With the Blue10 MKB subscription or Enterprise subscription in combination with Microsoft Dynamics Business Central or Navision, it is possible to automatically match purchase invoices with purchase orders. In this blog, you will read more about how this purchase order matching works and which settings are used.
Synchronizing purchase orders to Blue10
To use purchase order matching, the purchase orders from Business Central/Navision must be synchronized to Blue10. Purchase order matching can be activated per administration. Follow the steps below in Blue10 to configure this:
Open Settings > Companies.
Open the relevant administration.
Click on Logistic Adapter information.
Select ERP for the field Logistics adapter.
Click Save and close.
Checks in the matching process
When matching an invoice with a purchase order, the validation takes place in three steps:
Step 1. A check is performed to determine whether receipt lines are present in the accounting system.
Step 2. A check is performed to determine whether the amount excluding VAT validated in Blue10 matches the amount excluding VAT on the purchase order. Is there a difference? A match is still possible if this difference falls within the configured tolerance. The difference will then be posted to the configured difference account. If VAT is also configured on the difference account, VAT will be calculated on the difference amount as well.
Note: the tolerance only applies to a price difference in the amount excluding VAT.
Step 3. Finally, a check is performed to determine whether the amount including VAT validated in Blue10 matches the amount including VAT on the purchase order.
If all conditions are met, a match is achieved.
Match remark in Blue10
If the invoice cannot be matched, Blue10 displays a Match remark on the Document detail page under the Purchase order tab. This match remark relates to one of the three validation steps:
Step 1. “No Receipt Lines found” / “Geen ontvangstregels gevonden in het boekhoudsysteem”
Step 2. “No automatic match of invoice and invoice order (receipt). Received purchase invoice is X. Receipts not invoiced are X. Difference between invoice and purchase order (receipt) is X. Allowed tolerance is X”
Step 3. “Total amount (X) is not equal to total of lines (X)”
The language of the match remark (English/Dutch) is determined by the ‘Services Language’ configured at the service tier level of the connected Business Central instance.
Setting tolerance
In Business Central, a tolerance can be set per vendor to allow differences in amounts. Follow the steps below to configure this:
Open Blue10 Setup and select the general ledger account under Default Differs Account to which the difference can be posted.
Open Blue10 matching tolerance per vendor to set the allowed tolerance per vendor.
- Enter an allowed percentage of the total amount under Scan amount tolerance %. Note: a value must always be filled in this field to apply tolerance, even if Scan max. amount tolerance is already filled!
- It is also possible to set an absolute amount under Scan max. amount tolerance. The difference amount falls within tolerance if it is less than or equal to the allowed percentage of the total amount AND less than or equal to the allowed absolute amount. This concerns the absolute value of the difference amount, so it can be either positive or negative. Note: if Scan amount tolerance % is set and Scan max. amount tolerance is 0.00, only the Scan amount tolerance % will be applied.A specific difference account can also be selected per vendor (Scan invoice difference account). If this field is left empty, the Default Differs Account configured in step 1 will be used.
Should VAT be calculated on the difference amount? Then also perform the following steps:
Open the general ledger account configured as the difference account for this vendor. Ensure that VAT is configured under Posting. The VAT percentage set here will be applied to the difference amount.
Note: If the price difference results from amounts with different VAT percentages, no match will occur, because a single VAT percentage is applied to the difference amount. The amount including VAT on the purchase order plus the price difference will then not match the amount including VAT validated in Blue10.Open General Ledger Setup. Under General, fill in the field Max. VAT difference allowed. If this field is not immediately visible, click Show more in the top right corner.
Automatic posting on match
If the invoice may be posted automatically when matched with the purchase order, the following setting must also be enabled in Business Central:
Open Blue10 Setup.
Enable the option Post Invoice Automatic When Match.
Keep receipt lines when no match is found
Blue10 retrieves the receipt lines from the linked purchase order. If no match is found, these lines are removed and the matching process can be executed again (this happens every night). It is also possible to keep the receipt lines. In that case, the matching process will not be executed again after feedback of these lines. Adjust the following setting in Business Central:
Open Blue10 Setup.
Enable the option Do not delete receipt lines if no match.