A vendor statement lists everything the vendor billed a shop over a period, which makes it the last place to catch a charge you have no document for. Reconciling one answers two questions: whether every charge on the statement arrived as a document, and whether every part on those documents is accounted for. This article covers the Statements tab, the states a statement moves through, and a month-end order of work.
Reconciling before the payment goes out means a missing credit can be deducted from that payment. After payment, the same credit has to be recovered from the vendor separately.
Start with the four cards
The Statements tab opens on four counts covering the selected period.
Awaiting statement means the vendor bills you and nothing has arrived this period. One of these mid-month is normal. Several at month end forms a chase list.
Awaiting review means the statement arrived and has lines that do not match a document you uploaded. These are the statements to work.
Ready to pay means the statement is reconciled with nothing outstanding, waiting for a person to sign it off.
Approved means it has been signed off.
If all four cards read zero and you know statements exist, the period filter is the usual cause rather than the data. It is set in the AP Hub period control.
Statements group by vendor, then by shop
Below the cards, statements are grouped by vendor. The group header shows the vendor, a count of statements needing attention, a received ratio such as 1/2 received, and the vendor's total across your shops.
Inside the group there is one row per shop. A vendor billing five of your locations sends five statements, and each one reconciles on its own. A row for a shop with nothing received yet reads as awaiting statement and shows no amount.
Each statement moves through three steps
Every received statement carries a small progress tracker.
Received means the document is in and has been read. Reconciled means every line on it has been tied to an invoice or credit memo you uploaded. Ready to pay means a person has signed it off.
If two of the three steps are still open, the statement is not ready to pay.
Review N lines is the work
Next to the tracker, a red Review N lines button gives the number of lines on that statement with no matching document. That number is the gap between what the vendor says you bought and what you can show a document for.
Clicking it lists the lines. There are four usual explanations.
The invoice was never uploaded. The most common by a wide margin. Find it in the vendor portal or the paperwork at the counter, upload it, and the line matches on the next reconciliation pass.
The credit memo was never uploaded. The same fix. An unclaimed credit is money the vendor is still holding.
The invoice was uploaded but did not match. Less common. The document is in WickedFile and something on it, such as the number, the date or the total, did not line up. It is fixable on the document itself.
The charge is not yours. Another shop's order, a duplicate bill, or a part returned without a credit. Finding it before payment is the point of the check.
Each case is covered in more detail in a statement line has no matching invoice.
Then check the parts, not only the paperwork
A fully reconciled statement can still contain a problem, because the two checks answer different questions.
Reconciled means every charge has a document behind it. It does not report on whether the parts on those documents were sold, credited, or accounted for at all. An invoice can match a statement line exactly and still contain a line coded Bought for RO Not Sold.
So before signing a vendor off, look at the part coding on its invoices as well. Green across the invoices means the spend is placed. Red lines mean parts on that statement are not yet accounted for, and the time to ask about them is before the payment goes out. The codes are explained in part codes.
A month-end order of work
Working invoices through the month keeps this short. On the day you pay:
Set the period to the month you are paying for.
Open the Statements tab and read the four cards.
Work every vendor showing Awaiting review, upload what is missing, and re-check.
Follow up with any vendor still showing Awaiting statement.
Check the part coding on the vendors you are about to pay.
Confirm the payment matched, so a paid statement is distinguishable from an unpaid one. See bank payments on a statement.
Sign off the statements that are clean.
A vendor that cannot be brought to a clean state leaves a specific list of lines and amounts, which is what a query to that vendor needs.
Related articles