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Condition Type for Rebate

Former Member
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Hello All

I am in the process of configuring the rebate processing in our system...this is my first experience...we are on ECC7.0...I am follwing the Rebate Processing configuration guide but I have a few questions...

My requirement is the following

Order volume fully paid.... the following will apply

<$500,000 credit percentage is 3%

>500,000 and < credit percentage is 3.75

etc....

In the condition type configuration under control data I am confused of the calculation type to use and the condition category as well...I am using condition type Material Rebate, but have also added all the condition types related to Rebate...just in case.

There will be no manual payments or partial settlements. The rebate is due at end of year of all fully paid items.

If there is shipments that are due but will not be during the annual term and it exceeds the lets say 1,000,000 since he credit percentage would be 6% in this case....after the review of the rebate agreement then the discount for the following year will be set at the appropriate percentage and will begin at $1.

For example if the total sales during this term are 1.2 million the the credit percentage for the following year would be 6% for all the sales the following year beginning at $1...sales for the annual term of 1.2 million would equate to a rebate of 72,000 (6%).

Also, all material that is bought the customer receives a 3% discount on top of the above.

Will I need to also include condtion type groups???

Your help is GREATLY appreciated!!!

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Answers (1)

Answers (1)

Former Member
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Any advice on this please?

Former Member
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Note that rebate accrual happens in billing and does not have the A/R payment information yet when it begins to accrue. Your issue will most likely be over accrual at yearend, but you can settle the rebate partially and write-on the remaining accrued balance on the corresponding unpaid A/R. Product discounts are most often off invoice and should only be regular discount conditions.

Former Member
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Hi Eric and thanks for your reply ....

If the Rebate is for a certain customer and they are having multiple materials for the rebate and can have channel partners that will also be a ship to party and rebate applies....I am thinking I need to use the 0002 condition type? Please confirm.

That is the one I have chosen so far....I do not see the rebate condtion type being being pulled through the sales order on the condition tab...it wants to keep pulling in the pricing condtion table for that rebate material....any advice as to what I may have missed....I did follow the config guide...as stated before this is my first experience wit hrebates...

I can understand the invoice showing the accruals but how would I do the scale to know if the customer reaches a certain amount their rebate percentages would be different based on the paid invoice sales...

up to 500,000 paid would be A 3 percent discount

Over 500,000 would be a 3.75 percent discount

This is also on top of the standard 3 percent discount they are given on the material as a customer discount.

Please advise....your assistance is appreciated

Former Member
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Any advice please?