Payment Order

← Back to Accounts

Overview

Payment Order – Business Overview

Payment Order is a key financial document in Dafater used to formally authorize and organize outgoing payments. It acts as an internal instruction that confirms who needs to be paid, how much, and for what reason before money is actually released. This helps businesses maintain financial control, accountability, and clear approval processes.

What Payment Order Is Used For

In day-to-day business operations, Payment Order is used to: - Approve payments to suppliers, employees, or other parties
- Consolidate one or more payment obligations into a single, controlled request
- Ensure payments are reviewed and authorized before execution
- Create a clear audit trail for outgoing funds

It serves as a bridge between approved expenses or obligations and the actual payment activity.

Prerequisites and Setup Requirements

Before using Payment Order, the business should ensure: - Suppliers, employees, or payees are already defined in Dafater
- Payment methods (such as bank transfer or cash) are clearly established
- Expenses, invoices, or other obligations have been reviewed and approved
- Internal roles and approval responsibilities are clearly assigned

Having these basics in place ensures Payment Orders are accurate and efficient.

Typical Workflow and Business Process Fit

A common business workflow using Payment Order looks like this:

  1. Payment Need Identified
    An invoice, salary, reimbursement, or other obligation becomes due.

  2. Payment Order Created
    Finance staff create a Payment Order specifying the payee, amount, and reason.

  3. Review and Approval
    The Payment Order is checked and approved by authorized personnel.

  4. Payment Execution
    Once approved, the payment is processed using the chosen payment method.

  5. Record and Tracking
    The Payment Order remains as a formal record for audits and reporting.

This process ensures payments are intentional, authorized, and traceable.

Key Business Scenarios Where Payment Order Is Essential

Payment Order is especially important in situations such as: - Paying suppliers after invoice approval
- Processing employee salaries, bonuses, or reimbursements
- Managing scheduled or recurring payments
- Controlling high-value or sensitive payments
- Supporting internal or external financial audits

It helps management maintain visibility and control over cash outflows.

Important Considerations for Users

When working with Payment Order, users should: - Verify amounts and payee details carefully before approval
- Ensure payments align with approved budgets and obligations
- Avoid creating Payment Orders without proper authorization
- Use clear descriptions to explain the purpose of each payment
- Monitor approved Payment Orders to ensure timely execution

Proper use of Payment Order strengthens financial discipline and reduces the risk of errors or unauthorized payments.

In summary, Payment Order is a vital financial control document in Dafater that helps businesses manage outgoing payments in an organized, transparent, and accountable way.

Basic Information

Fields

Field Name Label Type Required Options Description
naming_series Series Select ✓ PMO- Defines Dafater-generated payment order numbering sequence
company Company Link ✓ Company Company responsible for issuing the payment order in Dafater
paymentordertype Payment Order Type Select ✓ , Payment Request, Payment Entry Specifies whether payment is based on request or entry
party Supplier Link Supplier Supplier receiving payment through this payment order
posting_date Posting Date Date - Accounting date when payment order is recorded
company_bank Bank Link Bank Bank used by company to process the payment
companybankaccount Company Bank Account Link ✓ Bank Account Specific company bank account used for payment
account Account Data - Bank or ledger account reference for payment processing
references Payment Order Reference Table ✓ Payment Order Reference Linked payment requests or entries included in this order
amended_from Amended From Link Payment Order Original payment order being amended in Dafater

Child Tables

Payment Order Reference (Payment Order Reference)

Field Name Label Type Required Options Description
reference_doctype Type Link ✓ DocType Source document type linked to this payment order.
reference_name Name Dynamic Link ✓ reference_doctype Specific source document name associated with this payment order.
amount Amount Currency ✓ - Payment amount to be processed for the referenced document.
supplier Supplier Link Supplier Supplier receiving the payment under this payment order.
payment_request Payment Request Link Payment Request Related payment request initiating or approving this payment.
modeofpayment Mode of Payment Link Mode of Payment Chosen payment method for executing this payment order.
bank_account Bank Account Link ✓ Bank Account Bank account used to disburse funds for this payment.
account Account Link Account Ledger account impacted by this payment transaction.
payment_reference Payment Reference Data - External or internal reference number for tracking the payment.

Permissions

Role Read Write Create Delete Submit Cancel
Accounts User ✓ ✓ ✓ ✓ ✓ ✓
Accounts Manager ✓ ✓ ✓ ✓ ✓ ✓
DocType Relationship Module
Journal Entry Linked from Accounts
Payment Entry Linked from Accounts
Payment Request Linked from Accounts
Bank Links to Accounts
Bank Account Links to Accounts
Company Links to Setup
Payment Order Links to Accounts
Supplier Links to Buying