Feature Article: Payment Adjustments

May 2017    Tags: Payments, Refunds, Tabs3 Billing

How do you handle overpayments, checks that don’t clear the bank, or checks entered for the wrong account? Use the Payment Adjustments program! This program can be used to refund or reverse payments.

When a client pays more than is due, you may want to refund part of the payment. In order to refund a payment, the payment must have been final billed and updated. Additionally, only the unapplied portion of a payment can be refunded.

For certain circumstances, you may need to reverse the entire payment. Typically this is because either a check didn’t clear the bank or a payment was entered to the wrong account. Like refunds, a payment can only be reversed if it has already been final billed and updated. However, payments can be reversed regardless of whether a portion is currently unapplied or not.

When refunding or reversing payments, the following integration options are available, when applicable:

• When you are set up to process credit cards, and the payment was originally processed through ProPay, you will be prompted whether or not to process the adjustment through ProPay.
• You will have the option to create a payment to another client; deposit the amount into clients funds; just record the adjustment; or, when integrating with Accounts Payable Software (APS), write a check for the amount.
• When integrating with General Ledger Software (GLS), you will have the option of specifying a date for automatic journal entries.

To reverse or refund a payment

1. From the Maintenance menu, point to Transaction Related and select Payment Adjustment.
2. Select the Client ID.
3. In the Reference field, select the payment you are adjusting.
4. In the Adjustment Information section, select Reversal or Refund.
5. Enter the desired Adjustment Date. This date will be used for reports.
6. If you selected Refund, enter the desired Adjustment Amount.
7. Click OK.
8. Click Yes to continue.
   1. If a ProPay credit card transaction exists for this payment, an Adjust Credit Card Transaction window will be displayed. Click Yes if you want to adjust the associated credit card payment through ProPay. Click No if you want to retain the associated credit card payment in the ProPay system.
   2. In the Payment Adjustment Options window, select whether you will be writing a check for the adjustment, just recording the adjustment, creating a payment for another client, or depositing the adjustment into Client Funds.
   3. Click OK.
   4. If you are integrating with GLS, an Adjusting Journal Entries window will be displayed. Select the date to use for adjusting GLS journal entries.
   5. Click OK.
   6. In the Payment Adjustment Description window:
      1. If you want a transaction to be saved to the Fee file, enter a Description and click OK.
      2. If you do not want a transaction saved to the Fee file, click Cancel.

Payments adjustments provide an easy way to refund an amount back to your clients, or to reverse payments when a mistake was made.