Rate Category_ Period End Billing

1. Rate Category – Period End Billing
Finally I get time to post something. Been busy these days, so posting something really basic
but then..
If you have explored Rate Category then you must have seen a block titled ‘Period End Billing‘
having some checkboxes. This post is about that.
In the coming few weeks I would be posting on ‘Backbilling’ and ‘Advance Billing’.
Some content on Period End Billing.
http://help.sap.com/erp2005_ehp_06/helpdata/en/6d/c938ea34f911d3b4ce006094b9db76/content.
htm
Now some content on the checkboxes we see in the screen of Rate Category.
First Checkbox: No Period End Billing is self-understood
Second Checkbox: Period End Billing Integrated with Last Bill
If we set this indicator, integrated period-end billing is performed for the contracts allocated to
this rate category. In the case of integrated period-end billing, the period-end billing is carried
out together with the last periodic billing of the period-end billing period(or the final billing).
The billing line items resulting from the period-end billing are added to the billing document of
the billing that initiated the period-end billing. No separate period-end billing document is
created. For the period-end billing, we must specify the number of periods in the period-end
billing period.
Third Checkbox: Separate Period End Billing.
If we set this indicator, a separate period-end billing is executed for the contracts allocated to
this rate category. When the last periodic billing of the period-end billing period (or the final
billing) is executed, a period-end billing order is generated. Period-end billing is carried out
when you process the period-end billing order. We can specify whether the period-end billing
must be performed before the next periodic billing. In addition, you establish how many days

2. must pass since the last periodic billing before the period-end billing can be carried out at the
earliest. A separate billing document (period-end billing document) is created when the period-
end billing order is processed. For the period-end billing, we must specify the number of
periods in the period-end billing period.
Now for the fields
Difference between last billing and period-end billing
This field is only relevant for a separate period-end billing. Here we specify the number of days
that must pass between the last periodic billing of a period-end billing period (or the final
billing) and processing of the period-end billing order. It is not possible to perform the period-
end billing before this number of days has passed.
Example: a difference of 5 days has been specified. The last periodic billing was performed on
01/03/1998. You can perform the period-end billing on 01/08/1998 at the earliest.
Number of periods for period-end billing.
Here you specify the number of periods to be included in the period-end billing period for a
period-end billing.
And the checkbox
Priority of Period-End Billing
When we mark this field, then a period-end billing order has priority over other orders. If an
additional billing order with a different billing operation (periodic, interim, and so on) exists for
the same contract, it cannot be processed after the period-end billing order.
• If the indicator is not set, the period-end billing order has no priority. A periodic billing order
can be processed before the period-end billing order (both orders are for the same contract). In
this way, we can prevent the next periodic billing from being missed because of a delayed
execution of period-end billing.
Also this indicator is only relevant for rate categories with period-end billing.
So that was all the SAP F4 help lingo.
Let’s get to the real demo on this.
First we would see Period End Billing Integrated with Last Bill.
So the radio button is selected as shown above and the number of billing periods is set as 2. So
that means period end billing document (04 reason) shall be generated after two billing
documents (01 reason) have been generated.

3. The Rate is created having permissibility for Period End Billing.
In the schema the rate has been inserted, so in the header we get to see the rate.

4. Now below I have generated two billing documents.

5. One two periods are over system would automatically generate a period end bill when the next
bill is generated.
We can check from the dates that it has calculated the readings again and created a new bill.
Now for ‘Separate Period End Billing‘.
Separate Period End Billing
Here also the period is given as 2. The delay in number of days after which period end bill can
be generated is given as 1 here. (Difference between last billing and period-end billing)

6. Again generated two bills.

7. We can check the Billing Order for the period end bill and also check the simulation run.
If you still try execution before the delay day as given, we get an error as below.

8. Anyways here are the period end bills for both the billing orders as shown above.
I didn’t go for the checkbox, due to time crunch. But I hope the screenshots were helpful in
explaining this simple and useful scenario.
Post on ‘Advance Billing’ coming up next.
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