Setting up Payment Journals

Payment Management has extended the standard payment journal with additional functionality to improve the payment flow. In addition, payment lines will be validated by Payment Management before they are sent to the bank, and the status on the payment line will let you know if further actions are needed for the payment.


During the general setup of Payment Management, a payment journal will automatically be generated with Payment Management enabled. However, if you create a new payment journal or use an existing payment journal, you must manually activate Payment Management on the journal.

The first time you use a payment journal with Payment Management enabled, you will be asked to set up the payment journal. The payment journal setup forms the basis of the vendor payment suggestions in the given payment journal.

To activate Payment Management on a payment journal

  1. Use the Search for page or report icon and search for Payment Journal, then select the related link. This will open a Payment Journal.
  2. On the payment journal header, go to Batch name and select Search for page or report. This opens the General Journal Batches.
  3. In the General Journal Batches list, in the Payment Management journal column, select the checkbox for the payment journal you want to activate Payment Management for.

Payment Management has now been activated on the payment journal.

To set up the payment journal

  1. Use the Search for page or report icon and search for Payment Journal, then select the related link. This will open a payment journal.
  2. In the action bar, select Prepare > Payment Journal Setup.
  3. On the Payment Journal Setup page, go through, and if needed, update the settings.

After you have defined the settings in the payment journal setup, the settings form the basis of the Suggest Vendor Payments setup, and you are ready to create vendor payment suggestions.

Managing required status for posting payments

When payments have been processed and paid in the bank, you post the related payment lines on the Payment Journal page. To control when payments can be posted you can choose a posting criterion based on the status of the payment line. You can manage the required payment line status for posting payments from the following two places:

  • On the Payment Management Setup page, under the FastTab Purchase and Payments > Required Posting Status.

  • On the Payment Journal page in the Payment Journal Setup > Required Posting Status.

In both setups, use the dropdown to choose between the following three required payment line statuses:

  • Sent
  • Processing
  • Paid


If you use direct communication, we strongly advise against setting the required posting status to Sent. If, for example, your bank rejects a payment, the payment line will then not be updated accordingly in Business Central with the status Rejected. The result can be that a payment is registered as completed in Business Central, while in fact, it has been rejected by the bank.


If you use manual communication, the only available status is Sent.