The Settlements Processing Software module is an expanded payable system specifically for contractors, employees and product and service providers that share in your revenue and may have advances, deductions and reimbursements related to their services. The payable generates as commissions and payables on consignment items in Sales Orders, as contractor and driver pay in Freight Management, as a payable for services in Purchase Orders, and as a sub-let or contract repair in Equipment and Facilities Management. These “participants” may take advances against this payable, incur deductions both directly and from purchases in Accounts Payable and repair work in Equipment and Facilities Management, and be reimbursed for expenses,

Various methods are available to calculate the revenue share, including per unit, percentage, and flat amounts. In the case of drivers, this may be a per mile rate. The accrual-basis accounting for the settlement amounts that accrue in this module are expensed with the transaction generating the payable while the cash-basis accounting occurs with the settlement. Additional revenue shares or payable amounts may also be directly entered in this module. The non-taxable share of this revenue, such as per diem allowances, can be tracked for later use in payroll.

Advances may be generated and issued based on open sales orders or on actual agreed amounts. Reimbursements for fees and other expenses paid by the participant may be entered. Deductions resulting from payments, services or items provided to the participant may be entered in various related modules. Automatic deductions may be auto generated as part of the settlement based on the details to be settled. A reserve balance may be maintained for the participant as protection against future claims or offsets.

Settlements are calculated periodically based on participant groupings with deductions taken out based on the applicable frequency. The revenue items included can be based on the amount owing or on the cash received on the transactions generating the payable. For contractors, payment may be by check or electronic deposit. For employees, the settlement is transferred to Payroll summarized by type. Tax reporting may be performed, as required.

Features

The ABECAS™ Insight Settlements Processing module can handle the wide range of special payable situations for contractors, suppliers and employees.
• Calculates and accumulates payable amounts accrued against revenue and service transactions
• Issues advances and tracks deductions, reimbursements and additional payables
• Provides full open item tracking and reporting along with cash requirements
• Calculates settlements based on a due date or cash received against the revenue
• Automatically deducts charges in the settlement, if applicable
• Contractor and service provider payments by check or electronically
• Employee payments through Payroll with all necessary taxes and adjustments
• Full integrated accounting on an accrual- and cash-basis
• Detailed reporting and analysis both to participants and management
• Dashboards to help manage the settlements process