Units are responsible for the preparation and issuance of invoices to external customers using Western Financials (Billing Module). The unit's account is credited at the time the invoice is issued and Western Financials (Accounts Receivable Module) tracks outstanding invoices. When payment is received in Accounts Receivable, it is processed against the invoice.
Extending credit privileges to customers has been delegated to units under MAPP 2.3 Accounts Receivable
Units are responsible for preparing and issuing official invoices to external customers for goods and services supplied. Units can request new customer set up or update existing customer address and contact information by completing - Billing & Accounts Receivable Customer Request
Disputes over the amount or content of an invoice will be referred to the issuing unit for negotiation with the customer. Invoices that are cancelled (full or partial) will be matched to the invoice and cleared from the system by Accounts Receivable - Invoice Cancellation & Write-off Request
The Billing User Guide
and the Accounts Receivable Inquiries User Guide
are now available on the Training and Reference Material web page in the Treasury & Investments section. Training and Reference Material
Accounts Receivable issues invoices on a monthly basis to external customers to recover salaries and benefits for individuals who are funded between the University and an external source. Salary and benefits can be split between the home department and a recoverable account.
Recoverable accounts have been established for use when there are many individuals invoiced to one external customer. For information on established external customers, contact Accounts Receivable at email@example.com
Collection of general accounts receivable is ultimately the responsibility of the unit providing the goods or services and issuing the invoice - MAPP 2.3 Accounts Receivable
To assist with the management of outstanding invoices, units can run various Accounts Receivable reports through Western Financials.
Accounts Receivable sends reminder notices to customers to assist with the collection of outstanding invoices. Reminder notices:
- are sent to customers when invoices are 60 days overdue;
- continue until the invoice is collected; and
- show all invoices outstanding for that customer (including finance charges at 1.5% per month for items over 30 days outstanding).
When an invoice is 120 days overdue, Accounts Receivable sends a report to the issuing unit. The report is generated several times during the year. It is at this time that the unit must decide if the invoice is still valid or if it should be written off as uncollectable. If it is still valid, the unit should contact the customer to arrange payment. To request the cancellation or write off of an existing invoice, complete an Invoice Cancellation & Write-off Request
Uncollectable invoices will be charged back to the issuing unit. Invoices greater than $100.00 can be sent to an external collection agency - contact Accounts Receivable for assistance (firstname.lastname@example.org
, Ext. 83870). Any amounts collected will be returned to the issuing unit net of service fees charged by the collection agency.
The standard payment term is "On Receipt." Payment terms can be changed prior to issuing an invoice - alternate choices include "2%, Net 10," or "30 Days." Refer to the reference material provided during your Billing & Accounts Receivable classroom training session for detailed instructions.
Invoices for Canadian customers should be issed in CAD funds. Invoices for US and foreign customers should be issued in USD funds. If you have a requirement to issue an invoice in any other currency, contact Accounts Receivable (email@example.com
, Ext 83870).
Payments can be made via cheque, cash, Visa and MasterCard. Electronic Funds Transfers and wire transfers from Canadian, US and foreign customers are also accepted. More information is available under Payment Options on the Customers of Western
Visa and MasterCard secure on-line payments are now accepted. For instructions, please visit the Treasury & Investments Section on the Training and Reference Material
Units may be required to charge Harmonized Sales Tax (HST) for goods and services provided in Ontario. The current tax rate is 13% (5% GST and 8% Provincial).
If you are invoicing other provinces for good and services, you may need to charge the applicable provincial HST or GST.
Refer to the University HST web page
for further information. If you have questions e-mail firstname.lastname@example.org
Some units do not have the need to issue invoices on a regular basis. For one-time invoices, units may use an Invoice Request
Advantages of using the form include:
- Accounts Receivable creates an official invoice on behalf of the unit;
- revenue is recognized as soon as the invoice is created;
- customers receive an official invoice from Western;
- Accounts Receivable handles the cash and sends reminder notices to customers until the invoice is paid; and
- units will be contacted if there is an issue with collection.
Western invoices should be printed on official, white-perforated invoice paper - this paper can be obtained by contacting Accounts Receivable (email@example.com
, Ext 83870).