Commitment reporting (POP settings)

Use these settings to choose how values are calculated in the Excel reports that include your committed costs; i.e. the value of purchase orders you've raised and not yet invoiced. These reports are Nominal Budgets, Nominal Outturn, and Nominal Outturn by Report Category.

You can choose if your committed expenditure should include goods received (for orders) and goods despatched (for returns) for which you have not yet entered a purchase invoice. Goods are only be included as actual expenditure when you enter the purchase invoice.

Open: Purchase Order Processing > POP Utilities > System Set Up > POP Settings | Commitment Reporting.

  • If Commitments include goods received and goods despatched is selected, the value of orders and returns are included in your committed costs when the goods are despatched or received, as well as when the orders or returns are entered. Once orders and returns are invoiced or credited, the value is included in your actual expenditure.

    When calculating the committed expenditure, the value of the return lines are subtracted.

  • If Commitments include goods received and goods despatched is not selected, the value of purchase orders and returns is only included when order and returns are entered but not included once the orders and returns are despatched or received. Once orders and returns are invoiced or credited, the value is included in your actual expenditure.

You only need to disable this setting when you have set up purchase order accruals to account for goods received but not yet invoiced. This is because the accrual journal postings will already be included as actual expenditure. Therefore, if you enabled this setting, the same amounts would be duplicated as committed expenditure.

Reports including commitments

The following reports include your committed costs, i.e. any purchase orders you've raised but have not yet invoiced.

Report Description
Nominal Budgets

This report shows you the position of your nominal account budgets for each accounting period, taking into account actual and committed expenditure.

For each nominal account in each period, you can see your account budget, actual expenditure, committed expenditure, and the budget variance.

Nominal Outturn

This report shows your budget position for each nominal account taking into consideration any commitments.

For each nominal account, you can see the annual budget, budget to date, actual expenditure, committed expenditure, budget variance, and budget remaining.

Nominal Outturn by Report Category

This report shows your budget position for each report category taking into consideration any commitments.

For each report category, you can see the annual budget, budget to date, actual expenditure, committed expenditure, budget variance, and budget remaining.

The budget values are calculated from total of the budgets set on each nominal account within the report category. Budgets set at report category level are not included.