Payment terms play a critical role in determining invoice due dates, discounts, and overall payment timing. This article provides clear definitions of commonly used payment terms and explains how MakersHub identifies, interprets, and applies them. It also outlines how users can review extracted terms, make adjustments when needed, and train the system to recognize vendor-specific terms to improve accuracy on future bills.
Terms Defined
Net 30 - payment is due in 30 days.
Net 30th - payment is due on the 30th day of the month.
Prox 30 - payment is due by the 30th of the next month.
Prox is short for the Latin "proximo mense," meaning "in the next month," which sets the due date to a specific day in the month following the invoice date.
2% 10, Net 30 - 2% discount if paid within first 10 days, payment is due in 30 days.
Terms Extraction
MakersHub will display the extracted terms, if any, within the Bill Details portion of the header.
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Under the WiseVision Wand in the bottom left corner, you can view these extracted terms and any related trainings specific to this vendor.
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Under the Invoice Detail Adjustment, MakersHub will note the Terms and Payment Terms Details which offers an interpretation of the terms extraction.
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Within the Due Next Month field which appears for either prox or net XY”th” terms, users have the flexibility to adjust the number of days between the invoice date and due date before the bill becomes due the following month.
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Terms Training
Terms in MakersHub can be trained in two primary ways. These trainings are related to the associated vendor and will apply to future bills.
Type within the Terms field to specify your desired terms, then click the double blue checkmarks to save and train the system.
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Click the magnifying glass icon to search the indexed bill for your desired field.
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Once found, select the desired field, then click the double blue check marks to train MakersHub for the future.
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