Accounts Payable Q&A: Using Miscellaneous Vendors

March 2023    Tags: Accounts Payable, Vendors

We need to write a check to a company, but we do not plan on writing more checks to them in the future. Do we need to create a full vendor with an associated contact for this company?

AP includes a Miscellaneous Vendor option to create a general one-time payment to people or companies that will not require a 1099. When creating invoices for a miscellaneous vendor, you will be prompted to specify a name and address or specify an existing contact for each invoice.

1. In the Quick Launch, search for and select “Vendor Information.”
2. Press Ctrl+N to create a new vendor.
3. Specify the Vendor number you want to use for your miscellaneous vendor and click OK.
4. Select the Miscellaneous Vendor check box.
5. Specify a name for the vendor (e.g., “Miscellaneous Vendor”) in the Name field.
6. Press Ctrl+S.

Keep in mind that checks generated for a miscellaneous vendor cannot be moved to a standard vendor without voiding and re-entering them. If there is a chance you will need to generate a 1099 for the recipient, we recommend creating a standard vendor for them rather than using a miscellaneous vendor.