How Suggested Payments Work

Modified on Fri, 28 Mar at 9:48 AM

The Suggested Payments process is designed to help you efficiently manage bulk payments to suppliers using either cheque or BACS. Instead of manually reviewing individual invoices and initiating separate transactions, this feature provides a consolidated view of what needs to be paid and streamlines the payment process.

This is especially valuable for finance teams aiming to:

Save time by automating routine payment runs.
Reduce the risk of human error in payment handling.
Ensure timely settlement of supplier accounts.

In BACS payment scenarios, the system generates a payment file that can be uploaded directly into your online banking platform eliminating the need to re-enter data manually. This functionality supports integration with all major UK banking providers.

Need help setting this up? Contact us for assistance in configuring your system for BACS compatibility.

Step 1: Preparing Supplier Accounts for Suggested Payments

For a supplier to appear in the Suggested Payments report, you must first ensure their account is correctly configured:

Mandatory Payment Terms

Ensure that payment terms are defined on the supplier account. Without this, the system won’t be able to assess due invoices.

BACS-Specific Configuration (Payment Details tab)

If the supplier is paid via BACS, configure the fields as follows:

Field	Value/Example
Payment Priority	`Priority 1` (or as per your rules)
Bank Name	e.g. `NatWest`
Sort Code	Supplier’s sort code (e.g. `60-00-01`)
Account Number	Supplier’s bank account number
Account Type	`1` (standard account)
BACS Payment Reference	A meaningful reference (e.g. `INV12345`)

? Important: If the Payment by DD box is ticked on the Payment Details tab, the supplier will not be included in Suggested Payments.

Step 2: Running the Suggested Payment Report

To view suppliers due for payment:

Go to:
Accounts → Purchase Ledger → Suggested Payments
The report will list all suppliers who:
- Have outstanding invoices within their payment terms.
- Are not flagged for Direct Debit.
- Have the correct payment method set (BACS or cheque).
Review and approve payments for processing.

This report provides a centralised, actionable list of payment candidates, reducing admin time and making payment runs more seamless.

Common Scenarios Where Suggested Payments Help

Month-End Payment Runs: Avoid last-minute invoice checks and manual BACS uploads.
Large Supplier Base: Manage hundreds of payees without increased workload.
BACS Automation: Integrate seamlessly with online banking tools to streamline payments.