Write Off Documents in GP Receivables

You can use the Write Off Documents window in Microsoft Dynamics GP to write off outstanding credit or debit balance amounts for one or more customers. You can specify a write-off limit and cutoff date, and whether to create one credit or debit memo for each customer or document. The debit or credit memos this process creates will be posted and applied to the documents for which you’re writing off balances.

Note that this process is for Receivables only. Write-offs for Sales Order Processing are done in the Apply Sales Documents window (Sales >> Transactions >> Apply Sales Documents).

Here are 9 easy steps to write off outstanding documents in Receivables Management in Microsoft Dynamics GP:

1. Change the System Date to the date you want used for Credit and Debit Memos that will be created.

2. Navigate to Microsoft Dynamics GP menu drop down >> Tools >> Routines >> Sales >> Write off Documents.

3. For the Write-off Type field choose one of the following:
   1. Underpayments: This is when a customer pays less than the invoice amount. This will automatically create and apply a Credit Memo for the customer. Remember, it will use the system date in the lower left corner of the main GP window.
   2. Overpayments: This is when a customer pays more than the invoice amount. This will automatically create and apply a Debit Memo for the customer. Again, it will use the system date in the lower left corner of the main GP window.

4. For the Create One Write-off Per field choose one of the following:
   1. Customer: This option will group all balances together and create one Debit/Credit memo to write off the balance.
   2. Document: This option creates one Debit/Credit memo for each document being written off.

5. For the Write-off Limit field, choose the dollar amount limit for the search for items that will be written off. Let’s say you enter $100 dollars; this would mean that any documents with an outstanding amount remaining above $100 will not be written off when you click the Process button.

6. For the Customers drop down, you can select a range of customers based on Customer ID, Name, Class ID and Type — whatever works best for you.

7. There is also a National Accounts section at the bottom of the window. If you are using National Accounts, you can create the write-off from the Parent or the Child customer record.

8. Before you process, click the Preview button to see what documents got pulled in for write-off.
   1. This will allow you to review a list of the documents that the system is planning on writing off. Click on the Blue Underlined “Write off Amount” link in the Write-Off Preview window to zoom to the item that is going to be written off to see more detail.
   2. You can stop the system from writing off specific documents if you need those documents to stay on your aging for collection. Simply uncheck the box next to the transactions you do not want to write off in the Write-Off Preview window.

9. The Write-off will distribute to the accounts on the customer card (Sales >> Cards >> Customer >> Accounts button). If this is blank, the write-off will distribute to the account setup in the Posting Accounts Setup window (Tools >> Setup >> Posting >> Posting). If this too is blank, then the system will create the GL entry with blank accounts that cannot be posted until an account is manually entered on it.