All 21 Payment Runs questions
More in Payment Runs
What are common payment methods used in AP? What is a remittance advice? What is the journal entry when invoices are paid in a payment run? What is the difference between a manual payment and a scheduled payment run? What is a payment file and how is it sent to the bank securely? How are invoices selected and prioritized in a payment run? How does an early-payment discount decision get evaluated? What controls should surround a payment run to prevent errors and fraud? What is a payment proposal (pre-run) and how is it reviewed? How are supplier credits and deductions applied within a payment run?
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Accounts Payable & Receivable › Payment Runs

What is a payment run?

Beginner

Answer

A payment run (payment batch) is the scheduled process of selecting due approved invoices and paying them together, usually via bank transfer/ACH/BACS. It groups payments by due date and vendor, applies credits, generates the payment file and remittances, and posts the clearing of accounts payable in one controlled cycle.
Real-world example Every Thursday AP runs a payment batch selecting all approved invoices due within the next 7 days.

Common follow-ups: How often are payment runs scheduled? | What selects invoices into a run?

Invoice Processing Vendor Management Payment Runs
All 21 Payment Runs questions