Set allowed variances for matches
- 3 min.
"For some of our vendors, the invoiced amount will always change a little due to the nature of the items we order. This can cause us to make manual adjustments each time in the matching process. It would save us a lot of time if we could allow a variance in amount to handle these small fluctuations."
Ester, Accounts Payable at Cronus
You can configure maximum variance amounts and/or percentages for invoice matching in Document Capture, to handle small fluctuations in item amounts. The relevant settings are on the vendor template for invoices, so you have control over which invoices to allow matching variances.
Take a tour in the solution
In this scenario, you'll add a maximum variance amount and percentage to a vendor template for invoices, so that small fluctuations in amounts can be handled within the order matching process.
The steps to follow are:
- Review the document journal comments for a received invoice.
- In the vendor template, configure a G/L account for handling variance amounts and set maximum allowed variance amounts and percentages.
- Recognize fields in the received invoice to apply the changes to the template.
- Review the document journal comments and register the invoice.
- Review the registered lines to see the document line added for handling the variance amount.
Set maximum allowed variances for matches
You might commonly deal with cases where the invoice amount often varies slightly from the purchase order amount. For example, raw materials or fuel costs can fluctuate without advance notice. You configure these settings on the vendor template card for purchase invoices.
- First, enter a G/L account for the Variance Posting Account.
- Enter a Maximum Variance Amount Allowed (LCY) and/or a Maximum Variance % Allowed. These fields are not visible until you have entered a value in the Variance Posting Account.
Consejo
A match must be less than both of the maximum variances. For example, with the settings shown in the screenshot, an order amount of £15,000 will not match an invoice amount of £15,350 because the variance is above the maximum variance amount – even though it is below the maximum variance percentage.
Nota
The Comments FastTab in the document journal shows information for when an invoice is matched within the maximum allowed variance, as well as when the maximum allowed variance is preventing a match to an available order or receipt.
More resources
- Handling discrepancies, including partial matching (Continia Docs article)