A supplier payable credit reduces what you owe a vendor, usually for returns, short deliveries or a pricing error.
What Sage 100 Contractor does on its own
A vendor credit is entered as a credit invoice in 4-2 Payable Invoices/Credits. It lowers the vendor balance and keeps status 1-Open. You apply it to invoices in 4-3 Vendor Payments or when you save an invoice, and when fully applied it goes to 4-Paid.
- Applied credits cannot be reversed.
What you need in Sage 100 Contractor
- Sage 100 Contractor Accounts Payable
Setting it up in Sage 100 Contractor
Where to find it: 4-2 Payable Invoices/Credits (credit invoice); 4-3 Vendor Payments
- Enter a credit invoice in 4-2 Payable Invoices/Credits.
- Enter the job, phase, account and cost code as on a normal invoice.
- Save. The credit lowers the vendor balance.
- Apply it to invoices in 4-3 Vendor Payments, or apply it when you save an invoice using Reference# for the invoice.
- Check the credit goes to 4-Paid once fully applied.
Good to know in Sage 100 Contractor
- You cannot reverse a credit invoice after applying it. Make reversing entries for a wrong application.
- A credit stays in status 1-Open until fully applied.
- Credits are entered on the same window as invoices.
How to do it in Sage 100 Contractor
How to apply a payable credit to a payable invoice in Sage 100 Contractor
In Sage 100 Contractor, enter the payable credit for the vendor, then allocate it to the payable invoice it credits. Pay the balance that is left.
What Pulsify adds
- Forward the credit note like any invoice. Pulsify recognises it.
- Pulsify reads it line by line and looks for the original invoice.
- It flags a credit note with a missing, unknown or smaller original invoice.
- On approval the credit is created in Sage 100 Contractor against the original bill.
Pulsify connects to Sage 100 Contractor. We set up the connection for you. More about supplier credit notes in Pulsify.
What Pulsify does not do
- Check the credit is applied before the next payment run, so you do not pay the full bill.
More help
- Supplier credit notes for Sage 300 CRE
- Duplicate invoice checks for Sage 100 Contractor
- Invoice fraud checks for Sage 100 Contractor
- Line item coding for Sage 100 Contractor
- All Sage 100 Contractor how-to guides
Sources
Last checked 2026-10-19.
- help-sage100contractor.na.sage.com/Sage100Contractor/US/25_1/Content/Modules/4-Accounts_Payable/About_payable_invoices.htm
- help-sage100contractor.na.sage.com/Sage100Contractor/US/25_1/Content/Modules/4-Accounts_Payable/About_payable_credits.htm
- help-sage100contractor.na.sage.com/Sage100Contractor/US/25_1/Content/Modules/4-Accounts_Payable/Entering_payable_invoices.htm
Common questions
How do I record a vendor credit in Sage 100 Contractor?
Enter a credit invoice in 4-2 Payable Invoices/Credits. It lowers the vendor balance. Apply it in 4-3 Vendor Payments or when you save an invoice.
What if I apply a credit to the wrong invoice?
A credit invoice cannot be reversed after it is applied. Make reversing entries to fix the application.
When does a credit show as paid?
When it is fully applied, its status goes to 4-Paid.
Should a credit note go through approval?
Yes. It changes what you owe. The person who agreed the return or price fix is often the right approver.
Pulsify setup guides
Want this done for you?
Book a call to see how Pulsify handles supplier credit notes in Sage 100 Contractor.