This guide explains how to use the adjustment field in a disbursement. It is intended for advanced users.
You can use the Adjustment field on a disbursement record to account for early payments and other discount-taken scenarios. The Adjustment field in a disbursement is only used to deduct from the amount of a purchase, not to increase the amount of a purchase — aACE does not allow disbursements to exceed the amount of a related purchase or a related group of purchases.
The Adjustment Code (#6 in the screenshot below) allows you to drive the discount to the applicable GL account. Your system administrator manages these adjustment codes.
In the example above, there is an outstanding purchase to a vendor for $829.94, with terms of Net 10 2%. You could opt to take advantage of the early payment discount, sending a check for the discounted amount of $813.34 and noting the adjustment of $16.60.
General Info Section
- Amount — The payment that will go to the vendor
Purchases Section
- Total — The full amount from the original purchase record
- Suggested Balance — aACE's calculation of the amount due
- Amount — The amount you are paying toward the purchase's balance
- Adjustment — The amount you are applying to the purchase's balance as a discount of some sort, as specified with the Adjustment Code
- Adjustment Code — A dropdown menu to specify the reason; activates after you enter an amount for the Adjustment
Accounting Impact of Adjusting a Disbursement
When you post an adjusted disbursement:
- The Total will debit the A/P Account.
- The Amount will credit the Bank Account.
- The Adjustment will credit the Disbursement Adjustments (Discounts Taken) Account associated with the selected adjustment code.
- The Total will be applied towards the related purchase's balance. If the purchase is fully paid, the purchase will be automatically closed.