How to Create Past Supplier Bills

Recording past supplier bills allows businesses to establish outstanding Accounts Payable (AP) balances from transactions that were created before the cut-off date or go-live date. This process is commonly performed during system migration, opening balance setup, or when transferring records from a legacy accounting system.

Past supplier bills are recorded to reflect unpaid historical purchase transactions so that supplier balances, aging reports, and payment records remain accurate in the new system.

Depending on business requirements, past transactions may be recorded either as:

• Consolidated balances per supplier, or

• Itemized historical documents based on original bill references

When recording historical transactions, ensure that:

• Outstanding balances are verified against prior accounting records

• Related historical payments, credit notes, or debit notes are also considered to maintain accurate supplier balances

The Accounts Payable opening balance is derived from the net effect of:

• Past Supplier Bills

• Past Supplier Debit Notes

• Past Pay Bills

• Past Supplier Credit Notes

Only outstanding balances as of the cut-off date should be recorded.

Scenario:

Your company is migrating from a legacy accounting system to QNE Optimum for the January to December 2015 financial year. As part of the migration, the company needs to record all unpaid supplier bills dated before January 1, 2015, so that supplier balances and Accounts Payable reports remain accurate in the new system.

Some suppliers have a single outstanding balance, while others require individual historical bills to be recorded for tracking and reconciliation purposes.

Prerequisites:

• Supplier master records must already exist in the system.

• The financial year and opening balance period must already be configured.

• Outstanding supplier balances must be verified against the previous accounting records before migration.

Procedure:

1. Prepare the list of outstanding supplier bills from the legacy records or prior accounting system.

2. Verify that the bill balances represent unpaid amounts as of the cut-off date.

3. Review whether the bills will be recorded as:

• Consolidated balances per supplier, or

• Individual historical bill transactions

4. Navigate to Supplier > Past Bills.

• Note: If the Quick Create Icon (the one inside the red box) is highlighted, clicking Past Bills will immediately redirect you to the new Past Bills transaction form. If the Quick Create Icon is not highlighted, you will be directed to the Past Bills Listing instead.

• From there, select the New button to create a new Past Bills.

5. Select the Supplier and enter the historical supplier bill details, such as:

• Bill # (Unique bill number assigned within the system for the historical bill record.)

• Supplier INV # (Supplier's invoice number appears on the original vendor invoice. Used for reconciliation and audit purposes.)

• Description

• Doc. Date (Enter or verify the document date for the historical bill.)

• Purchaser (Employee or purchaser responsible for the procurement transaction. Used for tracking and reporting purposes.)

• Amount

6. Review the entered amounts carefully and save the transaction.

Note: If Tax/VAT details are entered for historical reference purposes, the VAT portion does not generate a separate posting to the VAT General Ledger account because only the outstanding payable balance contributes to the Accounts Payable opening balance.

7. Repeat the process for all remaining outstanding supplier bills. 

8. After all entries are completed, review the reflected opening Accounts Payable balance in General Ledger > Opening Balances

9. Verify the recorded balances match the historical records.

Application (Use Cases)

Past Supplier Bills are used to:

• Establish opening Accounts Payable balances during system migration

• Transfer outstanding supplier balances from a legacy accounting system

• Maintain supplier aging continuity after go-live

• Support historical balance reconciliation

• Help maintain continuity and accuracy of Accounts Payable reporting

• Retain reference to historical supplier bill records for audit and tracking purposes
  
  System Scope: QNE Optimum