Cash application
Match incoming cash to the right invoices and explain every remainder.
ProposedMatch
| Transaction Date | Amount | Type | Memo | Counterparty Name | Matched Payment |
|---|---|---|---|---|---|
| 07 Sep | 6,773.48 | CreditACH | MMO-675 | Counterparty 654 | PR-69265 |
| 07 Sep | 47,297.38 | CreditWire | MMO-789 | Counterparty 365 | PR-84581 |
| 15 Sep | 11,078.32 | Check | MMO-173 | Counterparty 831 | PR-65109 |
| 15 Sep | 7,455.98 | DebitACH | MMO-945 | Counterparty 163 | PR-66525 |
| 08 Sep | 35,047.39 | Fee | MMO-366 | Counterparty 820 | PR-22635 |
| 11 Sep | 17,847.49 | Other | MMO-252 | Counterparty 385 | PR-68835 |
Review the proposed match
The matching workflow compares customer evidence, amount and invoice references. A repeated bank event resolves to its existing source identity. A processor settlement can link to an already recognized receipt only through a confirmed mapping; similar memo text is a clue for review, not permission to discard a deposit. Lower-confidence items remain visible to the clerk. Check the source transaction, proposed invoices, currency and remaining receipt amount together before accepting the distribution.
Keep cash and adjustments separate
Only accepted InvoicePayment allocations consume receipt cash and reduce the corresponding open invoices. A discount or short-pay suggestion requires its own approved credit or write-off rather than pretending the missing amount was received. An unapplied remainder remains on the customer account for later work. Enforce the receipt total and each invoice’s remaining balance before committing allocations. ProposedMatch and Draft records do not reduce receivables, and a repeated application request must return the existing result instead of creating another allocation.
StatusDraftProposedMatchPartiallyAppliedunapplied amount > 0
Reconcile the receipt through its full life
Recognize the receipt’s cash effect once. When cash has already been booked with an unapplied balance, a later allocation moves that balance to the relevant receivable and does not debit cash again. Keep the ledger request and confirmed result attributable to the same source. A returned or refunded receipt restores only its prior accepted effects and preserves the correction history. For project-billing references, request application from the owning system and update the displayed balance only from its confirmed outcome.
Modules
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Customer billing
Keep customer terms and recurring billing ready for the next invoice.
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Invoices and credits
Send clear invoices and keep every adjustment connected to its source.
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Cash application
Match incoming cash to the right invoices and explain every remainder.
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Collections
Give overdue balances a clear next action and accountable owner.
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Credit controls
Make credit decisions visible before they change a customer balance.
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Receivables reporting
Explain aging, collections and cash application with a consistent balance basis.
Reports
All reportsCash Application Rate
Per period: BankFeedTransactions in, auto-matched at high confidence, auto-matched at low confidence (clerk-reviewed), and manual entries. Tracks the auto-match win rate the AR Clerk's productivity rests on.
Roles and permissions
Owns the AR function. Approves WriteOffs, signs off on the period-end aging, and reviews DSO and bad-debt trend. The named approver on the GL post handoff to fin-accounting.
Owns the operational AR machine. Configures dunning policies, manages collections cases, releases credit holds, and approves credit memos under threshold. Escalates write-offs to the Controller.
The operational role — the day-in / day-out AR seat. Drafts and sends Invoices, applies PaymentsReceived against open Invoices, processes CreditMemos under threshold, sends manual dunning when a Customer-specific situation calls for it.
Account-owner read-only on own Customers' AR. Nudges the buyer when a deal goes overdue without exposing GL detail.
The buyer. Implicit role accessed through the customer payment portal — sees own open Invoices, can pay via the fin-payments-issued portal link, downloads own Invoices and Statements.
Executive read-only on aging and DSO. The owner, board member, or external auditor seat.
Related processes
Prepare and send invoices
Keep draft preparation, delivery and ledger confirmation distinct.
4 stages · 0 approvals
Receive and apply cash
Turn confirmed receipt evidence into attributable invoice allocations.
4 stages · 0 approvals
Resolve disputes and collect
Keep follow-up, dispute resolution and financial adjustments connected.
4 stages · 1 approval