Renewal billing and payment workflow

Whether billing is processed using the cash or accrual accounting method, the initial renewal billing is processed in the same manner. Follow-up reminder notices can also be processed identically thru the Billing system, although optionally, accrual-based open invoices can also appear on Accounts Receivable statements. In addition, the recording of payments varies slightly for cash-based billing and accrual-based open invoices.

Process for Cash Basis

The following describes a typical scenario of the steps involved in the renewal billing and payment process using the cash accounting method:

(Recommended) Run a pre-billing report and review the results to verify the correct group will be billed.
Make the appropriate selections on the Process billing window to bill the desired group and print the renewal notices.
iMIS will update the Billed Thru date so that non-paid customers will not get billed again in subsequent billing runs intended for a different group of customers. It also will create non-accounting or memo only open items (in the Subscriptions file) for each customer and product billed.
If corrections are necessary, appropriate set up adjustments can be made and customers can be rebilled on either an individual or mass- billing basis.
Payments are recorded on the Enter and edit payments window. Payment totals are automatically applied to open items using appropriate priority ordering, although the line item application can be overridden.

iMIS updates the Paid Thru or expiration date to the new date, creates the cash-based accounting transactions, and creates billing history (activity) records for each billing product paid.

At appropriate age intervals, selections are made on the Process billing window to print reminder notices for those customers who have not paid.
After a grace period, delinquent customers (dues product billing only) can be suspended on a mass billing basis on the Manage expired members window so that they will no longer receive services.

If a suspended customer subsequently pays, they may become reinstated. It is possible to set up the system so that a reinstated customer will have an altered customer term from the one originally billed.

Process for Accrual Basis

The steps vary slightly for accrual-based products. The following is a typical workflow scenario for billings processed on an accrual basis:

(Recommended) Run a pre-billing report and review the results to verify the correct group will be billed.
Make the appropriate selections on the Process billing window (from Billing, select Process billing) to generate proposed billing data.

iMIS will create a batch of unposted transactions that should be reviewed and either finalized or deleted.

Print the batch detail and/or summary report and review the results.

If the results are incorrect, delete the batch, make appropriate setup adjustments, and try again.
If the results are correct, post the batch.
iMIS will update the Billed Thru date, and if opted for in system setup, also the Paid Thru date (not recommended). It also will create the accrual accounting entries to recognize income/deferred income, which in turn post to and create a summary invoice for each bill generated.

Make the appropriate selections on the Process billing window to generate the Initial Bills or Renewal Invoices.
As payments are received, they are recorded to the accrual invoice on the Enter and edit cash receipts window.

The accrual invoice is reflected as a summary amount on the Enter and edit cash receipts window . If multiple line items were billed in relationship to the invoice, the payment will be automatically applied to the corresponding line items. If a partial payment is entered, the payment will be applied on either a priority or proportional basis.

iMIS updates the Paid Thru or expiration date to the new date (if the system setup option is enabled), creates the transactions to record cash and reverse Accounts Receivable and creates billing history (activity) records for each billing product paid.

If adjustments are required, such as billed line items that need to be reversed (or increased), such adjustments should be made before the payment is made on the Enter and edit credit memos window or the Enter or edit debit memos window so that the payment does not get applied to reversed items or gets applied for the correct amount to otherwise adjusted items.
At appropriate age intervals, appropriate selections are made on the Process billing window to print reminder notices for those customers who have not paid. Optionally, the open invoices can simply be printed on the standard Accounts Receivable Statements.
After a grace period, reverse all remaining unpaid invoices through the Enter and edit credit memos window and manually change the customer's or subscription product's status to suspended or inactive.