Terms Codes

Owned by Stephen Juliano (Unlicensed)
Last updated: Jul 06, 2022 by Colleen Juliano
3 min read

Table of Contents

Overview

Entering Terms Codes

The account receivable terms setup screen serves two functions for TRX.  First it will allow you to define the terms that are used in the AR and AP modules.  Terms codes are used on all accounts receivable and account payable documents to determine the length of time until the documents are overdue and specify if any discounts are allowed for early payment.  Each customer and vendor will have a default terms which are setup in the enter edit customer/vendor screen and they are used when entering sales orders, purchase orders or invoices. 

Secondly, it is here that you define the payment types that will be used in the POS module.  With POS systems most of your sales will not be from account holding customers.  The payment types the POS customers can use need to be defined and it here that it is done.

Detail

 

AR > AR Special Functions > Terms Setup

To start entering terms you will position your cursor in the terms box on the first open line in the terms setup screen

  • Terms – this is the code that will be used on all data entry screens.  You should create this code as something that is easily remembered and intuitive, so as to avoid having to look up the terms code every time you need to use it.

  • Description – Create a brief description of the terms.

  • Terms Day – This is the number of days until the document is due and your aging starts.  If the invoice is “due on” a certain day of the month the terms day should be zero.

Note: In AR Setup you choose if your aging starts on the invoice date or the due date.

  • Discount days - On some terms you will give a discount if the amount is received before a discounted time period.  In this field you will designate what that time period is.

  • Discount percent – On those terms that have a discount this field will define what that discount is.  (10.00 would represent a ten percent discount).

  • Due On – Some terms will be represented by a due on date; an example would be due on the 15th of the month.  In this field you will put the date of the month that the invoice would be due.

  • Min Pay Period      

  • Type – Terms Type is crucial for the POS screen as it will affect how it is entered and what happens with overpayments and Invoices. Credit Used is also required to use "Apply Credits" in the Deposit screen:

    • Cash – cash is receiving cash directly from the customer. This will allow them to pay more than the total to get Cash back

    • Check – a check is used to pay for a transaction. It will require a check number.

    • Credit Card – transaction was paid with credit card. It will require a CC number and expiration date

    • On Account – For Terms like Net 30. This will create an open document on the Customer Account

    • Deposit Used – a deposit was used to pay for transaction

    • Credit Used – a Credit was used to pay for transaction. One of these is required for using the "Apply Credits" tab under AR>Deposits and Paying with Credits in POS

    • Debit Card – transaction was paid with Debit card. It will require a Debit Card number.

    • Gift Card – a Gift Card is used to pay for a transaction. It will require a Gift Card number number.

    • Other – This can be used for transactions that don't fall under the other types. It will go to the number field for entry, but it is not required.

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