When the Paid Pre-Invoice Amount Exceeds the Amount of a Regular Invoice

Deltek recommends that you not produce a regular draft or final invoice with an amount that is less than the fee amount of the paid pre-invoices to be applied to the regular invoice.

If you do, this will result in a regular invoice with a zero amount, with only a partial amount of the paid pre-invoice applied. The paid pre-invoice fee amount, only up to the gross fee amount of the regular invoice, will be applied.

Vision will not cancel a paid pre-invoice if the paid amount is greater than the amount applied to a regular invoice. As a result, the paid pre-invoice (its full fee amount) will be incorrectly applied to the next regular invoice that you create.

To correct this situation, you would have to complete the following additional steps before you create a regular invoice with the zero amount to remove the excess cash receipt payment from the paid pre-invoice.

1. Reverse the cash receipt for the pre-invoice by the fee amount that is in excess of the regular invoice amount.
2. Create another new pre-invoice that matches the amount of the payment in excess of the regular invoice amount.
3. Enter a cash receipt for the new pre-invoice.

The new pre-invoice and its payment can now be correctly applied to a future regular draft or final invoice.

Example:

1. A client paid a $30,000 pre-invoice ($30,000 is the total fee amount on the invoice).
2. The next regular draft or final invoice fee total is $12,000 — before accounting for pre-invoices.
3. Only $12,000 of the $30,000 paid pre-invoice will be applied to the regular invoice, so the final fee total for the regular draft or final invoice is zero.

   The Pre-Invoice section of the regular invoice shows that $12,000 is applied to the invoice.

   However, the $30,000 pre-invoice is not canceled because its total exceeds the regular invoice amount. Now, the full $30,000 will be incorrectly applied to the next regular invoice that you create.

After you completed steps 1–3 above, you would have to complete the following additional steps for the remaining $18,000 of paid pre-invoices to be applied correctly to a future regular draft or final invoice:

1. Reverse $18,000 from the cash receipt for the $30,000 pre-paid invoice.
2. Create another new pre-invoice for $18,000.
3. Apply a cash receipt for the $18,000 to the new pre-invoice.

The new pre-invoice and its payment can now be correctly applied to a future regular draft or final invoice.