A nice addition to the Subscription billing module is Expense deferrals. It's a subtle addition, and some may not even notice it's there! However, you may see benefit if you are part of an organization that pays for large subscriptions, memberships, or investments upfront and you require a methodology to defer these large expenses into an account then move these expenses from that deferred account into an expense account over a period of time.
This new addition is not quite as obvious as the Revenue deferral piece discussed in the previous blog: Subscription Billing - Revenue Deferrals, but it is very powerful and can be leveraged in any organization!
Let's look at how to set up Expense deferrals in Microsoft Dynamics 365 for Finance!
|Deferral defaults for Purchasing|
Items Deferred by Default
Expense Deferral Process
|View of Expense deferrals with Revenue deferrals|
|Revenue and expense deferral parameters can help define the Deferral start date|
|Sample Expense deferral schedule lines|
|Recognized expenses show a Journal and Voucher number for easy traceability in the GL|