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Percentage-Based Offsetting 
In order to be able to make good your claim for the amount that the subcontractor owes you for chargeable components, you transfer the appropriate sum from the Subcontractor A/R – Pending account to the Subcontractor A/R – Due account.
To see the activity in its context, see step 7 of the Subcontracting Process.
...
1. In the Subcontracting with Chargeable Components area menu, choose Processes ® Percentage-Based Offsetting.
2. In the Item Selection group box, specify:
¡ Which subcontractors you want to run the program for (the Customers field)
¡ The G/L account number of the Subcontractor A/R – Pending account that you use
¡ The posting dates of all the invoices for chargeable components posted for this subcontractor since the last payment run
3. In the Posting Parameters group box:
...
a. Make the settings for the accounting document that the program creates (see also the sample accounting posting below).
b. Enter the G/L account number of the Subcontractor A/R – Due account that you want to transfer the invoices to.
4.
Choose
.
The system displays a list of the customers and how much of the invoices for chargeable components you can offset.

If there are
any problems with any of the subcontractors, or if you have selected any
subcontractors that should not be included in the list, the system displays
them in a separate list. To see the list, choose
Exception
Customers.
5. Check the amounts to be offset (in the Total Amount field) and change it if you want to.
6. Select the subcontractors that you want to offset the invoices for.
7.
Choose
.
The system transfers the sum that you have specified from the Subcontractor A/R – Pending account to the Subcontractor A/R – Due account.
You then run the payment program to pay the subcontractor for the labor cost and the deductible payables. It reduces this sum by the amount that you have transferred to the Subcontractor A/R – Due account.
