In the Middle East it is a normal business practice that for substantial purchases, house sales and tenancy agreements a series of Post Dated cheques (PDCs) is handed over. For example, for twelve monthly payments a company would send twelve separate cheques with dates in the future.

To support this, input functions have been provided to allow the creation of future payment and receipt records in Coins ERP+. These transactions will be dated and have values like cheques but will not be stored in the existing payment tables. There is a procedure that you can run on a regular basis to convert future payments/receipts to payments/receipts in the relevant ledger.

For accounts payable it is possible to associate a future payment with a single invoice that will create the allocation of the payment at the relevant time. Invoices that are pre-paid in this way will have their status set appropriately so they are not paid automatically during a payment run.

For Lettings it is possible to automatically allocate the receipt to a rent charge when the future receipts are processed. This follows the same logic as the existing cash book standing order functionality which auto allocates standing orders to the relevant rent charge.

As future payments/receipts do not belong to a financial period they do not have to be created in a batch. Future Payments/Receipts shows all future payments/receipts. From here you can add, update or delete the future payments/receipts. Similar functions are available:

You can enter a single payment or receipt, or create multiple transactions in a single update.

The maintenance of a 'single' future payment/receipt is generally similar to entering a normal cash book transaction, except that you will also be prompted for the bank account code.

For PL transactions, you can specify the invoice to which a payment will be allocated. Entering a future payment against an invoice will automatically give it a Financial Hold Code.

If sector processing is enabled, the following fields will also be shown:

For the 'Multi Payment/Receipt' option, you enter the number of transactions, the date of the first transaction, and the frequency of each transaction.

You can:

If necessary Coins ERP+ will adjust the amount of the final transaction. For example, if you specify twelve transactions of $100 and a total amount of $1295, the final transaction will be $195.

As with individual payments, you can allocate payments to a PL invoice, in which case the payments will automatically be given a hold code.

When the form is submitted future records will be created according to the rules entered.  

You can use the cancel action to cancel transactions with a status of Pending or Overdue. cancelled payments will not be converted to cheques in the appropriate ledger. The Reinstate action reverses the cancel action.

Process Future Payments converts any future payments/receipts with a date equal to or before the Processing Date into cash booktransactions. The routine groups appropriate future payments/receipts by bank code, allocation flag, etc., and creates one or more CB batches for every set of transactions.

A Report Only option allows you to produce a report without creating a CB batch. This can be used as an emulation of the process to check the list of future payments/receipts which will be converted and any possible errors. If you are creating batches, there is an option to post the CB batches which contain converted future payments/receipts.

If a future payment has a accounts payable invoice associated with it, the cheque will be allocated to that invoice, irrespective of any hold codes on that invoice (assuming there is a balance remaining on the invoice).

If a future receipt is associated with a lettings tenancy then the process option will attempt to allocate the cash with an outstanding charge in lettings. This follows the same rules as cash book standing order processing.

You can print a cheque for the future payments entered. Run this using the Print cheque action on the future payments/receipts browse; it works in the same way as the cash book cheque print with regard to allocating cheque numbers to the selected payments.

Once printed the future payment is flagged as being printed.

To assist cash flow management and ensure adequate funds are in place to cover the liabilities from future payments/receipts you can run future payments/receipts ageing Report to show a breakdown of the future payments/receipts due. You can choose how many periods to show; for each transaction, the amount will be shown under the relevant ageing period based on the transaction date. You can also choose to show a 'Future' column that includes all future transactions dated beyond the last ageing period.

The final report totals include a total of the payments, receipts and net total.

When closing a cash book period, Coins ERP+ shows a warning message if a future payment/receipt with a status of overdue or pending exists and the date falls within the period being closed.

The same warning also applies when closing the period via the ‘Global Periods’ option in General Ledger.