Apply a Discount or Premium to a Vendor Invoice

Use the Apply Discount/Premium feature to add credit memos, price increases, and other discounts or premiums as line items on vendor invoices. For credits, if the invoice has already been paid, you can create a separate credit memo type invoice.

Discounts and premiums can only be applied to invoices in the New state.

You can apply discounts or premiums at any time; however, they are not automatically updated to reflect changes that occur after they are applied. For example, if you apply a discount of 10% and then change the unit price, the original discount amount will not be changed automatically, but you can change it manually.

Two ways of applying a discount or premium

You can apply a discount or premium either from the More menu in the Vendor Invoice window or from the Edit Invoice window. If you need to add apply discounts and/or premiums to multiple invoices, we recommend using the Edit Invoice window.

Apply discount/premium in the Vendor Invoice window

1. Select Vendor Invoice from the Accounts Payable menu, and the Vendor Invoice window opens displaying invoices for all vendors.

2. Check the box for a New invoice, and select Apply Discount/Premium from the More menu. The Apply Discount/Premium window opens.

3. Complete the fields as described.

   • Discount/Premium: Select discount or premium.

   • Percentage: If the discount or premium is a percentage, enter it in this field, and the Amount will be calculated.

   • Amount: If the discount or premium is a set amount, enter it in this field.

   • Description: Defaults to either Discount or Premium depending on the selection. Edit the field if you want a more complete description.

4. Click OK. The discount or premium is applied, and a notification is displayed in the Vendor Invoice window.

Apply discount/premium in the Edit Invoice window

1. Select Vendor Invoice from the Accounts Payable menu, and the Vendor Invoice window opens displaying invoices for all vendors.

2. Check the box(es) to select invoice(s) in the New state, and click the Edit button. The Edit Invoice window opens.

3. Click Apply Discount/Premium in the Invoice Items tab, and the Apply Discount/Premium window opens.

4. Complete the fields as described.

   • Discount/Premium: Select discount or premium.

   • Percentage: If the discount or premium is a percentage, enter it in this field, and the Amount will be calculated.

   • Amount: If the discount or premium is a set amount, enter it in this field.

   • Description: Defaults to either Discount or Premium depending on the selection. Edit the field if you want a more complete description.

5. Click OK. The discount or premium is applied, and a notification is displayed in the Edit Invoice window.

Return to Edit Vendor Invoice Items

Return to Edit a Vendor Invoice

Return to Vendor Invoice Overview