
5. Enter a Department. Press <TAB>.
6. Enter a Description. Press <TAB>.
7. Enter the Amount of the direct bill commission as a credit (Example: $-508.25). (Select the drop-down to display a calculator.). Press <TAB>.
8. The cursor automatically moves to the offset journal list at the bottom.
9. Enter G/L Account 2110 for the offset journal. Press <TAB>.
10. Enter the Sub G/L for the company. Press <TAB>
11. Enter a Department. Press <TAB>.
12. Enter the Amount of the direct bill commission as a debit (Example: $508.25).
13. Select Save.
14. Write down the system assigned Journal numbers. (Example: 1065 and 1066).

Applying Journals to Invoice Transactions

1. Open any Direct Bill invoice included on the commission statement.
2. Double-Click on invoice line.
3. Select the Adjust button in the lower right-hand corner of the screen.
4. Select Adjust This Invoice Line With -> An Existing Journal.
5. Enter the Journal number for GL 1130. (Example: 1065)
6. Select Accept.

   

7. Select Finish to close the invoice line details.
8. Select Exit to close the invoice.
9. Open any Agency Bill invoice included on the commission statement.
10. Double-Click on invoice line.
11. Select the Adjust button in the lower right-hand corner of the screen.
12. Select Adjust This Invoice Line With -> An Existing Journal.
13. Enter the Journal number for GL 2110. (Example: 1066)
14. Select Accept.

    

15. Select Finish to close the invoice line details.
16. Select Exit to close the invoice.

Reconciling and Paying Direct Bill Invoices

1. Select Company -> Reconcile Company Receivables (Direct Bill).
2. Enter the Company Code.
3. Enter the Start and End Date of the invoices you want to reconcile/pay.
4. Select OK.
5. On the Transaction Details, select Create a New Cash Transaction to Pay.
6. Enter the Bank.
7. Enter the Department.
8. Enter a Description.
9. Enter the Amount as 0.00.
10. Select OK.
11. Right-Click and select Pay All in Full. (Optionally, Right-Click and select Pay This Invoice in Full)
12. Select Perform Reconciliation.
13. Select Yes to system message that reconcile will create a cash for zero dollars.

Reconciling and Paying Agency Bill Invoices

1. Select Company -> Reconcile Company Payables (Agency Bill).
2. Enter the Company Code.
3. Enter the Start and End Date of the invoices you want to reconcile/pay.
4. Select OK.
5. Right-Click and select Pay All in Full. (Optionally, Right-Click and select Pay This Invoice in Full)
6. Select Payment Details to verify check information.
7. Select Perform Reconciliation.