Automatic payables are a useful tool in automatically adding any sort of payable that might arise. They can be used to ensure that a certain salesperson earns their commission on an order or to ensure that an owner-operator will receive their agreed-upon split when taking on a load.
Automatic payables can be assigned to both Personnel and Vendor records. It does this by making use of Payable Charge Types that have already been created. To familiarize yourself with creating Payable Charge Types, please visit the Payable Charge Types section of this page: Creating Receivable and Payable Charge Types.
In this example, a salesperson is going to have a 2% commission applied to their automatic payables. To do this, first navigate to the ‘Personnel’ module and double click on the employee you wish to apply the payable to. In this case, the automatic payable is being applied to the salesperson John Smith:
Select the ‘Automatic Payables’ tab at the top of the window. Doing so will take you to this screen:
To make a new ‘Automatic Payables’ record, click in the blank space below the column heading Charge Type and this will access your Payable Charge Types allowing you to choose the charge type to use. In this case, as it is a salesperson earning 2% commission, the details will now look like this:
It is important to select the correct option of ‘Auto Add If’. This is what determines the circumstances in which the automatic payable is selected. In this case, John Smith will automatically earn a 2% cut of the revenue on any order on which he has been selected as the Sales Rep.
The ‘Auto Pay Mode’ section determines the currency in which the employee is paid. In this case, John Smith’s commission will be converted to his preferred currency (which is Canadian Dollars, or CAD). In some cases, you might prefer to have the employee’s payable to be paid out in the same currency with which your customer pays you. To do this, set the ‘Auto Pay Mode’ to ‘Leave auto-pay in order currency (for percent of revenue/profit pay)’. This will keep the currency the same. This preference is entirely up to you and your employee.
Applying automatic payables to a Vendor is very similar to applying an automatic payable to personnel. Automatic Payables can only be applied in this way to vendors when the Vendor type is set to Owner Operator. Open the Owner Operator record you wish to apply the automatic payable to, which will look like this:
Notice that there is a tab called ‘Automatic Payables’ at the very right of the window. Select this tab and you will be taken to this screen:
This example will display a 70/30 Revenue split. Clicking into the empty white space below the Charge Type column will access your Payable Charge Types, allowing you to choose the charge type required. The “Auto Add If” column will be “Tractor Owner on Dispatch”.
The ‘Start Date’ can be used to apply this automatic payables to historic orders if required. Once all of the fields are entered and all applicable Automatic Payables have been added, hit ‘Save’ and then ‘Close’. This will save the Automatic Payable to the Vendor. This Automatic Payable will now apply any time the owner operator’s driver is selected on a dispatch segment.