AR Company Parameters
Company Tracker action: implementation-setup-ar-company-parameters
Milestone: Accounts Receivable / Module Setup (milestone_id=7, core_milestone_id=2)
Order: 1
Estimated duration: 0.25 hours
Typical owner: Controller
Purpose
Set Accounts Receivable company parameters so receivable defaults, retainage/tax behavior, invoice numbering, GL and CM interfaces, audit targets, and statement email settings are correct before live AR work.
Prerequisites
- HQ Company Setup done (Customer, Material, JC, EM, and Tax groups AR uses).
- GL Company Parameters ready for the GL company where AR, discount, tax, write-off, finance-charge, and revenue post.
- CM Accounts ready when cash receipts are in scope (CM Company and default CM Account before live receipts).
- At least one AR Receivable Type ready (or staged) for the Info-tab default (and Finance Charges default when FC is in scope).
Vista configuration article
See the detailed Vista guide:
Configuring AR Company Parameters
Field meanings and form steps live there. Do not restate them on this page.
Implementation guidance
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Decide before live: GL Company, CM Company + default CM Account, default Receivable Type, Allow Override of Receivable Type, retainage/tax flags, discount options, invoice numbering, and statement email content.
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Release Retainage to Current A/R: ON. That keeps the AR and retainage-receivable GL accounts aligned with what aging shows when retainage is released.
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Tax on retainage: usually calculate tax on retainage on invoices. Distribute tax on retainage and Tax on receipts are locality / client-dependent — confirm with accounting; do not invent a packaged default.
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Discounts: typically Allow discounts taken on receipts (not “allow discounts on invoices and receipts”).
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GL interfaces: maximum detail (Detail / Line as available) so AR posts with the most visibility in GL.
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Default CM Account: set to the client’s main bank account. Users can still change the CM account during Cash Receipts posting.
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Finance charges: typically skip / leave out of Phase 1 Module Setup unless the client explicitly wants FC.
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Statement email settings: fill when the client will use statement delivery; otherwise leave for later.
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Audit options: ON for the AR targets this company needs (same audit-on policy as other module company-parameter forms).
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Attach batch reports when the company tracks posted batches that way (same spirit as GL/AP/CM batch-report policy).
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CM Company is sticky while open Cash Receipts or Misc Cash Receipts batches exist; set it before live receipt batches, not mid-stream.
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Incomplete HQ/GL/CM links can look fine during staged setup; finish them before live AR posting.
Tips and gotchas
- Release retainage to Current A/R ON so aging and GL stay in sync.
- Prefer discounts-taken-on-receipts; leave invoice+receipts discounting off unless Controller requires it.
- GL interfaces: max detail. Default CM = main bank (overridable on receipt). Skip finance charges unless requested. Email settings only if statement delivery is in use.
- Tax-on-retainage / distribute / tax-on-receipts: invoice tax-on-retainage is the common one; the others are locality calls.
Done when
- GL and CM companies (and default CM Account when receipts are in scope) are set.
- Default receivable type slot can be filled after types exist.
- Release Retainage to Current A/R is ON; tax-on-retainage / distribute / tax-on-receipts match the accepted locality process; discounts taken on receipts matches policy; GL interfaces at max detail; default CM = main bank; finance charges deferred unless requested; statement email filled only if delivery is in scope.
- Audit (and batch-report) options match implementation policy.