Payables

Accounts Payable

1.) Introduction

Welcome

Welcome to the Payables course!

You will be taken through a typical customer's Payable workflow. From uploading a document to paying a bill, you'll learn how our customers use Bill.com and see the benefits customers rave about.

Create a Test Account

In order to take this course, you will need a test account. This test account will not be a production account, rather it's going to be in a testing environment. In other words, don't worry...you won't be playing with real money.

This will help you learn the concepts by practicing what Bill.com customer do on a daily basis.

Open up a browser and go to: https://app-test.cashview.com.

 

 

 

 

Create a risk free trial by clicking on "Start your risk free trial".

 

 

 

 

 

 

Enter all required fields.

  • First Name
  • Last Name
  • Email: Use your Bill.com email address
  • Company Name: Use your First Name and Last Name including today's date (ex: Franklin Soares 11/1/16)
  • Phone: You can use the one on the left
  • Address: You can use the one on the left
  • Choose "Other" for Accounting Software.

Once the fields are completed, click "Try It Now"

 

Check your email for instructions to login to the account.

  • The email will look like the image on the bottom.

Follow the rest of the prompts to finish logging in.

Once you are done, click Home and then click on the next section.

2.) Accounts Payable Workflow

Learning Objective

After completing this course, you will be able to:

Construct the Accounts Payable Workflow

Accounts Payable Workflow

Think about how you currently pay your own bills. Let's say you get a bill from your cable company in your email. You probably look at the bill briefly, go to the cable company's website, enter your credit card information, and pay the bill.

There are many other ways to pay. For example, using your bank's billpay, check, by phone, by app, etc.

Now imagine you are working in a small business and your responsibility is to process the Payables. This means you track expenses, input bills in the accounting system, facilitate the bill approval and payments process, etc.

Below is a typical workflow for many businesses processing payables using Bill.com.

3.) Inbox

Learning Objectives

After completing this course, you will be able to:

  • Add an email address to the Inbox
  • Explain the purpose of the Inbox

  • Demonstrate how to get a document to the Inbox

  • Identify which file formats are viewable in Bill.com

  • Describe Auto Bill Entry


Inbox

Upload a bill to the Inbox​

 

Let's go back to the last course where you were responsible for processing the company's payables. The company recently signed up for Bill.com and you want to start using it.

Bill.com allows you to email, upload, or fax documents, such as bills, in many different formats. You can store any file format in Bill.com.

The Inbox functionality allows you to create a new bill, save it for a particular Vendor, associate a document to an existing bill, and more. Having documentation as backup to justify a bill is important and key for audit purposes.

In the next slide, we will go over more details about file formats.

File Formats

The previous slide mentioned Bill.com supports all formats but there are some other considerations you should know about.

The Bill.com Inbox will display a preview of the first page of the document you upload. Also, if you want to open up the document in Bill.com, we only support certain file formats. The files that are automatically visible in your Inbox are the following:

  • Adobe PDF (version 5.0)
  • Microsoft Word (version 97, 2003 or later)
  • PowerPoint (version 97, 2003 or later)
  • .txt
  • .png
  • .jpg
  • .gif

Inbox Setup

Let's start using Bill.com to do one of the first things customers do to pay a bill, which is to upload the bill document to the Inbox.

Open up your Bill.com test account now and follow the instructions below to setup your Bill.com Inbox.

  1. Hover over the gear icon and then click Settings 
  2. Under Your Company, click Bill.com Inbox
  3. Choose the business name to be used for the Bill.com email address. By default, Bill.com pre-populates this field with your company name. However, this can be changed. For our testing purpose, you can use the default.
  4. Click Save Email once the unique email address has been entered
  5. By default, Bill.com pre-populates the fax number area code that corresponds to your company's phone number. Click Get Fax Number if this default is acceptable. If there is no fax number available in that area code, Bill.com will return a list of alternatives. Choose a fax number from the choices offered, then click Get Fax Number

This setup creates a unique email address to send documents to, and a unique fax number for faxing in paper copies. These will display on the Home page and on the Received page of the Inbox tab.

Things to Know

  • While Inbox email addresses are available for all accounts, Inbox fax numbers are not available for Bill.com Basic Receivables or Bill.com Basic Payables accounts. (We'll get into different types of accounts later on).
  • There is a 40-character maximum limit for the Inbox email address. The minimum is 3 characters.
    • Minimum characters are required to reduce spam that can come into the Inbox.
    • Bill.com recommends using longer/more unique emails to reduce spam as well.
  • This email address is different from the one used to log into Bill.com. It's used exclusively for sending documents directly into your Bill.com inbox and can be provided to your vendors.

Knowledge Check 1

  • 25
  • 40
  • 10
  • 13
What is the maximum character limit for the Inbox email address?

Knowledge Check 2

  • Gear Icon > Settings > Under Your Company, click Inbox
  • Gear Icon > Settings > Under Your Company, click Profile
  • On the Home page, Under Upload Your Bills, click Set up email
  • Gear Icon > Startup Checklist > Inbox
Choose all possible ways to setup the Inbox.

Knowledge Check 3

  • PDF
  • Word
  • Excel
  • PowerPoint
  • .tif
  • .png
  • .jpg
  • .gif
  • .txt
Select all file formats Bill.com visually supports.

Knowledge Check 4

  • Document storage
  • You can send emails to vendors and customers
  • Uploading bills and other documents and associating them to bills or other items
  • Secondary email service

What is the purpose of the Bill.com Inbox?

Pick the best option.

More Features and Functionality

There are a few things you should know about the Inbox. There are a few advanced features and functionality such as:

  • Preferences
  • Deleting documents in the Inbox
  • History page
  • Auto Bill Entry (ABE)

Let's look at each of these features and functionality. Click Next.

 

Inbox Preferences

Bill.com gives you the ability to customize how documents come into the Inbox via email.

If you email documents to the Inbox, there are two things to consider.

  • Do you want the email content to come into the Inbox as a separate document?
  • Do you just want the attachment to come into the Inbox and not the email content?

The system default will allow the email content and attachment to come in as two separate documents in the Inbox.

Customers might have a bill that is actually in the email itself and sometimes the bill will be in a PDF attachment in the email.

 

Deleting a document in the Inbox

Sometimes you might upload the wrong document to the Inbox and need to delete it.

Deleting a document in the Inbox is simple.

In the example below, you will see which two clicks you need to make to delete a document.

Place a checkmark in the checkbox for the document you want to delete and click on the trash can icon

Inbox History

After deleting a document from the Inbox, you might think, where does it go?

Is it permanently deleted?

The answer is the document is removed from the Inbox view and goes into the History page.

As you will see with many other things, Bill.com does not permanently delete anything. In this case, a deleted document will still exist in the History page just in case you need it in the future. 

You can always undelete the document in the History page and it will be brought back into the Inbox.

Auto Bill Entry

Imagine a customer has to process 500 bills a month? That's a lot of manual work!

Bill.com has an awesome feature that helps reduce manual work and is scalable for growing businesses. It is called Auto Bill Entry.

Watch this video to learn more about Auto Bill Entry.

Auto Bill Entry (details)

CloudFactory is a partner with Bill.com who digitizes bills. Founded in 2008, CloudFactory uses a combination of the latest technology and an on-demand global workforce to bring production lines into the realm of digital work. 

Auto Bill Entry is a service that extracts bill information from documents in your Bill.com Inbox and turns it into a bill, ready for you to review, approve, and pay in within a 24 hour turnaround time.

  • Auto Bill Entry can process one bill per document (10 page maximum). Currently, we don't support batch bill processing. 
  • Price: $0.50 per bill
  • Auto Bill Entry can be turned on/off by anyone with access to the Inbox
  • Auto Bill Entry can only be turned on/off from the Next Generation Inbox
  • High degree of accuracy...and you have complete control. You get to review and change information as necessary before bills are entered into your approval/payment workflow. 
  • We'll email you every day with a digest of Auto Bill Entry activity: bills ready for review, documents we couldn't process, and more.

Knowledge Check 5

Hotspot question: Which option should you choose (Yes or No) if you want both the email content and attachment emailed as one document in the Inbox? Click on the correct option on the screen shot below then click Submit at the bottom.

Knowledge Check 6

  • No, you can't delete a document from the Inbox
Is it possible to delete a document from the Inbox?

Knowledge Check 7

  • In the History page
  • Contact Support to retrieve the document
Where can you find a deleted document?

Knowledge Check 8

  • Less manual work processing bills
  • Auto Pay
  • 24 hours turnaround time
  • Scalable for a growing business
What are the benefits of Auto Bill Entry?

Knowledge Check 9

  • Cloud.com
  • CloudFactory
  • AutoBillEntry
  • Expensify
Who does Bill.com partner with to offer Auto Bill Entry to its customers?

Knowledge Check 10

  • Auto Bill Entry can process one bill per document (). Currently, we don't support batch bill processing. 
  • Price: per bill
  • Auto Bill Entry can be turned on/off by anyone with access to the  
  • Auto Bill Entry can only be turned on/off from the  
  • High degree of accuracy...and you have complete control. You get to review and change information as necessary bills are entered into your approval/payment workflow. 
  • We'll email you with a digest of Auto Bill Entry activity: bills ready for review, documents we couldn't process, and more.

4.) Creating a Bill and Payment

Learning Objectives

After completing this course, you will be able to:

  • Create a Bill in Bill.com with a document from the Inbox
  • Demonstrate how to unassociate a document from a bill
  • Create a Vendor in Bill.com

  • Create an Payment Account

  • Create a Payment in Bill.com (mark as paid)

Upload a document to the Inbox

Now that you are familiar with the Inbox, we can now move onto the next step which is to create a bill.

Go to your Bill.com test account and do the following:

  • Upload a bill document to the Inbox

Once you're done, click Next to go to the next slide.

Create a bill

Once your document is fully processed in the Inbox, you are ready to create a bill.

  • Click on "New Bill"
  • Since you have a brand new account, you'll need to create a Vendor for the bill. You can create a new vendor by click on "Add New" in the Vendor field. Just add the Vendor name and click Save.
  • Populate the following fields:
    • Vendor - AT&T
      • Invoice #: INV-0001
        • Invoice Date: 10/21/16
          • Due Date: 11/21/16
            • Amount: $100
            • Click Save when you are done.

 

Saved Bill

Your bill should look like the image on the left.

To locate the bill you created, go to:

  • Payables > Vendors > click on AT&T > scroll down to the Bills section and click on the Invoice #.

If the bill isn't the same, click the Edit Icon to make your corrections.

Otherwise, congratulations on creating your first bill!

 

Unassociating/deleting a document on the Bill

After you've saved the bill, go to Payables > Bills > and click on Invoice# INV-0001. Let's take a look at the document associated to the bill.

Imagine you associated the wrong document to the bill. You can remove it by clicking on Options. You'll see:

  • Unassociate
  • Delete

 

 

 

The Unassociate option is used if there are multiple pages and you only want specific pages.

For example, there might be a document with 5 pages, but you only want page 4 and 5. You can unassociate pages 1, 2, and 3. The pages will go into the Inbox to be used later. You can always delete it from the Inbox if it's not needed.

The Delete option removes the entire document from the bill. The document will go back to the Inbox to be used later.

 

Click Next to move onto the next slide to learn how to pay the bill.

Pay a bill Pt. 1

Paying a bill is very easy. In this example, we are going to imagine you wrote a check and mailed it to the Vendor. This means you didn't use Bill.com to pay. We will explore paying via Bill.com later on.

To pay a bill, go to:

  • Payables > Pay

Locate the bill you created for $100.

  • Select the bill by placing a checkmark under "Select
  • Scroll to the bottom and click on Mark As Paid since you already wrote a check and mailed it to the Vendor

 

Pay a Bill Pt. 2

On the next page (Enter Any Extra Details), populate the Payment Account field:

  • Since you don't have an Account, you will need to create one. Adding an account indicates which bank account the money is coming out of and will help with reconciling your records to the bank statement.
  • Click in the Payment Account field and click on Add New

Create an Account with the following information:

  • Name: Bank of America
  • Account Number: 1000
  • Type: Bank
  • Click Save

Once the Account is saved, click Save to complete the payment entry.

Bill.com encourages customers to use the Ref# for entering the Check # or any other reference # used when a payment was made outside Bill.com.

An important thing to remember is this payment was not processed by Bill.com. This means no funds will be withdrawn from the bank account. This type of payment is simply to record a bill paid. We call this an "offline" payment.

Knowledge Check 1

In order to create a bill from the Inbox, you click on  then enter the required fields:

  • Vendor
  • Invoice # 
  • Invoice Date
  • Due Date
  •   

Then click Save.

Knowledge Check 2

When paying a bill outside Bill.com, you want to use the option.

Knowledge Check 3

  • Expense Account
  • Liability Account
  • Payment Account
  • Bank Account
Which type of account should you use when entering the Payment Account field for a payment made outside Bill.com?

Knowledge Check 4

  • Payables > Payments > click on the correct Payment
  • Payables > Vendors > click on the correct Vendor
  • Payables > Bills > click on the correct Invoice #
  • You can unassociate or delete a bill in the Inbox
What is the correct path to get you to unassociate or remove a document from a bill?

5.) Creating a Vendor Credit

Learning Objectives

After completing this course, you will be able to:

  • Create a Vendor Credit in Bill.com
  • Apply a Vendor Credit in Bill.com

Introduction

A vendor credit is something you enter when you have credit for something with a vendor. Maybe you buy 1,000 iPads a year, so Apple decided they're going to give you the value of your next 100 iPads in store credit.

On the next bill, you can apply the credit to the bill and pay the rest.

Create a Bill without a document

 

 

Let's create another bill but this time create it without a document.

One way to do this is by going to:

Payables > Bills > Click on New

Click on "Enter bill information without adding a document".

Enter all required fields with any information. Make this bill for $120 and use Invoice# INV-0002.

Once the bill is complete and saved, move onto the next slide.

You have a credit!

You noticed AT&T gave a $10 credit on the bill and need to decrease the bill.

Bill.com allows you to do this by creating a Vendor Credit.

You will need to do two steps in order to get the amount due to decrease by the credit amount.

  1. Create a Vendor Credit
  2. Apply the Vendor Credit to the Bill

Click Next to begin the process of creating a Vendor Credit.

Create a Vendor Credit

In order to create a Vendor Credit, go to:

Payables > Vendors > click on AT&T > scroll down to the section: Vendor Credits and click New Vendor Credit

Enter the following to save the Vendor Credit successfully:

  • Ref# VC-0001
  • Credit Date: 10/25/16
  • Amount: $10 (do not make it a negative number)

Click Save when the above is complete.

Apply a Vendor Credit and Pay

Now that you have a Vendor Credit, the next step is to apply it to the bill you created (INV-0002)

To apply the Vendor Credit, go to:

Payables > Pay

  • Find the bill with Invoice# INV-0002
  • You will see a credit available for $10 next to the Vendor Name
  • Click Apply

You will be brought to a page where you can apply a credit amount to the bill.

  • Enter $10.00 in the Amount to Apply field
  • Click Continue

Once the Vendor Credit is applied, you'll be brought back to the Pay page. Update your Approval Status filter to "Any" and click Go.

As you can see in the above screen shot, the bill is for $120 but only $110 is due because of the $10 credit applied.

Let's finish by paying the bill.

Select the bill and select the Mark As Paid option at the bottom. Use the Bank of America bank account you created in the last payment.

Knowledge Check 1

  • Payables > Vendor > click on the Vendor Name and select New Vendor Credit
  • Payables > Payments
  • Payables > Pay
  • Payables > Bills > click on the correct Invoice # and apply the credit
Which path do you take to apply a Vendor Credit?

Knowledge Check 2

  • It is required to enter the amount as a negative number for a Vendor Credit.

Knowledge Check 3

  • 2 Steps. 1.) Create the Vendor Credit and 2.) Apply the Vendor Credit to the bill.
  • 1 Step. 1.) Create the Vendor Credit
  • 1 Step. 1.) Apply the Vendor Credit to the bill.
  • 2 Steps. 1.) Apply the Vendor Credit to the bill. 2.) Create the Vendor Credit
How many steps are there to get a Vendor Credit to reduce the amount due of a bill?

6.) Deleting Bills, Vendor Credits, and Payments

Learning Objectives

After completing this course, you will be able to:​

  • Demonstrate how to delete a Bill
  • Demonstrate how to delete a Vendor Credit
  • Demonstrate how to void/cancel a payment

Let's setup

In the last two courses, you learned how to create a bill, create a vendor credit, apply a vendor credit, and pay a bill outside Bill.com (mark as paid).

Now let's work backwards. In other words, you created objects like bills, vendor credits, etc. Now, let's back them out or delete them.

In your Bill.com account, do the following:

  • Create a bill for $50 (use INV-0003 for the Invoice #)
  • Create a vendor credit for $20 (use VC-0002 for the Ref#)
  • Apply the vendor credit (apply the entire amount)
  • Pay the bill (mark as paid and use the Bank of America account)

When you are done, click Next.

Voiding a Payment

Imagine you entered a payment but noticed it was made for the wrong bill. How would you undo what you did?

Find the payment you created for Invoice# INV-0003.

One way to find the payment is:

Payables > Payments > click on the History link and click on the Payment Confirmation for the bill that is for $30.

When it comes to Payments, you can't "Delete" but you can "Void". Although the terminology is different, it essentially does the same thing. It removes the payment from the bill.

The bill's status changes from Paid to Unpaid and you can apply another payment in the future.

Voided payments are always in the system for audit purposes and are never permanently deleted.

On the Payment page, click "Void this Payment" and click Yes to confirm.

 

 

​After you've voided the Payment, the Status will read "Void".

  • Voided payments can't be un-voided.

 

 

 

 

 

 

 

 

Later on, we will talk more about Voids especially when using Bill.com payments. There are cutoff times and limitations that need to be addressed.

Deleting a Vendor Credit

Now let's imagine the Vendor Credit for the bill, Invoice# INV-0003, is incorrect and needs to be deleted.

Locate the bill: INV-0003 by going to:

Payables > Bills > click on INV-0003

 

  • Hover over Bill Details and click on Bill Credits
  • Click on VC-0002

  • In the Details box, click on the Trash can icon. This will delete and unapply the Vendor Credit from the associated Bill.

Note:

By deleting a Vendor Credit, it can't be used again for another bill. You'll notice after deleting, the Vendor Credit has an Edit icon but no undelete or restore option.

 

 

 

 

 

 

As an alternative option, you can unapply the Vendor Credit from the bill in the Pay page and then you can use the Vendor Credit toward another bill.

Deleting a Bill

Deleting a bill is very easy to do. If you haven't voided the payment applied or deleted the Vendor Credit from the bill: INV-0003, then you won't be able to delete the bill.

When a bill has associated objects such as payments or vendor credits, the system will block you from deleting the bill. In this case, voiding the payment and/or deleting the Vendor Credit are pre-requisites to deleting a bill.

Locate the bill: INV-0003 by going to:

Payables > Bills > click on INV-0003

  • Click on the Trash Can icon
  • Once you have deleted the bill, you will see an open trash can icon. This icon will allow you to undelete the bill in case you deleted it by mistake. 

  • A deleted bill is never permanently deleted. It remains inactive and viewable 

You can view inactive bills by going to:

Payables > Bills > scroll to the bottom of the page > check the "Show Inactive Bills" option.

Knowledge Check 1

  • Bill
    Delete and able to undelete
  • Vendor Credit
    Delete and not able to undelete
  • Payment
    Void and no way to undo/un-void

Knowledge Check 2

  • Yes
  • No
Are you able to delete a Vendor Credit from a bill and use it toward another bill?

Knowledge Check 3

  • Create another Vendor Credit for the same amount and apply it to the desired bill
  • You can undelete the Vendor Credit and apply it to the desired bill
  • Contact Support to give the ability to undelete the Vendor Credit
If a Vendor Credit is deleted and can't be used toward a different bill, what workaround do you think should be used if a user wants to apply the same credit to a different bill?

7.) Classifications

Learning Objectives

After completing this course, you will be able to:​

  • Identify all available classifications used for Bills and Vendor Credits
  • Explain why customers would use classifications on Bills

Types of Classifications

Classifications are used to classify or categorize a specific bill or even specific line items or allocations on a bill.

Let's look at an example.

If you are working for a company that has multiple office locations (SF, NY, Dallas, etc.), you will want to categorized each bill with the correct office location. Why? So you can report out on how much each office spends.

The same is true for office departments (Finance, Sales, Marketing, etc.). You can categorizes expenses many different ways.

Below different ways to classify or categorize bills.

Note: "Show Company Name in Customer Dropdown" is not a dimension.

Use a Classification in a Bill

Before trying out Classifications on a bill, you will need to activate the appropriate preferences.

Go to:

Gear Icon > Settings > under the Accounting Preferences, click on Preferences > click on the Edit icon and select Yes for "Use Departments".

 

Create a bill for AT&T using Invoice # INV-0004 for $200

 

Fill in all require fields

You will see a Department option below Account.

  • Click "Add New" and create a Department named "Customer Support".

The field "Account" is also another way to classify/categorized a bill.

  •  Create a new account by clicking on "Add New". Name it: Internet Expense, Account# 4000, Type: Expense.
  • "Account" is always present on all bills no matter what. It is important for accounting purposes, tracking, and reporting. Also, if syncing with an accounting system, it is required to put an Account so the bill appears correctly in the accounting system.

Knowledge Check 1

  • Departments
  • Accounts
  • Methods
  • Classes
  • Codes
  • Locations
  • Items
  • Customers/Jobs
  • Routes
Which classifications can be used to classify/categorize a bill?

Knowledge Check 2

are used to classify or a specific or even specific line items or allocations on a bill.

Knowledge Check 3

  • Accounting Preferences
  • Accounting Classifications
Where do you enable dimensions?

8.) Approvals

Learning Objectives

After completing this course, you will be able to:​

  • Summarize a workflow using approvals

  • Demonstrate how to approve a bill

  • Explain how approval policies work

Introduction

Approval workflows offer tighter control around making payments. It's important for businesses to make sure they are within compliance regulations and fraud is minimized.

Some businesses require one or more people to give their approval before a bill will be paid. If you want people to approve a bill before you pay it, we'll ask for their names, and you'll assign bills to them.

Let's look at an example to solidify understanding of this feature.

Let's imagine you are working as an Accounts Payable clerk and before your company signed up for Bill.com you had a particular workflow that looked like this:

  • AP Clerk enters bills in the accounting system
  • The CFO approves all bills 
  • Once bills are approved, the AP Clerk pays the bills

Note: Bank authorized Administrators can pay any bill regardless of approval status.

Translating the old workflow to Bill.com is simple.

To start, we need to setup the Approval settings and add a new user to the account

Setup the CFO User

Since the CFO is going to approve all bills, we need to add a new user and assign the appropriate permissions.

Go to:

Gear Icon > Settings > under Permissions, click on Users > Click New

First Name: Jennifer

Last Name: Smith

Email: add your own Bill.com email but add "+1" after the last name and before the "@" symbol

Role: Approver

Click Save when you're done.

Click Save again to save the notification settings.

Your test account will now have two logins you can use to view different permissions. We will go over User Permissions and Roles later but for now, if you want to login with Administrator permissions use your regular Bill.com email:

If you want to login with Approver permissions, use the new email you created that has "+1".

You will need to create a new password for the new email address. Please check your Gmail for the email to set this up. You will be asked to login into the approver user later on.

Approval Setup

To setup the Approval workflow, go to:

Gear Icon > Settings > under Payables, click on Approvals > Click Edit (paper/pencil icon)

  • Select: Allowed anytime

 

 

  • Select: Bills are routed for approval and are ready to be paid when approved
  • Select: Bills w/o Any Approver and add Jennifer Smith as Approver #1

Below is how the settings need to look:

The settings basically translate into:

  • Changes can occur even though a bill or vendor credit has already been approved
  • Bills should route through an approval workflow and then get paid
  • Jennifer Smith is the default approver on all bills.

Now let's put into practice our new workflow.

Create a Bill with Approver

Create a bill for AT&T and use Invoice# INV-0004 for $145.00.

Add an Expense Account and a Department. (You can use the ones you already created)

  • Notice how the Approver: Jennifer Smith is already added to the Bill. This is because our settings made her a default approver. It follows our original workflow which is that Jennifer approves ALL bills. Therefore, the system will add her every time a new bill is created.
  • Note: Bills created before the approval setup will not retroactively apply the default approver. This means the bills you created before the approval setup will not have Jennifer as an approver. You will have to manually add Jennifer, if needed.

Approver View

Now that you have saved a bill (INV-0004) with an approver, let's see how the approver will view and approve the bill.

Please log out of your test account and login into the approver user (Jennifer Smith) using the correct email address (with "+1")

Once logged in, there are multiple ways to approve the bill (INV-0004). One way is to go to:

Payables > Approve

  • To approve the bill, place a checkmark at the right and click Approve.
  • You can also click the Review icon to see the details of the bill.

  • If you click the Review icon, you have the ability to approve or deny as well as adding notes or a message so the AP clerk can revise, if needed.

 

 

Approve the bill in your test account.

After the approval, you'll notice many different views for bills and vendor credits:

The approver can see bills as:

  • Not yet approved
  • Approved
  • Denied
  • Coming

This way the approver has control and visibility into what is needed, what they have done, and what's coming their way.

Log out of the approver user and log back into the Administrator user (regular Bill.com email address)

Confirm Approval

Once you are logged into the Administrator role, find the bill (INV-0004) and confirm if it's approved.

The bill should look like this screen shot.

As you can see, it's Approved and at the bottom it tells you who approved it.

Go ahead and pay the bill (mark as paid) and use the Account: Bank of America

Approval Policies

In more complex environments and workflows, there is a need for more structure and policies around approvals.

For example, take the workflow scenario we've created in which the CFO approves all bills. Now imagine if there is a bill that is $25,000 or greater, a CEO would need to approve the bill.

The way to add this complexity is to add an Approval Policy.

Setting up an Approval Policy

To create an Approval Policy, go to:

Gear Icon > Settings > under Payables, click on Approvals > under Policies, click New.

Given our new workflow, the CEO needs to be on all bills that are $25,000 or greater in order to approve.

  • 2 approvers are entered as minimum since Jennifer approves all bills and the CEO approves all bills $25,000 and greater
  • For simplicity, add yourself as the Mandatory approver
  • Click Save

 

 

Create a Bill with Approval Policy

Create a bill for AT&T and use Invoice# INV-0005 for $25,000.00.

Add an Expense Account and a Department. (You'll notice that these are already pre-populated. It's because Bill.com uses Smart Data Entry. It remembers certain fields on bills from the last entry to minimize future data entry.

Jennifer Smith is already on the bill because of the default approver. Don't add yourself as an approver on the bill just yet.

Click Save in order to see the warning message.

  • Notice how the Approval Policy is forcing you add the second approver which needs to approve the bill since it's $25,000 or greater.

 

 

 

 

 

 

 

 

 

 

 

 

Now add yourself as the second Approver on the bill and click Save.

The bill is now saved and the CFO (Jennifer) and the CEO (you) need to approve the bill.

Since Jennifer was first on the list of approvers to approve the bill, you need to log into the CFO user (Jennifer) and approve the bill. Please do that now.

After the bill has been approved, log into the administrator user and approve the bill.

The approval workflow is sequential so this means if there are 4 approvers, the first approver needs to approve, after that, the second approver will be able to approve, and so forth. The fourth approver on the list can't approve out of order.

Once the bill has been fully approved by both approvers, pay the bill (mark as paid).

Knowledge Check 1

Below is a typical workflow for a company:

  1. Accounts Payable department enters the  
  2. The CFO the bills
  3. The pays the bills

Knowledge Check 2

  • Yes, the default approver will show up on all bills
  • No, the default approver will only be applied to new bills
If you set up a default approver after creating 10 bills, will the default approver appear on those bills?

Knowledge Check 3

  • Payables > Bills > click on the Invoice # and add the approval policy
  • Gear Icon > Settings > under Payables, click on Preferences
  • Gear Icon > Settings > under Your Company, click on Profile
  • Gear Icon > Settings > under Payables, click on Approvals
Where do you go to add a new Approval Policy

Knowledge Check 4

  • Approval sequence doesn't matter. The last approver can approve the bill at any time.
  • The list of approvers dictates who is first, second, third, etc. in the approval order.
  • The second approver can't approve a bill until the first approver approves.
Please answer the questions below.

9.) Bank Account

Learning Objectives

After completing this course, you will be able to:​

  • Add a Bank Account and go through verification
  • Make a Payment using a bank account
  • Explain why a test transaction is needed to validate the bank account

Introduction

In this section, you will add a dummy bank account in order to make payments using Bill.com.

None of the data in your test account will actually initiate real payments.

In the past sections, we only recorded offline payments (mark as paid). After the bank account is setup, you will be able to demo how to pay bills via Bill.com.

Below is a basic workflow on how funds are moved when a Bill.com payment is initiated.

Set up Bank Account

In order to set up a Bank Account, go to:

Gear Icon > Settings > under Your Company, click on Bank Accounts > Click "Set Up New Bank"

You will be taken through a series of pages to set up the Bank Account. 

Step 3: Verification - In this part, you'll need to enter information about yourself.

For identity verification, Bill.com uses a third party to verify you are who you say you are. (Don't worry, this doesn't affect your credit score or public data)

  • Please make sure your name is correct and matches your legal name.
  • Enter your home address as well.

Step 4: Answer the questions presented. These questions come from public records to verify your identity.

Step 5: Add Your Bank Account

Users are offered two ways to enter their bank account.

  1. Instant Verification (uses your online banking login credentials)
  2. Manually enter the bank account information

For this exercise, we will want to use the second option. 

Use the information below to enter the Bank Account:

  • Name on Bank Account: Use your name
  • Bank Name: Use Citibank or any other bank name
  • Routing Number: 121000358
  • Account Number: 4444

Verify Bank Account

Step 6: In a real account, the customer will need to wait 1-2 days to receive a test transaction in their bank account and then use that test transaction to verify the bank account.

For our testing purposes, you don't need to wait 1-2 days. Ping Franklin Soares in Hipchat and provide your Bill.com Test Account Name to get the test transaction amount you need to proceed with the training.

Once you have your test transaction amount, go to the Home page in Bill.com.

Under the To Do List, click on "Verify bank 4444". As a quick note, customers have 14 days to enter the test transaction because the bank account expires and the customer has to re-enter the bank account.

Enter the amount and click Verify

Once complete, the bank account is ready to be used to pay bills.

Pay a Bill using Bill.com

Create a new bill for AT&T using Invoice# INV-0006 for $210.00.

To pay via Bill.com, go to:

  • Pay page
  • Select the bill (INV-0006)
  • At the bottom of the page, click on "Pay"

This will schedule the payment to be processed the next business day.

To view the scheduled payment, go to: Payables > Payments. Under "Scheduled", you'll see your payment.

If there are approval policies/workflow, the bill will need to be approved and then paid.

Note: Bank authorized Administrators can pay any bill regardless of approval status.

Knowledge Check 1

  • Name on Bank Account
  • Address
  • Account Number
  • Bank Name
  • Routing Number
  • Bank Account Type
  • Test Transaction
What are the required fields when entering a bank account?

Knowledge Check 3

Below is the path to enter a new bank account:

> Settings > under , click on Bank Accounts > Click  

10.) Recurring Bills

Learning Objectives

After completing this course, you will be able to:​

  • Explain the benefits of the recurring bills feature
  • Demonstrate how to create a recurring bill

Introduction

There are two kinds of expenses.

  • Fixed expenses (rent, mortgage, loan, etc.)
  • Variable expenses (cable, medical, transportation, etc.)

For variable expenses, it makes sense to create a bill each time it arrives since the amount changes month by month. But for fixed expenses, creating the same bill every month is tedious and time consuming.

Bill.com offers a way to make fixed expenses easy to process and manage. It is called Recurring Bills. 

 

Set up a Recurring Bill

Let's set up a recurring bill to see how it works and what kind of options we have.

Go to: Payables > Recurring Bills > Click New

  1. Enter the schedule information for the recurring bill:
    • Next Due Date: The due date for the next bill to be created for this vendor
    • Create: How many days in advance the bill should be created. By default this is set to 30, however, enter any value between 1 and 365 is accepted
    • Frequency: How often the bill should be created
    • Ends On: Enter a date to stop scheduling this recurring bill, or select No End Date. 
      • The end date should be at least one day after the date that the last bill should be created
  2. Enter the bill information: 
    • Vendor: Select the vendor for the bill. Select an existing vendor, or select Add New to quickly enter a new one
    • Description: Add more details for the approvers. This field isn't required, but filling it out may be good practice 
    • Line Items - for more splits/line items, click "+ More" 
      • Account: The account used for coding the bill
      • Amount: Enter the total bill amount if there are no splits, otherwise, click "+ More"
      • Description: More details about the line item
    • Approvers: Select the required approvers, if applicable. To add more than two approvers, click "+ Add More Approvers"
  3. Click Save

On the specified date, the recurring bill will be created with an invoice number that matches the bill due date. Any bills that are specified to be created today or earlier will be created within the next 30 minutes.

Please note that recurring bills do not include automatic payment of bills.

 

Knowledge Check 1

  • Rent Expense
    Fixed
  • Groceries Expense
    Variable

Knowledge Check 2

  • Next Due Date
  • Create (days in advance)
  • Vendor
  • Account
  • Ends On
  • Amount
  • Frequency
  • Approver(s)
Which fields in the recurring bills template are required?

Knowledge Check 3

  • Recurring bills also automatically pays the bill

11.) Ways to Pay Vendors

Learning Objectives

After completing this course, you will be able to:​

  • Contrast the difference between the 3 payment methods
  • Illustrate how to use the 3 ways to pay a vendor
  • Describe when a customer would use each of the 3 ways to pay a vendor via ePayment
  • Explain the difference between Bill.com Network and RPPS

Introduction

There are many different ways we pay people or businesses. In Bill.com, there a several different ways to pay Vendors depending on who they are and how they receive money.

Below are all the ways you can pay Vendors:

  • Check (default)
  • ePayment
  • PayPal

Check and PayPal are basic ways to pay but for ePayment, there are three different ways to pay which we will review in the next slide.

Types of ePayments

There are three ePayment types.

  1. RPPS - Remote Payment and Presentment Service
  2. Network - Invitation
  3. Manual Bank Entry

RPPS

For large billers, such as AT&T or Verizon, Bill.com has a network called RPPS that will try to match vendors for you.

In order for the network to find the best match, you need to enter:

  • Vendor Name
  • Address (Zip Code)
  • Account Number

Using the remittance stub from the vendor to enter the above information is recommended.

 

 

Network

For smaller billers, like your doctor or landlord, you have the option to send them an invitation (email address required) to create a free Bill.com account to receive payments electronically.

This free Bill.com account is only to receive payments from other Bill.com customers and it's not intended to be used to pay bills. The vendor will have to enter their bank account information in order to receive payments.

Manual Bank Entry

There are times where you might want to enter the vendor's bank account yourself.

For example, let's bring back the scenario in which you are an AP Clerk. You have to pay an employee through Bill.com and want to pay via ePayment so the employee can receive money quickly. You can ask them for their bank account information (Bank Account Type, Routing Number, and Account Number) and enter it in their Vendor profile. Their email address will also be required.

Next time a payment needs to be processed for them, the bank information is stored and available to be used again.

ePayment Setup

In order to setup a Vendor with ePayment, go to:

Payables > Vendors > click on a Vendor Name. For example: AT&T

Click on "Set Up EPayments"

Since AT&T is a large biller, the RPPS network search will kick in and give you recommendations.

If you create a new Vendor, that is not a large biller, you'll have the option to invite or enter the vendor's bank account information.

Create a new Vendor named: Jack Johnson. Don't enter any more information other than the company name. When you are done saving the new vendor, click "Set Up EPayments" and you'll see possible matches, a way to invite, and the option to enter the bank account information.

Knowledge Check 1

  • 3
  • 2
  • 1
  • 5
How many ePayment types are there?

Knowledge Check 2

  • Check
  • RPPS
  • Network - Invititation
  • Manual Bank Account Entry
Select the ePayment types offered by Bill.com

Knowledge Check 3

Below are all the ways you can pay Vendors:

  •  
  •  
  •  

Knowledge Check 4

  • There is no difference since thy are both ePayments
  • RPPS is used for large billers and Network is for small billers to connect with a paid/free Bill.com account
  • RPPS is for small billers to connect with a free Bill.com account and Network is used for large billers
  • RPPS is used for large billers and Network is for small billers to connect with a paid Bill.com account
What is the difference between RPPS and Network

Knowledge Check 5

  • RPPS
    Verizon Wireless
  • Network
    Landlord
  • Manually Enter Bank Account
    Employee

12.) Bill and Payment Features/Options

Learning Objectives

After completing this course, you will be able to:​

  • Describe Smart Data and what fields are applicable

  • Locate the global and local settings for combined payments

  • Describe how lead time works

  • Discuss the benefits of audit trails

Smart Data Entry

Bill.com uses Smart Data Entry to retain information from a previous bill in order to save time and make bill data entry easier.

There are only three fields that are applicable:

  • description
  • account
  • approvers

Combined Payments

Sometimes you might be paying several bills to a vendor but want to only send one payment. You can do this if you enable the "Combined Bill Payments" feature.

You can enable this feature for your entire account or just for a particular Vendor.

  • When you pay multiple bills to the same vendor, with the same Process Date, we combine them into one payment (depending on your preferences). This saves you money and saves your vendor the hassle of reconciling multiple payments or depositing multiple checks. 
  • Your vendor receives one payment and one email confirmation. You pay for one payment. 

In your test account, review the preferences below:

You can change the global setting for all vendors by going to:

Gear Icon > Settings > under Payables, click Preferences > Select Yes or No for "Combine Payments"

To change the preference for individual vendors, go to:

Payables > Vendors > click on the Vendor Name > Click Edit > Select or deselect "Combine Payments" > Click Save

Lead Time

Lead Time is a nice feature to automatically populate a Process Date on the Pay page that helps send payments in a timely manner.

Let's look at an example.

Let's say you have a bill with a Due Date of 12/15/16. When you go to the Pay page, the Process Date will be 12/7/16. Why? Because the default Lead Time is 6 business days.

This really means that Process Date = Due Date - Lead Time

Lead Time allows for a buffer especially when checks are being mailed out. This way payments are sent and received on time to avoid late charges.

You can set the Lead Time for all vendors or customize for individual vendors

Go to your test account to review the following settings:

Payables Preferences (all vendors)

Gear Icon > Settings > under Payables, click on Preferences > you can review the Lead Time

To adjust individual vendors

Payables > Vendors > click on the Vendor Name > click Edit > review the lead time preference

Audit Trails

Since Bill.com moves money, it is important to have transparency for bills, payments, etc. you create.

There are times which customers might want to see when they created a particular bill or when they applied a vendor credit.

You can gain this visibility by reviewing an audit trail for each individual bill, payment, etc. 

In your test account, go to any bill you created in the past.

For example, choose Invoice# INV-0005 for $25,000.

  • Hover over "Bill Details" and click "Audit Trail"

As you can see, there is a lot of activity.

At the bottom, you can see when it was created: 10/26/16 at 1:30pm.

You can also see the date it was approved: 10/26/16 at 1:34pm.

Audit Trails will let you know when you have created, edited, or deleted.

 

 

 

 

 

It is crucial for Bill.com customers to have an audit trail for compliance and audit purposes. It also give visibility and transparency to a company who has many employees using Bill.com. It can help identify fraud and increases accountability.

13.) Payment Timing

Learning Objectives

After completing this course, you will be able to:​

  • Describe what payment timing is
  • Compose an example scenario

Introduction

When using Bill.com to pay bills, you might wonder when does the vendor receive the money? Is it instant, take a day or two?

There are a few factors that go into figuring this out and each account may be different.

Let's look at some key factors that impact payment timing

  • payment types (check vs. ePayment)
  • risk level
  • new account vs. existing account

Payment Types

For both Checks and ePayments, Bill.com withdraws the funds and deposits it in a Bill.com bank account. Once the funds are confirmed, Bill.com mails out a check or sends the ePayment to the vendor.

Check: On the process date, Bill.com will withdraw the funds from the Bill.com customer's bank account and a Bill.com check is mailed out. All checks are delivered by USPS and may take 3-5 days for delivery.

ePayments: On the process date, Bill.com will withdraw the funds from the Bill.com customer's bank account and the ePayment is sent. The vendor will receive the ePayment the business day after the ePayment is sent.

Risk Level

Bill.com has a payment amount threshold which is used to mitigate risk. For most accounts, a payment that exceeds $5,000 will take up to 2 additional business days.

New account vs. Established account

When first starting with the Bill.com service, all ePayments are treated as though they are large payments, and thus, high risk. For ePayments, clients should allow 4 banking days from the process date to the deposit date. For mailed checks, clients should also allow 4 banking days from the process date to the estimated arrival date. After 5 successfully completed payments, payment timing will accelerate (for example, ePayments under $5,000 will arrive in 2 banking days). If the 5 payments are not successful and 1 or more NSF (non-sufficient funds), then the account may end up being shut down.

Terminology

There are a few key terms we want to lay the framework for in this section. It is important to distinguish the differences and know what they mean.

General Terms

  • Funding: transaction that transfers funds from a client/customer's account and credits BDC's bank account.
  • Disbursement: transaction that transfers funds from BDC's bank account and credits a client/vendor's account

Dates

  • Process Date: date funds are withdrawn from the Bill.com customer's bank account.
  • Cleared Date: the vendor has/will received the funds in their bank account.
  • Check Date: the date the check is issued/mailed out
  • Arrives By: the date a vendor will received an ePayment
  • Estimated Arrival Date: an estimated date a vendor will receive a Check payment

Payment Status Types

  • Scheduled: the payment has been scheduled but not processed nor received by the vendor.
  • Paid Not Cleared: the payment has been funded, and is pending disbursement.
  • Paid: the payment is complete, and funds have reached its final destination.

Payment Batch Submissions

Many people wonder how Bill.com processes thousands of payments every day. How does it all work between money being withdrawn from the Bill.com customer's bank account and then the vendor receiving the payment?

In general, thousands of payments are scheduled during the day then Bill.com submits those payment requests (batch files) to its own Bank to process at the end of the cutoff period. The next business day, the Bank withdraws the funds necessary to submit the payment to the Vendor.

<NEED IMAGE>

Bill.com sends payment batch files to the processing Bank twice during the day:

  • At 4pm Pacific Time (PT)
  • At 6pm Pacific Time (PT)

This means payments scheduled by Bill.com customers:

  • From Day 1: 6:01pm PT - Day 2: 2:59pm PT

and

  • From Day 2: 3:00pm PT - 6:00pm PT

get submitted to the Bank at 4:00pm PT and 6:00pm PT, respectively.

 

Let's take a look at an example using general conditions found under an account in good standing.

A bill is paid on Monday at 5:15pm PT with a process date of Tuesday. This means the payment will be submitted to the Bank in the second batch file and processed the next business day. 

Checks

Now that we understand the payment process, let's take a look at how checks are processed given certain amount thresholds.

Note: The example below excludes accounts with less than 5 payments successfully processed.

If a vendor is setup to receive payments via check, this is what happens:

Small Amounts (under $5,000)

  1. Bill.com customer clicks "Pay" for a bill with an amount of $1,000 at 4pm Pacific Time on Wednesday (Payment is in Scheduled mode)
  2. At 6pm, Bill.com sends a payment batch file to the Bank
  3. On Thursday, funds are withdrawn from the Bill.com customer's bank account (Payment is processed)
  4. Also on Thursday, the check is mailed out 
  5. Tuesday is the estimated arrival date (3 business days from the check date)

Large Amounts ($5,000 and over)

  1. Bill.com customer clicks "Pay" for a bill with an amount of $6,000 at 4pm Pacific Time on Wednesday (Payment is in Scheduled mode)
  2. At 6pm, Bill.com sends a payment batch file to the Bank
  3. On Thursday, funds are withdrawn from the Bill.com customer's bank account (Payment is processed)
  4. On Friday, the check is mailed out 
  5. Wednesday is the estimated arrival date (3 business days from the check date)

ePayments

Now let's take a look at how ePayments are processed given certain amount thresholds.

Note: The example below excludes accounts with less than 5 payments successfully processed.

If a vendor is setup to receive payments via ePayment, this is what happens:

Small Amounts (under $5,000)

  1. Bill.com customer clicks "Pay" for a bill with an amount of $1,000 at 4pm Pacific Time on Wednesday (Payment is in Scheduled mode)
  2. At 6pm, Bill.com sends a payment batch file to the Bank
  3. On Thursday, funds are withdrawn from the Bill.com customer's bank account (Payment is processed)
  4. On Friday, the payment is deposited in the vendor's bank account

Large Amounts ($5,000 and over)

  1. Bill.com customer clicks "Pay" for a bill with an amount of $6,000 at 4pm Pacific Time on Wednesday (Payment is in Scheduled mode)
  2. At 6pm, Bill.com sends a payment batch file to the Bank
  3. On Thursday, funds are withdrawn from the Bill.com customer's bank account (Payment is processed)
  4. On Tuesday, the payment is deposited in the vendor's bank account

Knowledge Check 1

Please read the scenario below and pick the correct date which the payment will be received by the vendor.

The Bill.com account is in good standing and the risk profile settings are set at $5,000.

An ePayment for $500 is scheduled on Nov 14, 2016 at 5:45pm PT. When will the vendor receive the payment in the bank account?

Knowledge Check 2

Please read the scenario below and pick the correct date which the payment will be received by the vendor.

The Bill.com account is in good standing and the risk profile settings are set at $5,000.

An ePayment for $7000 is scheduled on Nov 13, 2016 at 2:53pm PT. When will the payment be processed?

Knowledge Check 3

Please read the scenario below and pick the correct date which the payment will be received by the vendor.

The Bill.com account is in good standing and the risk profile settings are set at $5,000.

A check for $7000 is scheduled on Nov 11, 2016 at 3:26pm PT. When will the check be mailed out?

Knowledge Check 4

Please read the scenario below and pick the correct date which the payment will be received by the vendor.

The Bill.com account is in good standing and the risk profile settings are set at $5,000.

An ePayment for $1000 is scheduled on Nov 2, 2016 at 8:15am PT. When will the ePayment be deposited in the vendor's bank account?

Knowledge Check 5

Please read the scenario below and pick the correct date which the payment will be received by the vendor.

The Bill.com account is in good standing and the risk profile settings are set at $5,000.

An ePayment for $50 is scheduled on Nov 16, 2016 at 11:01am PT. Which date do you expect the deposit?

Knowledge Check 6

Please read the scenario below and pick the correct date which the payment will be received by the vendor.

The Bill.com account is in good standing and the risk profile settings are set at $5,000.

An ePayment for $659 was deposited on 11/30. When was the latest the customer could have scheduled the payment?

14.) Cancel / Void Payment Cutoff Timing

Learning Objectives

After completing this course, you will be able to:​

  • Describe the two void options and when they might be used
  • Evaluate when to use the cancel option vs. the void option

Introduction

There are times when you schedule a payment and need to cancel it. What do you do to stop the payment from being processed or sent to the vendor?

There are two options to stop the payment depending on the status of the payment.

  1. Cancel payment
  2. Void payment

Cancel Payment

If a payment is in Scheduled status (not processed yet), you can cancel the scheduled payment. No money will leave the bank account nor will the vendor receive the payment. 

Void Payment

If the payment has already been processed, you may have the ability to void the payment.

  • For Check Payments, you may void the payment so it can't be deposited but the check is in transit. The vendor will still receive the check but when the check is deposited, the Bank will not complete the deposit because of the void and stop payment.
  • For ePayments, you may void the payment so it won't be deposited in the vendor's bank account.

Note: Keep in mind that only bank authorized users can cancel or void payments.

Check Payments

Here's are some more details on the deadlines to cancel and void check payments.

  • A check can be canceled until 2 pm PT on the banking day before the Process Date
    • Ex: If the Process Date is on a Tuesday, and Monday is a bank holiday, the cutoff time to cancel the payment is the Friday before, 2 pm PT.
  • After 1 am PT on the Process Date, a check can only be voided, and only if it has not already been cashed by the vendor. (no action can be taken between 2 pm PT on the banking day before the Process date and 1am PT on the Process date)
  • Voiding the check will not prevent the debit from the bank account
  • Voiding a check will place a stop payment on the check.
    • A check with a stop payment on it will be rejected when presented at the bank. 
  • Checks can be voided until they have been cashed by your vendor (and cleared by the vendor's bank).

ePayment

Here's are some more details on the deadlines to cancel and void ePayment.

  • An ePayment can be canceled until 2pm PT on the banking day before the Process Date.
    • Ex: If the Process Date is on a Tuesday, and Monday is a bank holiday, the cutoff time to cancel the payment is the Friday before, 2PM PT.
  • An ePayment can be voided after 1am PT on the Process Date, and before 2pm PT on the banking day before the deposit date (no action can be taken between 2pm PT on the banking day before the Process date and 1am PT on the Process date)
  • Voiding the ePayment will not prevent the debit from the bank account.

Void and Re-issue vs. Void and Credit

When you void a payment, there are two options to choose from:

1. Void and Re-issue - void the payment and send the payment again

  • For check payments, this option may be used if the vendor didn't receive the check and it's been 2 weeks or the vendor lost the check.
  • For ePayments, this option may be used if the vendor's ePayment failed (often due to failed bank account verification) and the information has been corrected.

2. Void and Credit - void the payment and credit the funds back to the bank account

  • This option may be used when a Bill.com customer pays a bill by mistake or for an incorrect amount.
  • A credit may take 2-5 business days from the date of the void request, depending on when the funds debited the account.

Knowledge Check 1

  • Void Payment
  • Return Payment
  • Stop Payment
  • Cancel Payment
You scheduled a payment on Monday at 8:46am PT but noticed at 10:38am PT that you paid the wrong bill and need to stop the payment right away. Choose which option you should use to stop the payment?

Knowledge Check 2

  • Void Payment
  • Return Payment
  • Stop Payment
  • Cancel Payment
You scheduled a Check payment on Wednesday at 10:16am PT but noticed at 2:59pm PT that you paid the wrong bill and need to stop the payment right away. Choose which option you should use to stop the payment?

Knowledge Check 3

  • 1pm PT
  • 6pm PT
  • 2pm PT
  • 2am PT
When is the cutoff time to cancel a payment?

Knowledge Check 4

  • A credit may takebusiness days from the date of the void request, depending on when the funds debited the account.

15.) Failed and Returned Payments

Learning Objective

After completing this course, you will be able to:​

  • Summarize how to handle failed or returned payments

Introduction

There are times when a payment is returned or failed.

For example:

Returned Checks

  • Invalid mailing address
    • Check can not be delivered due to incorrect address
  • Insufficient information on check or invoice
    • The vendor does not know how to apply the payment with the given information
  • Duplicate payment
    • Payment was already received from the vendor regarding the payment account

Failed ePayments

  • The account number and/or routing number is incorrect
  • The name on the bank account doesn't match the vendor name in Bill.com

Returned Check

If a check is returned to Bill.com, you can:

  • review the possible cause and void/re-issue the check again

or

  • void and credit back to the bank account until you are ready to re-send the payment.

Failed ePayment

If the ePayment failed, there are two solutions:

Vendor bank account information was entered manually

  • If the ePayment failed because the name in Bill.com didn't match the name on the bank account, correct the name, void and reissue the payment.
  • If the account number and/or routing number was incorrect, confirm the bank information with the vendor. Correct the vendor bank account information, void and remit the payment then initiate a new payment for the bill.
  • If the ePayment failed for another reason (account closed, unable to locate account, etc.), contact the vendor directly; the vendor may need to contact their bank's ACH department for more information.

Vendor was sent an invite to receive ePayments

  • Contact the vendor directly. Since the vendor set up a free Receivables account to get paid, the vendor controls their own remittance information, and will need to make all changes in their account.
  • If the ePayment failed for another reason (account closed, unable to locate account, etc.) the vendor may need to contact their bank's ACH department for more information.

Knowledge Check 1

  • Check
    Returned Payment
  • ePayment
    Failed Payment

Knowledge Check 2

  • Invalid mailing address
  • Incorrect amount
  • Insufficient information on the check or invoice
  • Duplicate payment
  • Check was sent too early
What are the most common reasons why a check get returned?

Knowledge Check 3

  • Check # is incorrect
  • The account number and/or routing number is incorrect
  • Incorrect amount
  • The name on the bank account doesn't match the vendor name in Bill.com
What are the most common reasons why an ePayment fails?