AP Bills with Retainage: Implementation Checklist

The following sections provide details you can use to ensure that the system is configured properly for processing an AP bill with retainage, and to understand (and change, if needed) the settings that affect the processing workflow.

Implementation Checklist

Before you begin processing the AP bill with retainage, you should make sure the needed features have been enabled, settings have been specified, and entities have been created, as summarized in the following checklists.

Settings That Affect the Workflow

You use accounts payable forms to record purchases you make on credit. The following settings and entities should be specified and defined, respectively:

• The following general ledger settings should be specified on the Posting Settings tab of the General Ledger Preferences (GL102000) form:
  • Make sure that the Automatically Post on Release check box is selected. This setting causes GL batches to be immediately posted after they are released.
  • Clear the Generate Consolidated Batches check box to cause every AP transaction you enter to be posted as an individual batch to the general ledger. (When this check box is selected, the system consolidates into a single batch all transactions in the same currency posted to the same period for all documents being released.)
• The following accounts payable settings should be specified on the General tab of the Accounts Payable Preferences (AP101000) form:
  • Select the Hold Documents on Entry check box in the Data Entry Settings section. This setting gives the created AP bills the On Hold status.
  • Clear the Hold Documents on Entry check box to direct the system to automatically remove retainage bills from hold as soon as they are created. With this check box cleared, retainage bills will get the Pending Approval status if approvals are set up in your system for the Bill document type, or the Balanced status if approvals are not used.
  • Clear the Require Vendor Reference check box in the Data Entry Settings section. This setting means that you do not have to enter a vendor reference number in the Vendor Ref. box when creating an AP bill on the Bills and Adjustments (AP301000) form.
  • Make sure that the Automatically Post on Release check box is selected in the Posting Settings section. This setting indicates that AP bills will be automatically posted to the general ledger once they are released.
  • Select the Retain Taxes check box in the Retainage Settings section if you want to retain the taxes calculated on the retained amount. If you want to pay full tax amount on the bill with retainage, leave this box cleared. For details on tax settings for bills with retainage, see AP Bills with Retainage: Configuration of the Default Retainage Settings.
  • If you want the system to automatically release retainage bills that you create on the Release AP Retainage (AP510000) form, you select the Automatically Release Retainage Documents check box. To release them manually, you leave this check box cleared.
  • If you want that the rows related to the same project have been added to the bill, you select the Require Single Project per Document check box. To be able to add lines related to different projects, you leave this box blank.

With these settings specified and entities defined, users in your company can record and process documents in MYOB Advanced quickly and accurately, with a minimum of manual actions.