Define Payment TermsPayables Manager –> Setup –> Invoice –> Payment TermsPayments Terms are assigned to an Invoice to automatically create scheduled payment whenPayables Invoice Validation is submitted for the InvoiceYou can define payment terms to create multiple scheduled payment lines and multiple levels ofdiscounts. You can create an unlimited number of payment terms.Payment terms have one or more payment terms lines, each of which creates one scheduledpayment. Each payment terms line and each corresponding scheduled payment has a due date ora discount date based on one of the following: a specific day of a month, such as the 15th of the month a specific date, for example, March 15, 2002 a number of days added to your terms date, such as 14 days after the terms date a special calendar that specifies a due date for the period that includes the invoice terms date. Only due dates can be based on a special calendar. Discount dates cannot be based on a special calendar.Payment TermsDefine Payment Terms 1. Enter Unique payment term name and description. 2. If you enter Day of Month terms, enter a Cut-off Day. 3. If you enable Automatic Interest Calculation using the Interest Payables Options, enter a unique value in the Rank field. 4. Enter each payment terms line.Enter % due or Amount to determine the portion of an invoice due on the scheduled payment.
In the Due tab, choose between Calendar, Fixed Date, Days and Day of Month and MonthsAhead to determine the due date. 1. If you use discount terms, define payment terms lines in the First Discount , Second Discount, and Third Discount tabs. Define your discounts so that the first discount has an earlier discount date than the second and so on. You can realize only one discount on a payment terms line.Note: You cannot use a special calendar to define discount terms.Accounts Payable Setup: Set Multi-Org PreferencesSet Multi-Org Preferences (optionally required)Payables Manager –> Setup –> Options –> User Operating Unit PreferencesMulti-Org PreferencesIf you are using a Multi-Org structure, and you want to restrict Org Access, then set the Multi-Org Preferences.Set the User Level Default Operating Unit.Set the Preferred Operating Units.
Accounts Payable Setup – Define Payables OptionsYou cannot define the Payables Options unless the Financials Options have been defined.Payables Manager –> Setup –> Options –> Payables OptionsBased on your profile options, your ‘Operating Unit’ is automatically picked up.1. Accounting OptionPayables Options: Accounting Option
Payable Options: ReportsAccounts Payable Setup – Financials OptionsPrerequisite: Inventory Calendar and Inventory Organization must have been set up.Refer to the following documents:Define Inventory CalendarSetup Inventory OrganizationPayables Manager –> Setup –> Options –> Financial OptionsBased on your profile options, your ‘Operating Unit’ is automatically picked up.Refer to the following documents:System Profile Values for GLDefine Operating Unit (Document to follow)You have to fill in the following tabs to configure the Financials Options: 1. Accounting 2. Supplier – Purchasing
3. Encumbrance 4. Tax 5. Human Resources1. AccountingFinancial Options: AccountingSpecify the number of ‘Future Periods’. Fill in the GL Accounts where required.Note: If during the defining of our Accounting Key Flexfield Structure, we have alloweddynamic insert, we can enter the accounts directly without having to create the accounts first. Ifthat is not the case, then we need to create all the valid accounts combinations before we can usethem here.Refer to the following documents:Define Accounting KFF – Create Chart of Accounts2. Supplier – Purchasing
Financials Options: Supplier-PurchasingSpecify the Ship-to Location and Bill-to Location. Inventory Organization is mandatory.Note that we need to create the Inventory Organization and define the Additional OrganizationInformation Details.3. Encumbrance
Financials Options: EncumbranceSpecify the options for encumbrance if you are using encumbrance accounting.4. Tax
Financials Options: TaxSpecify your VAT Registration information if applicable.5. Human Resources
Financials Options: Human ResourcesBased on your profile options, your Business Group is automatically picked up.Specify your ‘Expense Reimbursement Address’. The Employee generation method isautomatically picked up from the Extra Information configured on your Business Group.Refer to the following documents:Define Business Group (Document to follow)