Create a Prepaid Expense

When creating a new Bill, the Prepaid Expenses accounts appear greyed out. This is intentional and ensures prepaid expenses are handled automatically through the prepaid schedule.

Create a Prepaid Expense Entry

1. Go to Accounts Payable > Bills.

   
2. Click + Add Bill to open the AP/Expense creation form.

   
3. In the Account field, select the Expense GL account where the amortization should be recorded (for example, Depreciation & Amortization).

   Note: Always select the appropriate Expense GL account. The Prepaid Expenses option is greyed out because it is handled automatically.

4. Enter the Bill details (Vendor, Bill Date, Amount, etc.).

5. In the Service Period field, set the period covered by the prepaid expense.

6. Complete any additional fields as needed (for example, Department, Region, or Customer Segment)

7. Click Save.

   

The system automatically links the Expense GL account to the correct Prepaid Account and updates the Prepaid Schedule.

Note:

• Always select the Expense GL account, not the Prepaid Expenses account.

• The system automatically associates the entry with the correct Prepaid Account.

• To review the amortization schedule, check the GL Impact on the Bill or go to the Prepaid Schedule.

See also

To learn more about managing prepaid expenses in Rillet, review these articles:

• Making Prepaid Schedule Adjustments

• Expense Transactions

• Charges