Client Allocations Overview
The SapphireOne Allocations Inquiry is a feature within Accounts Receivable’s that is designed to focus on Client Allocations. Its primary purpose is to facilitate the allocation of invoices for Open Item Clients by matching them with their corresponding unallocated transactions. The primary objective of this inquiry is to ensure the accurate matching of Client Receipts with the appropriate Client Invoices.
One of the notable advantages of the SapphireOne Allocations Inquiry is its versatility. Users can easily access this tool from any Accounts Transaction Inquiry screen, allowing them to select and work with specific transactions. By utilising the Allocations tool, users have the flexibility to allocate, un-allocate, or reallocate un-posted transactions as needed. This streamlined approach simplifies the allocation process, making it more efficient and user-friendly.
The allocations function will present the following transactions, allowing for allocations to be made:
Client Invoice a (CI), Client Receipt a (CR) and a Client Journal a (CJ).
More Options for Allocations
The Allocation Tool in SapphireOne offers a comprehensive set of features that provide users with flexibility and control over the allocation process. Let’s delve into the key options and capabilities provided by this tool:
- Allocation Criteria – The feature enables users to automate the allocation process based on various criteria. This could include factors such as transaction dates (oldest or newest), specific amounts or percentages, or reference numbers. This feature enables tailored allocation strategies to meet specific requirements.
- Partial Allocations – Users can allocate partial amounts against Invoices or other open items. This is particularly useful when there are multiple open items, and the total allocation amount needs to be divided among them. This feature enhances precision in managing complex allocation scenarios.
- Multiple Allocations – This feature streamlines the process of allocating a single transaction to multiple open items. This feature becomes handy when a single receipt needs to be distributed among various invoices or transactions. It simplifies the process of dealing with diverse allocation needs.
- Un-allocation – If a transaction has been allocated incorrectly or if a payment needs to be reversed, the tool allows users to un-allocate transactions that have not been posted yet. This functionality empowers users to fully or partially undo allocations, depending on the situation at hand.
- Reallocation – In cases where a receipt was allocated incorrectly and needs to be assigned to a different open item, the tool offers a reallocation option. Users can either reallocate the entire amount or a partial amount as needed. This feature ensures accuracy in allocation even after initial assignments.
It’s important to highlight that any adjustments made to allocations within a transaction, as detailed earlier, are exclusively permissible for transactions that have not yet been posted.
Overall, the Allocation function in SapphireOne is designed to offer users a robust set of tools for efficiently and accurately managing allocation processes. These features are tailored to address a range of allocation scenarios, ensuring that users have the capabilities to handle complex financial transactions with precision and ease.
Master Defaults for Allocations
It is crucial for users to be aware of the Master Defaults checkbox that governs the allocation functionality in SapphireOne for both Clients and Vendors. This checkbox is located in the Data Entry area of the System page within Master Defaults. It is a specific checkbox labeled as 
Allocation.
When the Allocation checkbox is ticked, SapphireOne will automatically allocate transactions for both Clients and Vendors. Conversely, if the checkbox remains unticked, SapphireOne will not automatically allocate transactions. In such cases, users will need to manually allocate transactions using this dedicated Allocation Inquiry Tool.
It is important to understand that the Allocation checkbox functions as a Master Default, which implies that it applies to ALL Clients and ALL Vendors across the entire data file.
To summarise, the Allocation checkbox within Master Defaults plays a pivotal role in determining how SapphireOne handles the allocation functionality for Clients and Vendors. Selecting the checkbox triggers automatic transaction allocation, whereas leaving it un-selected requires users to manually allocate transactions using the Allocation Tool.
Allocation Procedures
When a transaction is created and the 
green tick is selected, SapphireOne will proceed in one of two ways, depending on the user’s selection in the master defaults:
- Checkbox Not Selected – SapphireOne recognises that no allocation should be made for a new Client-based transaction. Upon selecting the tick, the transaction is saved instantly without any allocations. To allocate the transaction and match it with existing transactions, users will need to utilise this Allocation Inquiry function at a later time. This allocation function then allows for the selection of allocations for already existing transactions, ensuring accurate assignment and consolidation of transactions.
- Checkbox Selected – For this option, the user follows a straightforward process for transactions requiring allocations. After creating the transaction, they select the tick as usual. Immediately, SapphireOne displays this Allocation Screen automatically, allowing the user to select allocations for the transaction. Once the allocations have been chosen, the user must select the tick for a second time to process the selected allocations specifically for the current transaction.
Allocation Functionality
The Allocation Inquiry screen is similar to the Transaction Inquiry screen, but it only displays the following items:
Current Records
Within the Allocation inquiry screen, current records will be visible until they are fully allocated, meaning their allocated amount reaches 100%. Even if the end of the month has not been processed, once a record is completely allocated and still within the current period, it will be automatically removed from the allocation inquiry function and moved into history. This ensures that users can focus on the remaining open transactions that require allocation, improving efficiency and clarity in managing the allocation process.
Amending the Allocation
In the Allocation screen, users have the flexibility to make amendments to allocations as long as the record remains unposted. This means that at any time, users can choose to un-allocate and re-allocate within the Allocation screen. They have the ability to perform partial allocations, allocating specific fixed amounts or percentages to any transaction based on their requirements. This level of control allows for fine-tuning and adjustments in the allocation process, ensuring accuracy and aligning allocations with the desired distribution.
Deleting An Allocated Transaction
To delete an allocated transaction, whether it is fully or partially allocated, users should begin by identifying the transaction within the allocation inquiry screen and un-allocate it, provided it is not yet posted. Once the allocation percentage reaches 0% or the transaction is completely un-allocated, users can navigate back to the normal transaction inquiry screen and proceed with deleting the transaction according to the standard deletion process.
Incomplete Allocations
Transactions in SapphireOne with incomplete allocations will remain visible within the allocation screen until they reach 100% allocation. However, once a transaction has been fully allocated, it will no longer appear in the allocation screen. Instead, it will be moved into historical records.
Retrieved from History
To access these historical records, users can navigate to the History menu selecting the Transactions option. From there, they can select the desired record and utilise the Retrieve to Current tool. This tool allows users to bring the historical record back into the current view, even though it technically resides in the historical records. By utilising this feature, users can access and work with specific historical records as if they were in the current state, providing flexibility and ease of use.
Reverse Transaction Tool
The SapphireOne transaction inquiry screen features a Sapphire tool called Reverse Transaction, which is specifically designed for reversing posted transactions. This tool is utilised when there is a need to reverse a transaction and undo its effects.
When the Reverse Transaction tool is executed on a transaction, several actions are automatically performed. First, any allocated percentage for the transaction is unallocated and set to 0% allocated. Additionally, the tool un-allocates and then re-allocates the transaction to the reversal.
For instance, if a Client Receipt has been posted and requires reversal, the Reverse Transaction tool will generate a Client Journal and allocate the Client Receipt to the Client Journal accordingly. This ensures that the necessary adjustments are made to accurately reverse the original transaction and reflect the changes in the system.
The Reverse Transaction tool in SapphireOne streamlines the process of reversing transactions by automatically un-allocating and re-allocating them as needed. It ensures that the appropriate entries are made to maintain accurate records and accounting practices.
Discounts
Normally, when a Prompt Payment Discount is selected on an invoice, the SapphireOne will automatically apply the discount only if payment is made in full within the specified time frame.
If the payment becomes overdue, the system will not apply the discount, and you will need to select the checkbox on the Allocation Amount screen above to override the system and apply the discount.
The full discount will then be taken and allocated to the record concerned. If there is a Credit Memo, the invoice should be recreated for the correct amount, and the discount would be applied accordingly.
Items to Note when applying a discount
- Allocation Lines area Discount – When selecting the Take Discount checkbox in the Allocation Lines area, it will always override the Prompt Payment Discount settings established in the invoice for the currently selected/highlighted Invoice only.
- Activity area Discount – In contrast, if you choose to select the checkbox in the Activity area, SapphireOne will apply the Discount to all invoices processed during this allocation procedure. This provides the flexibility to apply the discount uniformly across multiple invoices at the same time.
- Cautionary Warning – However, it is important to exercise caution when overriding the discounts. In situations where a transaction is partially allocated, SapphireOne will apply the discount to the entire transaction, which may not align with the user’s intentions or desired outcome. Therefore, users should carefully review the allocation details and consider the impact of applying the discount to the entire transaction when a partial allocation is involved.
Allocation Screen Details
The main purpose of the Allocations Inquiry screen is to allocate transactions for Open Item Clients against their respective transactions that have not yet had a complete Allocation made against them, e.g. a Receipt against the appropriate Client Invoice.
By default, when this Allocation function is selected, any transactions for all Clients that SapphireOne determines have not been fully allocated will be displayed as seen in the screenshot below.
Dictation and Speech to Text Overview
SapphireOne’s implementation of both Dictation (MacOS) and Speech to Text (Windows) is a game changer for data entry. Any data entry field you can type into using a keyboard can use this feature.
You can also use this functionality on all inquiry screens within SapphireOne. For example, the user is in a Contact within a Client. They may have made a phone call to that particular client using the Softphone technology. Consequently, this will automatically date and time stamp both the contact and the phone number you called.
As soon as the call is completed, the user has the ability to use Speech to Text (Windows) or Dictation (MacOS). They can dictate into the memo field of the CRM contact, adding as much description as they require.
Dictation and Speech to Text Procedure
This functionality applies across every single Data Entry screen. For example, the SapphireOne user is entering a Vendor Invoice (VI). Additionally, you may want to add a memo within the Vendor Invoice (VI). The user can utilise the tool and simply dictate the memo.
Another example is if the user wants to add additional lines to the General Ledger account, within each General Ledger account. When the user is completing data entry using a General Ledger, there’s always a unique memo field for each GL account line.
The user can then utilise this feature to quickly add the information they need to add. Alternatively, you may have an interview with an employee. After the interview process is completed, the user can then make notes about the employee.
Speech to Text or Dictation is an extremely powerful tool. It is something that we at SapphireOne, as well as our clients, utilise daily. It is a massive time saver.
Finding Allocated Transactions
To check a transaction with an allocation or to un-allocate an un-posted transaction in SapphireOne, users need to instruct the system to display all transactions with allocations. There are two ways to accomplish this:
- Keyboard – Using the Keyboard Shortcut: Press the Command+F (or Ctrl+F for Windows) keyboard shortcut to bring up the ‘find’ pop-up. By default, SapphireOne will display the find pop-up with the ‘All Records’ display option already selected. Users can then manually search for the desired transaction within this view.
- Options Menu – Alternatively, users can select the Options menu on the main toolbar and then choose the Find option. This will open the find pop-up, allowing users to conduct a search for transactions.
In both cases, users will have the option to refine the search based on their requirements. They can choose to search for transactions that are Allocated Less Than 100% or opt for a search that encompasses all transactions from A onwards.
By utilising these search methods, users can easily locate transactions with allocations, review the allocation details, and perform necessary actions such as un-allocating un-posted transactions within SapphireOne.
Deleting Transactions with Allocations:
- If a transaction has allocations made against it, SapphireOne does not allow for its deletion. In such cases, users can utilize the un-allocate tool to remove the allocations from the transaction, but only if the transaction remains un-posted. Detailed documentation on this procedure can be found below.
- When a transaction list is displayed on the screen, users can access the Tools function, which provides an option to allocate either 100% or 0% to the currently highlighted transaction. These allocation or un-allocation actions can be performed on both posted and un-posted transactions, giving users flexibility in managing the allocation status as needed.
Allocating a Transaction
With the allocation function open and displaying the current transactions that are unallocated select one of these transactions and follow these steps:
- Start by highlighting the desired transaction from the list of transactions.
- Next, navigate to the main toolbar and click on the center of the tools icon or select the arrow located just to the right of the Tools icon. (Remember selecting the tools icon itself will execute the first item on the list of tools automatically).
- If the drop down arrow is selected, from the drop down menu that appears, select the first option, which is Allocation.
- By selecting the Either of the above, the Allocation Screen will appear as a pop-up, allowing you to perform the allocation process.
With the Allocation Screen now open, you can proceed to allocate the transaction by selecting the appropriate transactions. This screen provides a user-friendly interface to facilitate the allocation process and ensure accurate distribution of transaction amounts.
Allocations Screen
The Allocations Screen allows for the allocation of selected receipts to any other transaction for the selected Client.
To allocate amounts, you have two options:
- Manually – Firstly, manually select each line in turn and allocate them by clicking any anywhere in the line with the mouse.
- Automatically – Alternatively, select the Apply To drop-down menu option from the Activity area. SapphireOne will then automatically allocate based on the selection as made from the drop down menu accordingly.
Sorting Lines and Selecting Invoices:
By default, SapphireOne sorts the lines in the display by date. However, it’s important for users to be aware that if they choose to re-sort the list for any reason, selecting the Apply To drop-down menu and opting for either the Bottom Up or Top Down option may not yield the intended results.
To ensure accurate selection, it is recommended that users carefully choose the invoices to be paid on a transaction-by-transaction basis. This approach guarantees the selection of the correct invoices and ensures that the allocation process aligns with the desired outcomes. By manually selecting the invoices, users can maintain control and accuracy in the allocation process, avoiding any unintended errors or discrepancies.
The Allocations Screen has six areas:
Transaction:
This area contains basic details about the Client that the Allocation is being made for. The Date and the Amount to be allocated which is populated from the amount as entered into the Client Receipt .
Position:
This area displays the Remainder that is still available for Allocations and the Total Allocated so far.
Allocation Lines:
This area displays the invoices that are available for allocation. The drop-down menu to the right-hand end of the Allocations Lines heading 
, has two options. By default, it is set at All, which displays all previously applied discounts. If the second option 
, is selected only the current discounts will be displayed.
Activity:
This section contains several items listed below, which are elaborated on in more detail next in this article.
- Drop Down Menus – Four drop-down menus, Apply To, Look At, Display and Actions.
- Two Buttons – Expand and Adjust %
- A checkbox – This checkbox tells SapphireOne to Take the Maximum Discount.
Line Summary:
This section provides a summarized view of the presently highlighted or selected line, specifically for viewing purposes. One notable element within this area is the FX field, which showcases the FX rate applied to the currently highlighted line or Client Invoice when FX (foreign exchange) is active in the data file. In the case of local transactions, this field will indicate “1,” representing a one-to-one exchange rate.
Activity area details:
‘Apply To’ menu options
The Apply To menu, located in the Activity Area of the Allocations screen, offers various options to manage the allocation process. The available options on the ‘Apply To’ menu include:
| Bottom Up: | This option spreads the transaction to be allocated from the bottom transaction upwards, fully allocating until there is no more to allocate. |
| Top Down: | This option spreads the transaction to be allocated from the top transaction downwards, fully allocating until there is no more to allocate. |
| Same Amount: | This option searches for transactions of the same Value. |
| Same Internal Reference: | This option searches for the transaction with the same Internal Reference number. |
| Run Nº: | This option allows you to search for transactions by the Run Nº. On selection a dialog screen will then ask you to enter the run number. |
‘Look At’ menu options
The Look At menu is the second drop-down menu option in the Activity Area of the Allocations screen. This option enables you to look at the currently selected transaction. The options on the ‘Look At’ menu are as follows:
| Transaction: | This option allows you to look at the Client Invoice (CI) of the currently selected Transaction. |
| Source: | This option allows you to look at the Sales Client Invoice (SCI) of the currently selected Transaction. |
Display’ drop down menu options:
The Display menu is the third drop-down menu option in the Activity Area of the Allocations screen. This menu gives you the ability to display records based on pre-defined criteria.
| Still to be Allocated: | This option will display only Transactions that still have Allocations to be made to them. |
| Run Nº: | This option allows you to search for and display Transactions by the Run Number. A dialog screen will allow you to enter the run number. |
| Remove Hold Records: | This option completely eliminates transactions flagged with the Hold H status from the list. It’s important to note that this action doesn’t remove the hold status from the invoices; it solely eliminates them from the list. |
| Load To Top/O: | This option brings up the Query editor so that you may perform a detailed search and find the transaction or transactions that you are looking for. |
‘Actions’ Menu Options
The Actions menu is the fourth drop-down menu option in the Activity Area of the Allocations screen. This menu allows you to perform certain actions. The options on the ‘Actions’ menu are as follows:
| Reload: | This option resets the window to its initial state when it was first opened. |
| Split: | This option allows you to split a transaction into two parts and is usually used for cases such as retention’s. |
| Retrieve: | This option allows a transaction to be brought back to the current list even if it has been 100% allocated and transferred to History. |
| Hold/Release: | This option allows transactions to be placed on hold or released from hold. Note that this action does change the transaction status. |
Receipt Summary
The Receipt Summary area at the bottom of the screen displays details of the Client Receipt that is currently being allocated to. and and any Discounts that have been obliged to this allocation.
The Client Receipt Summary provides the following details:
- Receipt Date – The date when the client receipt was recorded or received.
- Run Number – A unique identifier or reference number assigned to the receipt run.
- Sequence Number – A sequential number assigned to each receipt within the run.
- Financial Details – These are as follows.
- Amount – The total amount received from the client, excluding any applicable taxes or fees.
- Tax – The tax amount associated with the Receipt, if applicable.
- Total – The overall total amount of the Receipt, including any taxes or fees.
These details provide a concise summary of the client receipt, including key information such as the date, run number, sequence number, and financial breakdown.
Client Discount Summary
The discount details for the allocation are listed as follows:
- Discount – This field displays the amount of the discount in this transaction.
- Date – The date when the discount was applied.
- % – The percentage of the discount applied.
- Amount – The amount of the discount.
- Applied – Indicates whether the discount has been applied to the transaction.
- FX – The foreign exchange rate applied to the discount, if foreign exchange functionality is active in the data file.
- Amount – The total amount of the discount, excluding any applicable taxes or fees.
- Tax – The tax amount associated with the discount, if applicable.
- Total – The overall total amount of the discount, including any taxes or fees.
These details provide the user with a comprehensive breakdown of any discounts applied within the allocation. Users can easily identify the discount date, percentage or amount, whether it has been applied, as well as the financial breakdown of the discount, including amounts excluding tax, tax, and total including tax.
How to perform allocation adjustments
Distributing Allocation Amounts
To distribute allocation amounts, begin by selecting and highlighting the desired line. Then follow one of these two options:
- Full Allocation- Once the line is initially selected, SapphireOne will fully allocate the invoice amount immediately.
- Partial Allocation – Select/highlight the transaction you wish to allocate, Then follow the procedure documented immediately below.
- Once the line is selected and highlighted, the full amount for the transaction will be immediately allocated.
- To use the Allocation dialog screen displayed to the left, select the transaction you wish to allocate. Then, right-click using either a Mac or a PC, or select the button to display the Allocation Dialog pop-up as seen on the left.
From here, you can type in the amount you are allocating.
In both of the cases mentioned above, if the remaining balance is less than the amount to be allocated, SapphireOne ensures that only the remaining balance is allocated to the transaction. This prevents the allocation from exceeding the original transaction amount.
For example, if there is an outstanding balance on a transaction and a partial allocation is made, the system will allocate the remaining balance without exceeding that amount. This ensures that the allocation remains within the limits of the original transaction and maintains accuracy in the allocation process.
By enforcing this rule, SapphireOne helps prevent any discrepancies or errors that could arise from allocating more than the remaining balance of a transaction. It ensures that allocations are performed correctly and in accordance with the available funds or balances.
Note that in both cases, if the remaining balance is less than the amount to be allocated, only the remaining balance will be allocated to the transaction.
Applying Client discounts when they are over their Prompt Payment Terms
This guide explains how to apply allocation discounts in SapphireOne accounting software When the client has exceeded their prompt payment terms.
- Normal Payments – SapphireOne applies prompt payment discounts automatically on an Invoice only if the payment is made in full within the specified time frame.
- Overdue Payments – If the payment is overdue, SapphireOne won’t automatically apply the discount. You will need to select the
checkbox on the Allocation popup to override SapphireOne and apply the Prompt Payment discount for the client . - Result – Once you select the checkbox, SapphireOne will take the full discount and allocate it to the record concerned.
- Client Credit – If there is a Client Credit, you should recreate the invoice for the correct amount and apply the discount.
The user should exercise caution when overriding discounts for the Following reasons.
In the Allocation Lines area, the popup will always override the Prompt Payment Discount settings established for the Client for the currently selected invoice only .
On the other hand, selecting the 
button in the Activity area will Display the exact same Allocation pop up but it will apply the discount to all of the invoices processed during this allocation procedure.
Furthermore, when a transaction is partially allocated, SapphireOne will apply the discount to the entire invoices in the transaction which may not be desirable.
Splitting a Transaction
The Split Transaction option is part of the Actions menu within the Activity area of the Allocations screens. Selecting the Split option allows the user to create retained records for retention. The transaction will be split into two parts, with the second part being a retention record. The split can be entered as a dollar amount or a percentage.
Creating an Allocations Inquiry Report
- Allocations Inquiry – To create an Allocations Inquiry report, the Client Allocations Inquiry screen must first be displayed.
- Select Print – Next, select the Print icon
on the main toolbar to bring up the print dialog pop-up screen. - Print Options – You will then be able to select options to print an Allocations Report. This enables you to print different levels of reports showing the linkage of records to the payment. The Report Type Options are listed below.
Report Type Options
To create an Allocations Inquiry report, you need to first display the Client Allocations Inquiry screen. Once you have done that, you can select the Print icon to bring up the print dialog pop-up screen. From here, you can choose the options to print an Allocations Report, which enables you to print different levels of reports showing the linkage of records to the payment.
There are several Report Type options available to choose from, including:
| Transaction | This report shows the linked transactions allocated to the payment. It provides basic details about the transactions, such as the transaction type, date, and amount. |
| General Ledger | This report shows the linked General Ledger allocations, providing more detail about the accounts involved in the transaction. |
| Invoices | This report shows the linked invoices being paid, including basic details about the invoices such as the invoice number, date, and amount. |
| Invoice Lines | This report shows the allocations made to the individual line items on each invoice. It provides more detailed information about the specific items being paid. |
| Wide Invoice Lines | This report shows the invoice line detail and project details. It provides the most comprehensive information about the allocations made to each invoice, including details about any projects associated with the transaction. |
By choosing the appropriate Report Type option, you can customise your Allocations Inquiry report to display the specific information you require for your organisation.
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