Mode of Payment in ERPNext: Setting Up Payment Mediums
The Mode of Payment stores the medium through which payments are made or received cash, a bank transfer, a card, and so on. Defining your modes of payment lets ERPNext know how money moves and which account each method maps to.
To access the list, go to Home > Accounting > Settings > Mode of Payment.
1. How to create a Mode of Payment
- Go to the Mode of Payment list and click New.
- Enter a name for the Mode of Payment.
- Set a type – Cash, Bank, or General. This is useful for knowing the mode of payment used in Point of Sale (PoS).
- Set a default payment Account for all the companies.
- Save.
TIP
Setting the default Account means that account is fetched automatically into Payment Entries so when this mode is chosen, the right account is filled in without anyone selecting it manually.
NOTE
When making Payment Entries, the default bank account is fetched in this order, if set:
Company form → Mode of Payment default account → Customer/Supplier default bank account → otherwise selected manually in the Payment Entry.
2. Related Topics
- Payment Entry
- Payment Request
SUMMARY
A Mode of Payment stores the medium through which payments are made or received. Create one with a name, a type (Cash, Bank, or General — useful in Point of Sale), and a default payment account for all companies. The default account is fetched automatically into Payment Entries. When booking a Payment Entry, the default bank account is resolved in order: the Company form, then the Mode of Payment default account, then the Customer/Supplier default bank account, and finally manual selection.
