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Intermediate Level

Payment Entry Guide (Vendor Payment)

Record and manage payments to vendors and suppliers in LaabamOne ERP efficiently.

22 minutes
Complete Guide

What is a Payment Entry?

Payment Entry is used to record both outgoing payments (to vendors/suppliers) and incoming receipts (from customers). This guide focuses on vendor payments. It links payments to purchase invoices and maintains accurate accounts payable records.

Payment Workflow:

Purchase Invoice (Unpaid) → Payment Entry → Bank Transaction → Reconciliation

Step 1: Navigate to Payment Entry

1 minute

Access the payment module from your dashboard.

  1. Click Accounts in the menu
  2. Select Payment Entry
  3. Click New Payment Entry button
  4. Payment form opens

Step 2: Select Payment Type

1 minute

Choose the correct payment direction.

  • Pay - For vendor/supplier payments (outgoing)
  • Receive - For customer receipts (incoming)
  • Internal Transfer - Between your own accounts

Pro Tip: Select "Pay" for vendor payments. Party Type will auto-select to "Supplier".

Additional Steps

Step 3-6: Party & Account Selection

  • Select vendor/supplier from dropdown
  • Set payment date (affects accounting period)
  • Choose payment account (bank/cash)
  • Review outstanding invoices automatically loaded

Step 7-11: Payment Details

  • Select invoices to pay or enter custom amount
  • System allocates payment to oldest invoices first
  • Choose payment method (NEFT, Cheque, Cash, Card)
  • Enter transaction reference number
  • Add deductions (TDS) if applicable

Step 12-15: Finalize Payment

  • Add payment notes or description
  • Attach payment receipt or bank statement
  • Review total amount and allocation
  • Submit payment entry and print receipt

✅ You've completed the Payment Entry guide!

You're now ready to manage vendor payments and track accounts payable efficiently.

Manage Payments Efficiently

Track vendor payments and maintain accurate financial records

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