Chapter 15 Section 1

PROCESSING PAYABLES

When payables are received on a daily basis, each payable should be reviewed in detail by the Community Manager to ensure accuracy of the invoice. If there is a discrepancy, the Community Managershould review the vendor ledger for prior postings of payables. If one is missed,the Community Manager should contact the vendor for a copy of the prior bill for entry. After the invoice is reviewed and determined to be correct, the Community Manager should then use the payables stamp and red ink pad to code the invoice. The stamp should be placed on the invoice in a location above the payment stub and in an area with little or no writing. This will allow the Accounting Specialist to legibly review the account numbers and description that are provided.

The information requested by the stamp needs to be written on the invoice. It should include the following:

  • Date the invoice was received,
  • The initials of the person responsible for verifying the merchandise or service was received (this should be the Community Manager),
  • The Account Number(s) from the Chart of Accounts, and
  • A DETAILED description of merchandise or service which should include the apartment number and work order number (if applicable).

Coding is a very important part of processing payables. The NHE Chart of Accounts (Form L-1) will be used to select the appropriate account number for the merchandise or service. If the Community Manager is unsure of which account to use, please contact the Regional Property Manager or Accounting Specialist for assistance.

Once the information on the invoice(s)has been entered, the Community Manager will add the totals for all the invoices that need to be processed in a payable batch. He or she will then follow the step by step instructions in the Yardi procedures manual on how to enter the invoice information in a payable batch. Make sure you are entering the date of the invoice in yardi and not the date you received the actual invoice.

Once the payables batch is completed compare the invoice totals to the Payables Batch report total. If the totalsdo not balance, review the information and research the problem. Correct and compare the invoice totals to the payable batch report total again. Oncethey match, print the Payables Batch report from Yardi.

Place the invoices, in order,as listed on the Payables Batch report and place them behind the report, making a packet. Once this packetis arranged in the proper order, make a copy of it and file in the appropriate payables folder at the respective property. (See Chapter 1, Section 5 for details).

Mail the original Payables Batch report and original invoicespacket (stapled).In order to ensure the payable batches are received by the Accounting Specialist byTuesday of every weekyour payables must be postmarked (mailed) Friday.

Chapter 15, Section 1 Processing Payables Revised December 2013

Page 1 of 1