Paymentterm

Last updated: 2026-03-29

Overview

This module allows you to define standardized payment rules for your business. Payment terms dictate how much time a customer has to pay an invoice, or how much time you have to pay a supplier bill.

When Do I Use This?

  • When configuring the system for the first time to match your company's accounting rules.
  • When setting up a new customer or vendor profile and you need to assign them a specific billing timeframe.
  • When offering a special extended payment period (like "Net 60") to a trusted client.

How To Use

Creating a New Payment Term

  1. Go to the Payment Terms screen from the financial settings menu.
  2. Click + New.
  3. Enter a clear Name (e.g., "Net 30").
  4. Type in the number of Days Until Due (e.g., "30").
  5. Ensure the Active box is checked.
  6. Click Save.

Deactivating an Old Term

If you no longer want staff to use a specific payment term, simply open the record, uncheck the Active box, and save. It will be hidden from future dropdown lists but will keep your past invoices intact.

Field Descriptions

Field Name Description
Name The title of the payment term that staff will see and select on invoices (e.g., "Due on Receipt", "Net 15", "Net 30").
Days Until Due The exact number of days a customer or vendor has to pay. For example, enter "15" for 15 days. Enter "0" if payment is expected immediately.
Active Controls whether this payment term can be selected on new transactions. Keep it checked to use it.
Tip: Keep your payment term names standardized and easy to understand. "Net 30" is an industry standard meaning the net amount is due in exactly 30 days. Use "COD" (Cash on Delivery) and set the days to 0 for upfront payments.
↑ Up to