Once you have determined an agency (like DHS, DFACS, etc.) will not be paying the full amount owed, you’ll use the Agency Payment Posting screen to enter an adjustment, clearing the balance due on that item.

If the balance is not being transferred to the parent, you may adjust it as an Agency Credit, Agency Write Off or create your own Agency Adjustment Code.  An Agency Credit is a good choice for correcting a mistake, such as overcharging the agency.  An Agency Write Off may be better to indicate that portion of a legitimate charge you do not expect to collect.

In either case, the effect is the same; the amount owed to you (your Account Receivable) decreases and revenue decreases.  You can point the Credit Descriptions to different GL numbers if desired.  See: Charge/Credit Descriptions
ag-adjust-codes

image_pdfimage_print