At year-end, vendor invoices that have not yet arrived but are expected must be accrued correctly. Microsoft Dynamics 365 Finance & Operations provides a…
At year-end, vendor invoices that have not yet arrived but are expected must be accrued correctly. In Microsoft Dynamics 365 Finance & Operations (D365FO) there is a structured process for this that creates transparency and minimises the manual effort. In this post we show you how to implement accruals efficiently and which best practices you should know. Step-by-step: Accruing outstanding vendor invoices 1. Understand the requirement Goal: Record invoices not yet received but expected as at year-end. The posting should be visible on the vendor transactions, but not on the vendor summary account – instead on an accrual account. The “invoice” should be settled automatically, so that no manual settlement is necessary. 2. Create a separate posting profile Create a dedicated ACCR vendor posting profile . Enter the accrual account there instead of the vendor summary account. 3. Recording in the journal Use a GL journal or the vendor invoice journal (Excel import possible). Important: Enter the reversing date (e.g. 01.01.2026) directly when posting. After posting, the system automatically creates the offsetting entry, and the transactions are already settled. 4. Clean up the open-item list By default, accrual postings appear in the open-item list. Tip: Filter by Posting Profile != ACCR to hide them. Pro tips & little-known features Automatic settlement: The reversing date and the ACCR profile eliminate manual settlement – a real time-saver! Use filters: Create saved views for open-item lists without accruals to avoid confusion. Excel integration: For mass postings, export/import via Excel is ideal – it saves time and reduces errors. Conclusion With a clear process and the right settings in D365FO, year-end accrual becomes child’s play. Do you have your own best practices? Share your experiences in the comments!