A contractor submitted an invoice for payment, and the director who approves is indicating that the payment should be split among three accounts at 40%, 5% and 55%, with no additional calculation. Should AP figure the amounts?


As long as the director has provided approval with clear indication of how the invoice is to be coded, albeit in percentages rather than in dollars, it is not unreasonable to expect AP can do the simple math to convert the percentages to dollars and cents. AP does other calculations, such as what to pay when taking an early payment discount. A quick calculation is just a part of the work.

The responsibility belonging to the director is code apportionment—how much to charge to which accounts—which s/he has done. (In terms of cost of time to do the calculations, chances are that the director is thinking her/his time costs more than the AP specialist’s time.)

That being said, if you happen to know that the director does do the calculations for her/his own purposes but is giving you percentages, then go ahead and ask for the dollar amounts rather than percentages, since that’s how you have to enter them.

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