what makes accounts payable hard to do? is it difficult?

Question

i have no experience.

Answer 1

Accounts payable is not difficult. I did it about 10 years ago for two years. You need to be an organized person with attention to detail.

a)Make sure that bills are within their usual limit, if not raise a red flag.
b)send them out in time to avoid late fees
c) pretty much like paying your own bills but there's usually money to pay all of them

Answer 2

Accounts payable is only somewhat different from a debt that one pays, such as a home morgtage. One knows on what date it is due and budgets one's money so that it is paid on time, in order to avoid late fees, a penalty.

Accounts payable is similar with these differences.
Other than past invoices, one only knows the date due when the invoice is received, as one cannot know when it was printed.

In many cases the invoice will have a due date to be paid in full "without any discount". Some invoices may have one due date, such as 30 days from the invoice date and by paying it on time, you may be able to deduct a discount of 2%,3%.4% 5%. This can vary by manufacturer. That same invoice may have one due date of 30 days whereby the discouint may be 5%, for example. It may also have a second due date, let's say 60 days, whereby the discount is 3% if paid on time. It would then state, Net 61. This means if one misses the 30 day due date, you cannot deduct 5%, but you still have another 30 days to pay, and deduct 3%. But if one misses 30 days, and misses 60 days and pays it in 61 days, one cannot deduct anything. This is like a penalty also.
Ones responsibility in Payables is to keep a file on all invoices and constantly be aware of those that are due and present them to the one who writes the checks, a few days before due date. It is then the other person's responsibility to decide to pay it, usually, always if it is 30 days, net. or decide to wait until the next due date. This will happen if Cash Flow is slow and can plan for the need of cash. Maybe there is an account that can be collected or needs to be.
Every day there will be some invoices due.

All companies have their own systems to do this, probably on a computer.
I will suggest to you that when you present invoices that are due to the proper person, only my suggestion, unless you are required, Always have a summary of invoices that are due a few days ahead, with date due and those that are net, and those that have a discount. Also have the totals, plus a column showing each discount and total. You can give this to the proper person every day. By showing them a summary ahead of time, this makes their job easier. They can see how much money they have to pay out in the next few days. You get a star for this.
Can you see the similarity to ones own bills?

For example, write down an invoice for $1,000.00, 30 days. 5%discount, 60 days, 3% discount, then 61 days net. No discount.

You know in 61 days one must pay $1,000.00 Calculate each discount and see how much will be saved on each due date with discount.

Now, think of a large company that may pay out, say, $50,000.00 on invoices every month. Calculate how much money is lost if no discounts are ever deducted.
Multiply that by any number and consider a year. This happens in businesses all the time.
Other duties are to verify the math on every invoice, and the cost per unit verified from their price list, regardless if it's generated on a computer. Also, one must maintain entries showing invoices that are paid, and file them.
Good luck!

Answer 3

Comming up with the money to pay.