Configure Payment Terms

Payment terms are the determination of the payment value and due date for each purchase and sale transaction in order to ensure that payments are made on time and correctly. Using Viindoo accounting software, you will only need to declare the payment terms once, apply them to orders and invoices, then the payment schedule will be automatically computed.

The automatic calculation of due date and payment value is very useful in tracking the payment schedule of installment plans, paying in installments if your company applies these two forms of payment.

Configure Payment Terms

Payment Terms should be configured only by the person with the highest level of access in the Accounting app. Navigate to Accounting ‣ Configuration ‣ Payment Terms:

Payment terms - Viindoo Accounting

Press on Create and fill the information as following:

Create a payment term - Viindoo Accounting
  • Payment Terms: Choose a name for your payment terms.

  • Description on the Invoice: Payment terms explanation for the customer will be displayed on the Description of invoices or vendor bills.

  • Terms: To add a rule for your payment terms, select Add a line and a window will be displayed where you can define details of the rule:

Create rules for a payment term - Viindoo Accounting
  • On this window, you need to add the following information:

    • Term Type: define the kind of valuation related to this payment terms line.

      • Percent: Percentage of invoice value needs to be paid.

      • Fixed Amount: The fixed amount of money needs to be paid if this payment terms is chosen.

      • Balance: The leftover value of the invoice.

    • Due Date Computation:

      • Due: There are various options available for you to define the due date of the chosen value above:

        • Days after the invoice date;

        • Days after the end of the invoice month;

        • Of the following month;

        • Of the current month.

      • You also can define a specific date in the On the… of the month field with the Days after the invoice date option.

Note

  • Terms are calculated in the order they are established.

  • The rules of Balance should always be set up as the very last line.

An example of payment terms configuration: Pay 20.000.000 VND when invoice is confirmed, 50% is due after 30 days, the balance is due after 60 days.

First, pay 20.000.000 VND when the invoice is confirmed:

Fixed amount terms - Viindoo Accounting

Next, 50% is due after 30 days:

Percent payment terms - Viindoo Accounting

Finally, the balance:

Balance terms - Viindoo Accounting

Payment terms usage

You can apply payment terms on different places such as:

  • Quotation:

Apply payment terms on sales quotation - Viindoo Accounting

Note

  • When payment terms are applied on a sales quotation, invoices created from this quotation will have these payment terms applied by default.

  • Customer Invoice/ Vendor Bill:

Apply payment terms on customer invoice - Viindoo Accounting

You can see the value and due date of the invoice by going to tab Journal Items:

See payment terms in journal items - Viindoo Accounting
  • Contacts:

You can set up Payment Terms for each customer or vendor by default when navigating to the Contacts app, choose the contact in question then go to tab Sales & Purchase:

Apply paymen term on partner's Contact - Viindoo Accounting