Create an AR adjustment

Enter basic information about the adjustment

1. Go to Accounts Receivable > All > Payments, and select Add (circle) next to Adjustments.
2. 1. In Date, leave the current date or select a different date for the adjustment. Any date entered here is automatically populated to GL posting date (and to Exchange rate date, if you're a multi-currency company). You can change either date as needed, for example, if you want to create the adjustment today, but post it on a different date.
   2. Select an existing Customer or add a new customer, as required. The Bill-to and Ship-to fields automatically populate based on the customer record.
   3. Enter an Adjustment number that can be used to track the adjustment.
      If you've assigned document sequencing in Configure Accounts Receivable, you can let Intacct assign an adjustment number; just leave the autofill text "—New—".
3. Select Type, and then select the type of adjustment you’re creating:
   • Debit memo: Increases the overall amount that the customer owes you. For instance, if you forgot to charge the customer for shipping or some other service, you can create an adjustment rather than a whole new AR sales invoice.
   • Credit memo: decreases the overall amount that the customer owes you. For instance, If a customer makes a return, you create a credit memo for that customer to decrease the amount the customer owes you.
4. To store a digital version of a supporting document, in the dropdown next to Attachment select an attachment, or select Add. Then upload your attachment An attachment is a bundle of one or more supporting documents, such as spreadsheets, scanned images, or word processor documents.. Learn more about who can add attachments.

   You can drag and drop your files to add an attachment. To attach a document to multiple journal entries, see Bulk processing.

5. If required, select a Summary to group the adjustment.
What's a summary?

Summaries are collections of the same type of transactions, grouped together for processing. The advantage of using a summary is that the transaction group posts to the GL as one line. From that one line, as needed, you can drill down to any of the individual transactions.

You can have Sage Intacct create, post, and close summaries automatically at a frequency that you specify by selecting a time interval. Or, you can create, post, and close summaries yourself.

When you first create a summary, it's open, and you can enter transactions. After you close a summary, you can't post transactions to it, which prevents posting transactions to the wrong period. To add or delete transactions from a closed summary, reopen it.

See Summaries overview—Accounts Receivable for more information.

6. If you're a multi-currency company, enter the currency details in the Currency section:
   In multi-entity, multi-currency companies

   If your company is a multi-entity, multi-currency company, you can make adjustments at the top level or entity level.

   • Top level: When creating a top-level adjustment, you must select the base currency and location.

   • Entity level: When making adjustments at the entity level, Intacct already knows the location and base currency.

   • Foreign currency: Whether working at the entity level or top level, you must select a transaction currency when entering a foreign currency adjustment.

   1. In 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.

   2. Select Exchange rate type, and then select an exchange rate type, such as Intacct daily rate.

      (Intacct daily rate is the system-supplied default exchange rate type, unless you've defined a different one.)

      If you know what the exchange rate for this transaction is or have contracted with the customer on a set exchange rate, you can enter it in Exchange rate to override system calculations.

   3. Type or select a date in Exchange rate date. The default value is the current date, but you can override this. For example, you might want to change it to the date the transaction was issued or the date you intend to pay the transaction. (If you override the Date, the exchange rate date updates automatically.)

Select default information for all line items (optional)

In the Entries section, you can add values directly to each line item, or select Show defaults to define default values to autofill each line item. To set up a value as a default for each existing and new line item, select the dropdown beside the appropriate field and choose a value. You can override any default value on any line item.

For example, you can set dimension values for tracking and reporting purposes. After you select the GL account in the Items area, any dimension value that you set as a default is automatically reflected for each line item.

See Setting default line items for more information.

Enter line items

For the adjustment to be posted, specify at least the account and an amount for each line item.

Enter line item information for each line item in this adjustment:

1. Under Account (or Account label if you have enabled account labels), select the account picklist, then select an account to receive the adjustment.
2. In Amount, type the item amount of the item.

   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.

   This is a required field. While Intacct allows and totals negative line item entries here, the adjustment's total is based on whether you select a credit (negative) or debit (positive) memo type. It’s calculated accordingly when you save the adjustment.
3. Enter a Memo for line items that might require explanations at some future date
4. If you use departments or locations and are assigning the expense to them, select the Department or Location.
   The Location is a required dimension If your company is multi-entity and you create the adjustment at the top level. The adjustment is restricted to the entity of the tagged location.
5. If you use additional dimensions, such as customer, employee, or item, and are assigning the adjustment to them, select additional dimensions for the adjustment.

6. When you finish entering the transaction information, save it as a draft or post it.

   • Select Draft or Draft and new to save your progress on the transaction, without posting it. Later, you or another user can review and post it.
   • Select Post or Post and new to post the transaction.

Save an adjustment as a draft

Not ready to post that AP supplier invoice, AR sales invoice or adjustment? You can save it as a draft without affecting the GL or any subledger. With the ability to save these types of transactions in draft state, you can save your progress. Later on, you or another user can come back and post the transaction.

Prerequisites: Your ability to add a transaction in draft state or post a transaction depends on your permissions:

• Add permission enables you to add, edit, delete, and save a transaction as a draft.
• Add, Edit, and Post permissions enable you to add, edit, delete, and save a transaction as draft, as well as edit and post the transaction when you're ready.

To save a transaction in draft format:

1. Add an AP supplier invoice, AR sales invoice, or adjustment to your company.

2. Save the transaction as a draft by selecting Draft and new or selecting Draft, or Draft and continue from the button dropdown.

   The system saves the entry, but doesn't post it.

Add similar adjustments quickly

1. Go to Accounts Receivable > All > Payments > Adjustments.
2. Select More actions > Edit next to the existing adjustment.
3. Select Duplicate.
   Intacctdisplays a new adjustment with fields filled in based on the source adjustment.

4. Make your changes.

5. Select Post & new or Post under the dropdown to save the new adjustment.

1. Go to Accounts Receivable > All > Payments > Adjustments.
2. Select Edit next to the existing adjustment, and then select Duplicate.
   Intacctdisplays a new adjustment with fields filled in based on the source adjustment.
   
3. Edit the adjustment as required.

Enter a credit that requires a project invoicing adjustment

If you’re using project accounting, creating a credit memo does not allow you to flag a project for the adjustment. To decrease the overall debt owed by this customer and flag the associated project, create an AR sales invoice with a negative transaction instead of a credit memo.