Adjust the amount that you owe a vendor by creating an adjustment. Depending on the type of adjustment you create, you can either increase or decrease the amount you owe.
Adjust the amount that you owe a vendor by creating an adjustment. Depending on the type of adjustment you create, you can either increase or decrease the amount you owe. A credit memo adjustment increases the amount that you owe a vendor, while a debit memo adjustment decreases the amount you owe.
Did you receive a cash or check refund from a vendor? Learn how to process the refund.
Permissions and other requirements
- Go to Accounts Payable > All > Payments, and select the +sign beside Adjustments.
- Enter the Dateof the adjustment.
- Select the Vendor.
The Pay to and Return to fields automatically populate based on the information in the vendor record. You can override these fields if needed. - Select the Type of adjustment that you want to create.
A debit memo decreases the amount that you owe a vendor, and a credit memo increases the amount you owe a vendor. See Examples. - Enter Adjustment numberto track the adjustment.
If your company uses document sequencing, "New" appears in this field. After you post the adjustment, Intacct assigns an adjustment number automatically.
- (Optional) Reference the bill number, purchase order, or account number associated with the adjustment in the Reference bill number field.
- (Optional) Enter a Description.
- Add any supporting documents in the Attachment field.
Select an existing attachment from the dropdown or select Add to upload a new document. View more details - If prompted for a Summary, make a selection from the dropdown list.
The Summary field appears when your company has configured the summary frequency for this transaction type to be user-defined. For all other summary frequencies, such daily or monthly, Intacct automatically creates the summary for you and adds the new transaction to the summary. What's a summary? - For multi-currency companies, enter Currency and Exchange rate information about the adjustment in the Currency section.
- For Transaction currency, select the dropdown to select the currency being used.
If the currency is not your company's base currency, continue with the next two steps. - Select an Exchange rate typesuch as Intacct daily rate or WSJ published rate.
If you know what the exchange rate for this transaction is, or have contracted with the vendor on a set exchange rate, you can enter it in Exchange rate to override system calculations.
The Intacct daily rate is the system-supplied default exchange rate type, unless you've defined a different one.
- For Transaction currency, select the dropdown to select the currency being used.
- In the Entries section, enter line item details about the adjustment.
- For Account(or Account Label if your company is enabled for account labels), select an account to receive the adjustment.
- Select 1099 to add the line item amount to the vendor Form 1099.
- Enter the Amount of the item. Intacct expects this field to be populated, even if the amount is zero(0).
For companies using multiple currencies, enter the Transaction Amount, which is the amount in the transaction currency. Intacct then calculates the Base Amount in your company's base currency, according to the exchange rate listed in the header.
If you’re creating a debit memo, enter a positive line item. The debit memo type takes care of the accounting treatment for the vendor. - Enter a Memofor line items that might require explanations at a future date.
- If you use departments or locations and are assigning the expense to them, select the appropriate Departmentor Location.
- If you use departments or locations and are assigning the expense to them, select the appropriate Departmentor Location.
OPTIONAL - Select default information for all line items
- Select Intacct automatically does the following based on the selected Type:
- Debit memo: The debit memo adjustment becomes a vendor credit that you can apply to a bill on the Pay bills page.
- Credit memo: The credit memo adjustment becomes a bill to pay on the Pay bills page.
Learn more about the next steps after posting an AP adjustment.
Not ready to post? Save your transaction as a draft.
Exceptions
There are some situations in which you should not create an AP adjustment to record a decrease or increase in the amount you owe a vendor.
Enter a credit that requires a project billing adjustment
Process a vendor credit received to a credit card
Next steps
After you post an adjustment, the credit or debit memo appears on the Pay bills page.
If you created a debit memo, Intacct creates a vendor credit that you can apply to a bill on the Pay bills page. Learn how to apply a vendor credit.
If you created a credit memo, Intacct treats this transaction as a bill. Follow your normal accounts payable workflow to process the payment. For example, you might need to approve the payment and then create a payment request on the Pay bills page.