All PO-related invoices over $5,000 require approval from the Department.
This allows Accounts Payable to streamline the invoice payment process by utilizing features provided in the PeopleSoft system. Invoices received from valid University Purchase Orders are automatically tracked and “matched” in the system, ensuring we only pay for the items ordered and we are charged the specific prices negotiated by Purchasing. This systematic control allows Accounts Payable and Purchasing to better control procurement activities while eliminating a labor intensive paper shuffle between Accounts Payable and the ordering departments. In addition, payments to vendors under $5,000 will be timelier.
Accounts Payable will send copies of invoices greater than $5,000 to departments for approval. Users are reminded that these invoices must be approved and returned to Accounts Payable as soon as possible. For invoices greater than $5,000 payment to the vendor is not released until department approval is received by Accounts Payable.
Upon receipt of an invoice, Accounts Payable matches the invoice to the Purchase Order Terms then immediately posts the expense into our accounting system, reflected in your appropriate transaction detail report. The actual payment to the vendor follows at a later scheduled date.
The majority of University vendors are paid on “Net 30″ terms, meaning that payment is made 30 days from the date of the vendor’s invoice. Therefore, an invoice will typically appear on the detailed expense report before the invoice is actually paid. To assist you in identifying when payment will be made, the transaction detail report includes the scheduled payment date for each invoice, allowing you to distinguish a posted expense from actual payment to the vendor. In reviewing the detailed report if you notice any invoice (regardless of amount) that should not be paid, please contact Accounts Payable immediately. The staff in Accounts Payable can hold payment pending approval from the ordering department.