You can create payment conditions to be used by your company.
Go to Financial/Setup/Master data/Payment condition. Then, click New.
To maintain payment conditions, function right 357 – Maintain payment conditions is required. Users with the General Manager and Controller roles have this function right.
For more details on what you can do with function rights or levels, go to System/Setup/Security/Function rights, select the required module, and then click on the relevant ID. To find out the functions you can perform with a particular role, go to System/Setup/Security/Roles, type in the description, click Refresh, and then click the required link under the Role column.
Click this to save the new payment condition.
Click this to exit.
Type an alphanumeric code for the payment condition you want to create. This is mandatory.
Type a description of the payment condition you want to create. This is mandatory.
Type the number of days by which you need to receive a payment (in the case of sales order), make a payment, or to be entitled to a discount.
Type a value to set the payment or discount percentage. This percentage refers to the payment if the Discount check box is not selected. If the Discount check box is selected, this value refers to the discount percentage.
For example, if you type “30” at Days and “10” at Percentage, it means you have to pay 10% of the amount owing by 30 days. If this is a discount, it means if you pay within 30 days, you will get a 10% discount.
Select the type of payment method. You can choose from On credit, Cash, Cheque, Letter of credit, Collection, or Factoring.
Select this check box to set the line as a discount line. Type the percentage of the discount in the Percentage box under the Percentage column.
For example, if you want to give a 10% discount if 50% of the payment is made within 30 days, you need to set the following payment terms:
Line 1
Days = 30
Percentage = 50
Discount check box = Clear
Line 2
Percentage = 10
Discount check box = Selected
Line 3
Days = 60
This will give you a total of 100% payment within 60 days with a 10% discount if 50% of the payment is made within the first 30 days.
Click the icon to clear the information from the respective lines.
· Displaying Payment Conditions