Skip to content

Entry and Payment Lifecycle

← About Receivables and Payables

As payment and settlement progress, the amount values and statuses of entries, entry items and payments change. This article illustrates a number of common use cases.

Create and Settle Entry

This example shows the behavior in the following simple use case:

  • Create an entry that represents a receivable,
  • Trigger a payment operation,
  • Collect the money, and
  • Settle the receivable.
Step Entry Entry Item Payment
Create entry Status = Open
Open amount = 100
Expected amount = 0
Assigned amount = 0
Outstanding amount = 100
Trigger payment
Creates payment and entry item
Status = Open
Open amount = 100
Expected amount = -100
Assigned amount = 0
Outstanding amount = 100


Expected amount = -100
Assigned Amount = 0
Status = Pending
Open amount = -100
Collected amount = 0
Assigned amount = 0
Available Amount = 0
Collect payment
Not "tangible", intermediate state during processing only
Status = Open
Open amount = 100
Expected amount = -100
Assigned amount = 0
Outstanding amount = 100


Expected amount = -100
Assigned Amount = 0
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = 0
Available Amount = -100
Settle entry and payment Status = Balanced
Open amount = 100
Expected amount = 0
Assigned amount = -100
Outstanding amount = 0


Expected amount = 0
Assigned Amount = -100
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -100
Available Amount = 0

Cancel Entry

This example shows the behavior when canceling an entry:

  • Create an entry that represents a receivable,
  • Trigger a payment operation,
  • Collect the money,
  • Settle the receivable, and
  • Cancel the entry.
Step Entry Entry Item Payment
Create entry Status = Open
Open amount = 100
Expected amount = 0
Assigned amount = 0
Outstanding amount = 100
Trigger payment
Creates payment and entry item
Status = Open
Open amount = 100
Expected amount = -100
Assigned amount = 0
Outstanding amount = 100


Expected amount = -100
Assigned Amount = 0
Status = Pending
Open amount = -100
Collected amount = 0
Assigned amount = 0
Available Amount = 0
Collect payment
Not "tangible", intermediate state during processing only
Status = Open
Open amount = 100
Expected amount = -100
Assigned amount = 0
Outstanding amount = 100


Expected amount = -100
Assigned Amount = 0
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = 0
Available Amount = -100
Settle entry and payment Status = Balanced
Open amount = 100
Expected amount = 0
Assigned amount = -100
Outstanding amount = 0


Expected amount = 0
Assigned Amount = -100
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -100
Available Amount = 0
Cancel entry Status = Canceled
Open amount = 0
Expected amount = 0
Assigned amount = 0
Outstanding amount = 0


Expected amount = 0
Assigned Amount = 0
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = 0
Available Amount = -100

After the cancellation, the defined credit balance strategy is applied to the related payments.

Credit Balance Strategy Payment Refund
Future Settlement (default) Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = 0
Available Amount = -100
Blocked Amount = 0
Prepared Refund Status = Collected
Open amount = 0
Collected amount = 0
Assigned amount = 0
Available Amount = 0
Blocked Amount = 100
Status = Prepared
Open amount = 100
Refunded amount = 0
Refund method = Direct Refund
Direct Refund Status = Collected
Open amount = 0
Collected amount = 0
Assigned amount = 0
Available Amount = 0
Blocked Amount = 100
Status = Approved
Open amount = 100
Refunded amount = 0
Refund method = Direct Refund

Reduce Entry

This example shows the behavior when reducing an entry:

  • Create an entry that represents a receivable,
  • Trigger a payment operation,
  • Collect the money,
  • Settle the receivable, and
  • Reduce the entry.
Step Entry Entry Item Payment
Create entry Status = Open
Open amount = 100
Expected amount = 0
Assigned amount = 0
Outstanding amount = 100
Trigger payment
Creates payment and entry item
Status = Open
Open amount = 100
Expected amount = -100
Assigned amount = 0
Outstanding amount = 100


Expected amount = -100
Assigned Amount = 0
Status = Pending
Open amount = -100
Collected amount = 0
Assigned amount = 0
Available Amount = 0
Collect payment
Not "tangible", intermediate state during processing only
Status = Open
Open amount = 100
Expected amount = -100
Assigned amount = 0
Outstanding amount = 100


Expected amount = -100
Assigned Amount = 0
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = 0
Available Amount = -100
Settle entry and payment Status = Balanced
Open amount = 100
Expected amount = 0
Assigned amount = -100
Outstanding amount = 0


Expected amount = 0
Assigned Amount = -100
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -100
Available Amount = 0
Reduce entry Status = Balanced
Reduction amount = -20
Open amount = 80
Expected amount = 0
Assigned amount = 80
Outstanding amount = 0


Expected amount = 0
Assigned Amount = 80
Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -80
Available Amount = -20

After the reduction, the defined credit balance strategy is applied to the related payments.

Credit Balance Strategy Payment Refund
Future Settlement Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -80
Available Amount = -20
Blocked Amount = 0
Prepared Refund (default) Status = Collected
Open amount = -80
Collected amount = -100
Assigned amount = -80
Available Amount = 0
Blocked Amount = 20
Status = Prepared
Open amount = 20
Refunded amount = 0
Refund method = Direct Refund
Direct Refund Status = Collected
Open amount = -80
Collected amount = -100
Assigned amount = -80
Available Amount = 0
Blocked Amount = 20
Status = Approved
Open amount = 20
Refunded amount = 0
Refund method = Direct Refund

Settle Entries

This example shows the behavior when settling two entries:

  • Create an entry that represents a receivable,
  • Create an entry that represents a payable,
  • Settle the receivable with the payable entry.
Step Entry
Create debit entry Status = Open
Open amount = -100
Expected amount = -100
Assigned amount = 0
Outstanding amount = -100
Create credit entry Status = Open
Open amount = 100
Expected amount = 100
Assigned amount = 0
Outstanding amount = 100
Settle both entries Debit Entry:
Status = Balanced
Open amount = 0
Reduction amount = 100

Credit Entry:
Status = Balanced
Open amount = 0
Reduction amount = -100

If there is already a payment associated to the receivable, the defined credit balance strategy is applied to it after the settlement.

Credit Balance Strategy Payment Refund
Future Settlement Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = 0
Available Amount = -100
Blocked Amount = 0
Prepared Refund (default) Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -100
Available Amount = 0
Blocked Amount = 100
Status = Prepared
Open amount = 100
Refunded amount = 0
Refund method = Direct Refund
Direct Refund Status = Collected
Open amount = -100
Collected amount = -100
Assigned amount = -100
Available Amount = 0
Blocked Amount = 100
Status = Approved
Open amount = 100
Refunded amount = 0
Refund method = Direct Refund