Payment Selection – Payment Processing Scenarios

Introduction

Once eligible invoices are identified, finance teams must decide how those payments are actually executed in iDempiere. Payment Selection supports different processing approaches based on payment schedules, payment methods, and business requirements. Retail organizations use these approaches to run scheduled batches, settle multiple suppliers together, process cheque-based payments, and separate runs by payment method, directly shaping how efficiently vendor payments are generated and completed.

Retail Scenarios

Weekly Vendor Payment Run

Overview

Used to schedule and process all due vendor invoices together on a fixed weekly cycle.

Key Setup / Inputs

Field in iDempiere	Sample Value	Purpose
Only Due	Checked	Restricts selection to invoices currently due
Payment Rule	Check	Filters invoices by the required payment method
Payment Date	Every Friday	Defines the recurring run date for the cycle

Process Flow

• Open Create From and enable Only Due.
• Set Payment Rule to the method used for this vendor group.
• Run Create From each week on the scheduled payment day.
• Proceed through Prepare Payment and Payment Print/Export to complete the run.

System Behavior

• Retrieves all eligible due invoices across configured vendors.
• Creates Payment Selection Lines for the weekly batch.
• Processes all selected invoices through a single payment cycle.

Retail Example

Every Friday, the finance team processes due invoices for Britannia, Nestlé, ITC, HUL, and Coca-Cola.

Outcome

• Multiple vendor payments are completed efficiently through one controlled run.
• Accounts payable management is simplified with a predictable weekly cadence.

Bulk Vendor Settlement

Overview

Used when multiple suppliers and invoices fall due within the same cycle and need combined processing.

Key Setup / Inputs

Field in iDempiere	Sample Value	Purpose
Business Partner	Blank	Leaves vendor selection open to include all suppliers
Only Positive Balance	Checked	Selects only invoices with an outstanding balance
Payment Rule	Check	Filters invoices by payment method

Process Flow

• Open Create From and leave Business Partner blank.
• Enable Only Positive Balance to exclude fully settled invoices.
• Click OK to retrieve invoices from all eligible vendors in one batch.

System Behavior

• Retrieves eligible invoices from multiple vendors in a single run.
• Creates Payment Selection Lines for the entire batch at once.
• Supports centralized processing across the full vendor base.

Retail Example

Outstanding invoices for Britannia, ITC, Nestlé, HUL, and Tata Consumer Products are processed together.

Outcome

• High transaction volumes are processed efficiently with reduced manual effort.
• Finance teams avoid running separate batches for each vendor.

Check-Based Vendor Payments

Overview

Used when suppliers require settlement through physical cheques as part of contractual terms.

Key Setup / Inputs

Field in iDempiere	Sample Value	Purpose
Payment Rule	Check	Identifies invoices to be settled by cheque
Bank Account Document	Vendor Check Series	Provides the check number sequence
Bank Account	Vendor Payment_123456	Source account for the cheque payment

Process Flow

• Set Payment Rule to Check during Create From for the relevant invoices.
• Run Prepare Payment to generate the Prepared Payment record.
• Confirm a Bank Account Document is configured for the bank account and Check rule.
• Execute Payment Print/Export to assign cheque numbers and generate the AP Payment.

System Behavior

• Generates Prepared Payments for invoices flagged with the Check payment rule.
• Creates AP Payments through Payment Print/Export.
• Assigns cheque numbers from the configured Bank Account Document sequence.

Retail Example

Vendors requiring physical cheque settlements receive payments through the cheque payment process.

Outcome

• Cheque payments are generated, tracked, and controlled through a standardized workflow.
• Cheque numbering stays consistent and auditable across payment runs.

Payment Rule Based Payment Processing

Overview

Used to group and process invoices separately according to the payment method agreed with each supplier.

Key Setup / Inputs

Field in iDempiere	Sample Value	Purpose
Payment Rule	Check	Restricts the run to invoices using this payment method

Process Flow

• Open Create From and set Payment Rule to the required payment method.
• Click OK to retrieve only invoices configured for that method.
• Repeat Create From with a different Payment Rule for other payment methods.

System Behavior

• Retrieves invoices matching the selected payment method only.
• Creates Payment Selection Lines specific to that payment type.
• Keeps payment runs separated by method for cleaner processing.

Retail Example

Payment Rule is set to Check, so only invoices configured for cheque payments are selected and processed.

Outcome

• Payments are grouped and executed according to the required payment method.
• Different settlement methods can be managed independently within the same process.