From 88bb5b71bf035e1f5d4c3b2d6b53c11ae08d5f0f Mon Sep 17 00:00:00 2001 From: Jonathan Niles Date: Fri, 15 Nov 2024 09:58:54 -0600 Subject: [PATCH] docs: add prepayment text to cash cash-payments Improve the documentation by adding an explanation of prepayments (cautions) to the cash documentation. --- docs/en/finance/bookkeeping/cash-payments.md | 14 ++++++++++++++ 1 file changed, 14 insertions(+) diff --git a/docs/en/finance/bookkeeping/cash-payments.md b/docs/en/finance/bookkeeping/cash-payments.md index 988a648c03..c072329f43 100644 --- a/docs/en/finance/bookkeeping/cash-payments.md +++ b/docs/en/finance/bookkeeping/cash-payments.md @@ -62,3 +62,17 @@ In the above transaction, the cash account \(570001\) is **debited $10.00**, ind Some institutions accept _prepayments_. These payment are made without reference to an invoice, in anticipation of future invoices made against the patient. As compared to _invoice payments_, creating a prepayment is simple. The user must select the prepayment option and enter the amount received into the cash payment form. The underlying transaction generated will contain two lines: one that debits the cash box and a second that credits the patient's account. + +Importantly, if a prepayment exists on a patient's account during invoicing, a secondary transaction will be generated which allocates part or all of the prepayment amount to the invoice. If the amount exceeds the invoice, then a remainder will exist on the prepayment and it may be used again. If multiple prepayments exist, they may be combined to pay the total of the invoice as needed. Notably, these transactions are made against *a single account*. They serve not to move balances between accounts, but to track the allocation of the patient's funds from a credit with the institution to payment for the invoices. + +As an example, suppose that patient PA.HEV.1 has made two prepayments: the first for $5 USD (CP.TPA.2) and the second for $13 USD (CP.TPA.3). Subsequently, an invoice is made for $20 USD (IV.TPA.3). The following transaction will be made as a Journal Voucher immediately following the invoice: + + +| Transaction | Record | **Account** | Debit | Credit | Entity | Reference | +| :--- | :--- | :--- | :--- | :--- | :--- | :--- | +| TRANS2 | VO.TPA.1 | 410001 | | $18.00 | PA.HEV.1 | IV.TPA.3 | +| TRANS2 | VO.TPA.1 | 410001 | $5.00 | | PA.HEV.1 | CP.TPA.2 | +| TRANS2 | VO.TPA.1 | 410001 | $13.0 | | PA.HEV.1 | CP.TPA.3 | + +After this transaction, the patient will have an outstanding balance of $2 USD on their invoice for the remaining amount. +