Overview

Important: This article for applying a Cash Disbursement is only applicable if you are using the Lightning UI.

A Cash Disbursement is the cash outflow or payment of money that is used to settle various obligations, such as operating expenses or interest payments for loans during a particular period, as part of normal business operations. A Cash Disbursement can be applied to one or more Payable records. Once a Cash Disbursement has been entered and posted, it is now ready to be applied to a Payable.

Note: This is sometimes referred to as a “reverse apply.” 

The Cash Disbursement Apply screen in the Lightning UI supports record pagination of up to 2,000 records, with 15 results per page. From this screen, you can quickly and easily perform tasks such as the following:

• Enter and search for a specific Payable Number
• Enter and search for a specific Payee Reference  
• Select the Posting Status as Posted, Approved, or All
• Enter an Issue Date Range and/or a Due Date Range
• Enter a Payable Amount range. 

Apply a Cash Disbursement to a Payable in Lightning

1. Navigate to Accounting Home and click the Create Entries tab. Then, under the Expenses menu, click Cash Disbursements.
2. Open the Cash Disbursement that you want to apply and click Apply/Unapply. The Cash Disbursement Apply screen displays.
   
   
   Note: Click here to view the above image in full screen.  
   
   
3. To modify/narrow the search criteria, perform any of the following, as necessary:
   
   1. To search for a specific Payable number, enter the number in the Payable Number field.
   2. To search for a specific Payee Reference, enter it in the Payee Reference field.
   3. In the Posting Status field, click the drop-down to select Posted, Approved, or All.
   4. Filter Payables based upon your selection of Payable Number, Payee Reference, or Posting Status.
      1. Issue Date Range - Click the Calendar icon in the From/To fields to select a date.
      2. Due Date Range - Click the Calendar icon in the From/To fields to select a date.
      3. Payable Amount - Enter a beginning and ending amount. To filter by amount, an Issue Date or Due range must have been entered. 
   5. Click Filter Payables to search for the selected criteria.
4. Click a right arrow to move a selected amount into the Applied Amount field. Otherwise, manually enter a specific amount in the Applied Amount field. 
5. Modify the Applied Date, if necessary. 
6. Do one of the following:
   Note: If the Payable is on hold, an error message will display to indicate that a Cash Disbursement cannot be applied to a Payable that is on hold. For more information, refer to the On Hold Payables article.
   
   1. Click Save & Refresh to save your changes and refresh the Cash Disbursement Apply screen.
   2. Click Save & Complete to save your changes and return to the Payable record screen.

When the Cash Disbursement is applied, an AP Disbursement is created, which connects the Cash Disbursement to the Payable. To review the applied information, click the Applied To tab.

Note: Applying a Cash Disbursement to a posted Payable creates an Account Payable Disbursement record which in turn creates two transaction records:

• Debit to the Account Payable Control GL Account.
• Credit to the GL Account referenced in the Debit GL Account field on the Cash Disbursement record.

Also, if you are using multi-currency, the Payable and the Cash Disbursement must be in the same currency. The difference in the exchange rates on the Payable and the Cash Disbursement will flow through to the gain/loss GL account setup in Default GL Accounts.  

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Summer '24 Release

Release Notes and Schedule

With this release, if a Payable is on hold, an error message will display to indicate that a Cash Disbursement cannot be applied to a Payable that is on hold.