Payment Terms

[reazuddin_md]

Baseline date :- the date from where the payment term clock will start ticking

from the payment terms which date will be considered as Baseline date.

4 options are available in Payment terms

No default: Enter baseline date manually during document entry

Posting date: Document posting date will be considered as Baseline date

Document date: Document creation date will be Baseline date

Entry date : Document entry date will be baselinedate

here my query is,

From which document it will payment term will activate either at the time sales order level or del-GI or invoice creation level??

Where can we see, at what level? which document date will considered as baseline date?

( I have maintained Credit group as delivery -so that system will take delivery creation date as baseline date, but it is considering invoice date as baseline date )

[reazuddin_md]

thanks to all

[former_member184555]

Hi

In case of Delivery date....the Goods Issue date should be considered, since it is the date on which the goods leave our premises and the ownership is lost. The goods issue date will be the Billing date by default for invoicing. Please think over this.

Thanks,

Ravi

[Former Member]

Dear Ravi!

How do I achieve to have the baseline date to be the GI date?

Thanks!

Jens Christian

[reazuddin_md]

Dear Jens Christian,

In Payment Terms, activatate " Document date" in "Default for baseline date" section. Then system will consider the actual GI date as billing date.

Hope it helps & thanks for searching in FORUM before posting a new thread.

Regards,

Reazuddin MD

[Lakshmipathi]

For each payment term you create, you must specify a rule by which the system is to calculate the baseline date.

This rule consists of:

- A default value for the baseline date

- Further specifications for calculating the date

You set the default value for the baseline date by specifying whether you want it to be the document date, the posting date or the entry date of the document

If you do not want the system to default a date when you enter a document, you can set the appropriate indicator, in which case you must enter the baseline date manually during document entry. If you have agreed with your customers to use the delivery date as the baseline date and have also implemented the SAP Sales and Distribution (SD) application component, choose the Document date. The system then assigns invoices generated in SD the delivery date as their document date.

If you have agreed with your customers to use the first day of operation of any machinery/plant purchased (such as is common in engineering and construction) as the baseline date, you must enter this date in the document. The system cannot determine this date; therefore, you select the field No default. When entering a line item, the default value only takes effect if you post to a vendor or customer account for which a terms of payment key is defined. You need enter data in the fields in the group Baseline date calculation only if you want to change a baseline date that was either entered manually or in which the system defaulted an entry

The system replaces the day specifications for the baseline date in the document with the day specification you enter here. The system adds the additional months that you specify to the month it calculates for the baseline date.

You want the baseline date to be the 15th of the following month. In this case you must specify the 15th as a fixed day and specify an additional month. Given a baseline date of 7/27/2008, the system calculates the new baseline date as 8/15/2008 and enters this date in the line item.

The data you enter to change the baseline date are effective only if you have entered appropriate terms of payment in the customer or vendor master record or entered a terms of payment key by which these terms are accessed

thanks

G. Lakshmipathi

[reazuddin_md]

hai G.Lakshmipathi,

have read your thread, thanks for your reply.

for your reply - I got more info about terms of payment. But actually it doesnt solve my purpose.

Becasue my req is:

I want to restrict the customer based on DAYS, For that i want to maintain these days in Payment terms & So that system calculates Net Due date from the baseline date.

Net Due date = Baseline date - days in payment term.

But here, system should calculate Baseline date as delivery creation date, instead invoice date is considering as baseline date ( because Payment terms, baseline date is document date)

I am expecting this baseline is taking from invoice document, but no where we mentioned consider invoice document date as document date.

Why system calculating document date as invoice document date only, why not the delivery document?

Hope you got my doubt, let me know if you want more info

Thanks

[Former Member]

HI!

I have always seen as the billing date in the invoice as the basline for terms of payments. This is becuase, in business terms invoice is a document which will tell client that something is due on you and you need to pay.

Hence billing date or invoice creation date is most of the time is used as baseline for payment terms. Now in your scenario, you can mainatin copy controls in such a way that the delivery creation date is copied into billing date, and the billing date is used as basseline.

Hope this helps,

Abhishek

[reazuddin_md]

Hi Abhishek,

I dont think, its a gud practise to consider delivery date as a billing date, hence billing date become baseline date.

because company may delivery 1st of the month & billing might occur after 15 days. In such cases, it is not suggestable for practise.

That too client is not issuing invoice on the same goods issue or delivery creation date.