Accounts payable home page

This topic provides an overview of Accounts payable.

You can enter vendor invoices manually or receive them electronically through a data entity. After the invoices are entered or received, you can review and approve the invoices by using an invoice approval journal or the Vendor invoice page. You can use invoice matching, vendor invoice policies, and workflow to automate the review process so that invoices that meet certain criteria are automatically approved, and the remaining invoices are flagged for review by an authorized user.

Business processes

Business process

Set up Accounts payable

Set up vendor groups, vendors, posting profiles, various payment options, and parameters regarding vendors, charges, deliveries and destinations, promissory notes, and other types of Accounts payable information.

Configure Accounts payable

Accounting distributions and subledger journal entries for vendor invoices

Foreign currency revaluation for Accounts payable and Accounts receivable

Configure vendor invoices

Use Accounts payable to track invoices and outgoing expenditures to vendors.

Accounts payable invoice matching

Vendor posting profiles

Set up accounts payable invoice matching validation

Three-way matching policies

Invoice matching and intercompany purchase orders

Resolve discrepancies during invoice totals matching

Default offset accounts for vendor invoice journals and invoice approval journals

Mobile invoice approvals

Vendor collaboration invoicing workspace

Vendor invoice automation

Configure vendor payments

Assign a system-defined payment type, such as check, electronic payment, or promissory note, to any user-defined method of payment. Payment types are optional, but they are useful when you validate electronic payments and want to be able to quickly determine which payment type a payment uses.

Vendor payments workspace

Define vendor payment fees

Define vendor payment terms

Positive pay overview

Set up and generate positive pay files

Create vendor payments by using a payment proposal

Vendor payments for a partial amount

Take a discount that is more than the calculated discount for a vendor payment

Take a cash discount outside the cash discount period

Electronic reporting for vendor checks

Reverse a vendor payment

Prepayment invoices and prepayments overview

Centralized payments for Accounts payable


The following topics provide information about settlements. Settlement is the process of settling payments with invoices.

Configure settlement

Settle a partial vendor payment before the discount date

Settle a partial vendor payment that has discounts on vendor credit notes

Settle a partial vendor payment that has multiple discount periods

Settle a partial vendor payment or final payment before discount

Single voucher with multiple customer or vendor records

Additional resources

What's new and in development

Go to the Microsoft Dynamics 365 Release Notes to see what new features are planned.


You can find opinions, news, and other information about Accounts payable and other solutions on the Microsoft Dynamics 365 blogand the Microsoft Dynamics 365 Finance and Operations - Financials blog.

The Microsoft Dynamics Operations Partner Community Blog gives Microsoft Dynamics Partners a single resource where they can learn what is new and trending in MBS Operations.

Community blogs

How to manage payables in Dynamics 365 for Finance and Operations

Task guides

Additional help is available as task guides inside Finance and Operations. To access task guides, click the Help button on any page.


Check out the how-to videos that are now available on the Microsoft Dynamics 365 YouTube Channel.