Revenue/Billing > Reports/Corrections > Change/Correct/Void > Revenue Tab

Guide to Voiding Revenue

The following describe scenarios in which a revenue transaction may be voided. Keep in mind that certain additional steps may be required to correctly handle these situations effectively.

NOTES:

•Entries marked as manual checks can also be voided by the Revenue Void, including returning the proceeds to suspense.

•When a check is voided, any revenue will go into suspense and any billing (if it was netted) will go back to the appropriate A/R account(s). So, when voiding a check and then looking in their Suspense Maintenance, the amount may be different.

•If using the Void and then running a cycle to reissue a check (not recommended), the amount will often times be different since there could be other amounts in suspense and/or the A/R account(s) that was not there before. This is why the Reissue Revenue Check is recommended.

•Regarding Unclaimed Property: If changing a payment code to "U" = Submitted to Unclaimed Property, on the Owner Master, Pak Accounting will validate that there are no outstanding checks that need to be voided.

Example 1A. How to Void a Revenue Check.

The void check utility allows you to void a check that has already been processed through a cycle. Enter the check number and effective date of the void. If the "Change Owner’s Payment Code to Legal Code" box is checked, the system will change the Owner in [F12] Sub-Account Maintenance to a “Don’t Pay” status; otherwise, the owner will stay in pay status and will process with the next cycle.

If you void a revenue check and the system tells you that the entries are in the General Ledger unposted entries, then it is advisable to correct the problem with the entry at once. If you have more revenue checks to void, they will also be sent to the General Ledger unposted entries even if there are no errors. This is generally due to the entries having the same journal numbers and the same date when validating causing Pak Accounting to keep these entries grouped together.

Mass Void

This option will allow you to do a mass void by selecting a date range. After the date range is selected, all outstanding revenue checks will populate in a pop up selection grid to allow user to select all or only some to mass void.

Example 1B How to void a revenue GL ACH payment.

Occasionally there is a need to void a GL ACH transaction(s) for Revenue. A GL ACH payment can be voided. However, please remember that this will only void one payment at a time and the cleared date of the payment must be after the last completed bank reconciliation. The voided payment can then be re-extracted if necessary. To void a GL ACH payment, go to the Accounts Payable module / Void AP check. Choose the bank code that the ACH payment was made from. Then choose the payment to be voided. GL ACH payments are recorded as “E” checks. Once the payment is found, choose the effective date of the void. If everything is satisfactory, click on OK.

The voiding entry can be seen in the General Ledger for the owner/customer/vendor that the payment was for and can be re-extracted is necessary.

If the payment was a Revenue payment, the voiding entry will be in the Revenue Clearing account and can be re-extracted.

Voiding Revenue and the money Needs to go to Suspense

If the money should go back to suspense instead of being re-extracted, void the "E" check per the instructions above and then void the "Z" check through Revenue / R-1 Voiding Revenue.

Tech Tip: If the account extracted is an Accounts Receivable account (i.e. A/R accounts, A/R ACH Clearing, etc.), then include it in the A/R account range in the Accounts Receivable module, Company A/R Options. If a payment is voided, the system will automatically put paid dates on the entries before the payment is re-extracted.

Example 2: (Preferred Method) Reissuing a Revenue Check: Reissue Check Feature (to same owner)

The R-2 Reissue Revenue Check feature allows for easy access to reprinting checks that have been “lost”, or “misplaced”, or “accidentally destroyed”. Once you have put a stop payment on the original check, you can easily print a replacement check for the owner. The address for the replacement owner check will print based on the Pay address defined in the Owner Maintenance /Addresses tab.

Example 3. How to handle a revenue check that was voided in Pak Accounting, however the owner actually cashed the check.

Typically this situation will occur when an owner calls to say a revenue check has not been received. The original issued check is then voided in the system and a new check for the same amount is re-issued and sent to the owner.

3A. First determine if the owner has received two checks from Pak Accounting and cashed both of the checks and you have not completed your bank rec the period the check was written in. You will want the system to reflect that the owner has been paid twice.

1.In View/Trend (F4), change the effective date of the void to the same date as the original check.

2.Delete the voided check in the Bank Reconciliation module, Check History.

3.Manually add suspense by going to Revenue/Billing, Change/Correct/Void and then select Suspense Add New. (Click on link for information on this process.)

4.Next go to Revenue/Billing to extract a Suspense Pymt cycle for the owner with the original check date to show that the owner has been paid twice in Pak Accounting. Use the original check number and update the cycle.

TIP: Use Print Preview to avoid printing an actual check.

5.Go back to change/manually add negative suspense by going to Revenue/Billing, Change/Correct/Void using R-5 Suspense Add New to add negative suspense to reduce his future revenue for the amount of the second check that the owner received and cashed. Update.

3B. First determine if the owner has received two checks from Pak Accounting and cashed both of the checks, you have completed your bank rec for the period the check was written in and the option to open your Bank Recs is not an option. You still want the system to reflect that the owner has been paid twice.

1.Delete the voided check in the Bank Reconciliation module, Check History.

2.Manually add suspense by going to Revenue/Billing, Change/Correct/Void and then select Suspense Add New. (Click on link for information on this process.)

3.Next go to Revenue/Billing to extract a Suspense Pymt cycle for the owner using the date that matches the void if your Bank Rec period allows, otherwise use current date for the check date to show that the owner has been paid twice in Pak Accounting. Use the original check number and update the cycle.

TIP: Use Print Preview to avoid printing an actual check.

4.Go back to change/manually add negative suspense by going to Revenue/Billing, Change/Correct/Void using R-5 Suspense Add New to add negative suspense to reduce his future revenue for the amount of the second check that the owner received and cashed. Update.

3C. If the owner has cashed a check that has been voided in Pak Accounting, however he/she has not received a re-issued check.

1.Delete the check from Check history by going to Bank Reconciliation, Check History, Find the check and select "Del" along the bottom to manually delete the check record.

2.Go to Revenue/Billing and run a Suspense Pymt cycle to issue the suspense for the owner that was created when the original check was voided through the system. You will use the same check number that the original check had.

NOTE: If this happens and the Reissue Check option was used, deleting the check is not an option. Need to use a low check number that has not been used when writing checks.