7/23/2019 Paying Vendor in Installments Using Terms of Payment
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created by Satish Babu on Jul 22, 2013 7:23 PM, last modified by Satish Babu on Jul 22, 2013 8:41 PM
Hi Friends,
In this document I'm going to explain about paying vendor in installments using terms of payment.
In SAP we can pay to the vendor in installments by using payment terms.
Example: Total invoice amount Rs.2000 Dated.01.07.2013 and this amount is paid to the vendor installments as given
below
Installment1 Rs.1000 on 11.07.2013
Installment2 Rs.500 on 21.07.2013
Installment3 Rs.500 on 31.07.2013
the configuration required to achieve this is explained below.
Step1. We need to create one main terms of payment in transaction code OBB8 or in the path as shown below
Here select installment payment check box and select base line date as required. Enter the required description as
shown below.
Paying Vendor in Installments Using Termsof Payment
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Step2. Create separate payment terms for each of installment and enter the number of days after which the installment
is to be paid as shown below.
Ex. IF you have to pay in 3 installments after every 10 days of baseline date you have to create three payment terms
with number of days as 10,20 & 30 respectively as shown below
g Vendor in Installments Using Terms of Pa... | SCN http://scn.sap.com/docs/DO
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Step3. Assign Main terms of payment to the installment payment terms and define the percentage of total invoice
amount to be paid in that respective installment. Transaction code OBB9 or follow below path.
For example 50% of the total invoice amount is to be paid in first installment(after 10days from base line date), and
remaining amount is to be paid in two half's in the next two installments(after 20 and 30 days from baseline date
respectively).
g Vendor in Installments Using Terms of Pa... | SCN http://scn.sap.com/docs/DO
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TESTING:
To test the above configuration, create a purchase order and enter the main payment terms in the PO header.
then carryout the goods receipt for PO and do logistic invoice verification in MIRO.
g Vendor in Installments Using Terms of Pa... | SCN http://scn.sap.com/docs/DO
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Average User Rating
In invoice simulation observe three line items posted against the vendor.
Also observe accounting document is created with 3 line items, the total amount to be paid to the vendor is distributed as
per the percentage specified and each having separate payment terms and due date as per the configuration
-End of document
Thanks for reading and please share your feedback
1838 Views
Products: sap_erp_logistics_materials_management Topics: enterprise_resource_planning Tags: installments,
terms_of_payment, installment_payment
g Vendor in Installments Using Terms of Pa... | SCN http://scn.sap.com/docs/DO
07-Dec-15
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(18 ratings)
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13 Comments
Like (1)
G Srinivas Jul 23, 2013 7:37 AM
Good Work...Keep doing....
Like (1)
Rohit Saini Jul 23, 2013 7:40 AM
This was good knowledge. Thanks.
Like (0)
Satish Babu Aug 17, 2013 5:27 PM (in response to Rohit Saini)
Hi Srinivas & Rohit
Thanks for the feedback
Regards
Satish
Like (1)
Nagendra m Aug 17, 2013 8:56 AM
Valuable information.
Like (1)
Sanjeet Kumar Yadav Aug 17, 2013 11:53 AM
Its good part of payment handling
Regards
Sanjeet Kumar
Like (1)
Satish Babu Aug 17, 2013 5:24 PM (in response to Sanjeet Kumar Yadav)
Hi Nagendra
Thanks for the feedback
Hi Sanjeet,
Yes, this option will give you more flexibility in paying vendor amd that too with very less
configuration...
Rrgards
Satish
Like (1)
Amit Gampawar Aug 20, 2013 7:11 AM
Hi Satish
Very nice document, I tried the same and its working fine.
Thanks for sharing
Regards
Amit Gampawar
Like (1)
Nazeer Shaik Aug 21, 2013 8:34 AM
Dear Satish,
Appreciate your exertions. And looking forward for more documents.
ThanksNazeer
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Like (0)
Satish Babu Aug 21, 2013 9:49 AM (in response to Nazeer Shaik)
Hi Amit and Nazeer,
Thanks for the feedback and appreciation...n will continue to post more in future...
Regards
Satish
Like (0)
Naresh Krishnamoorthy Sep 6, 2013 5:37 AM
Useful One...Many Thanks.
Best Regards,
Naresh K.
Like (0)
Mehmet Ozgur Unal Oct 13, 2014 2:19 PM (in response to Naresh Krishnamoorthy)
Hi Satish ;
It is helpful document for MM/FI integration, keep it up !!
Regards.
M.Ozgur Unal
Like (0)
sana ahmed Oct 14, 2014 2:27 AM
very easy and informative doc...
Like (0)
B V Yadav Oct 14, 2014 6:56 AM
Hi Satish,
Very informative document with well explanation. Thanks for sharing this doc.
Regards,
Venkatesh B
g Vendor in Installments Using Terms of Pa... | SCN http://scn.sap.com/docs/DO