Cash Purchase statuses and what each means
Learn the different stages a cash purchase goes through and what each status represents.
Every cash purchase in Usystems moves through different statuses as it is created, finalized, and paid. Understanding these statuses helps you track the progress of your purchases and manage your finances.
The cash purchase statuses
Draft A cash purchase is in Draft when you have started creating it but have not finalized it. You can edit all fields, add or remove lines, and make changes without restrictions. Draft purchases do not affect your accounts yet.
Finalized Once you complete the cash purchase form and save it, the document becomes Finalized. A finalized cash purchase is locked—you cannot edit most fields (such as the vendor or line items). It now affects your accounting:
- If you bought inventory, items are added to your warehouse.
- If you bought an expense, the cost is recorded in your books.
- The vendor's balance remains zero (because it was a cash purchase, not a bill).
If a finalized cash purchase has a status of Finalized / Unpaid, it means the expense or inventory has been recorded, but the payment has not yet been recorded. This is less common for cash purchases, but can happen if you configure payment to be recorded separately.
Paid A cash purchase is Paid when both the purchase and the payment have been recorded. This is the final status. A Paid cash purchase shows that:
- The items or services have been received and recorded.
- The cash (or bank account) has been debited.
- All accounting entries are complete.
What happens when a cash purchase changes status
| From | To | What happens |
|---|---|---|
| Draft | Finalized | Inventory or expenses are recorded. The purchase now affects your accounts. |
| Finalized / Unpaid | Paid | The payment is recorded. Cash is deducted from your account. |
| Paid | (cannot revert) | A Paid cash purchase is final. You cannot change it to Draft or Finalized. |
If you need to correct a paid cash purchase, you create a return (a negative cash purchase) to reverse the original purchase, then create a new one if needed.
Tips for managing statuses
- Use Draft to prepare. Create a draft cash purchase, review it, add all lines, and then finalize it when you are ready.
- Finalize before payment. Once you are sure of the vendor, items, and cost, finalize the purchase. This locks the details and applies them to your books.
- Monitor Unpaid purchases. If a cash purchase shows as Unpaid, it means the expense is recorded but the payment is not. Ensure payment is completed so your bank balance matches your records.
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