HOW TO DIVIDE THE COST PER MONTH IN CONTRACT WHICH IS PER YEAR

[Former Member]

Dear all,

i am triggring a project with reference to a quotation and i get the planned cost in

of the project in my quotation.So this cost of the quotation is for a year assuming the duration of the project is one year.

i am copying a contract document from this quotation in which the monthly billing

plan is there.here it is again multiplying for 12 months whereas i want it to divide it

by 12.can some body throw light for me to get a solution for this problem.

Assured reward points for timely support

Best regards,

R.Srinivasan

[Former Member]

I think the answer is very simply that you should be using a 'milestone' billing plan rather than a 'periodic' billing plan. The milestone billing plan divides the total net value of the line into the milestones determined by the milestones in your WBS element, network, manually maintained in billing plan screen, or from a reference milestone billing plan. The periodic billing plan instead creates a billing periodically for the entire net value which in essence multiplies the amount by the number of billings in your plan.

You mentioned cost. If you want to divide cost across the term of the contract, you will need to look at CO functionality such as networks, service orders, RA, or other cost planning and accrual tools.

If you are trying to bill in accordance with your costs, you need to use resource related billing which can be integrated with milestone billing.

[Former Member]

Hi

Check the date rule and assignment of date category settings in IMG for Periodic Billing.

Hope it will fix the problem.

Regards

Krishna

[Former Member]

If you want only the monthly revenues to come to your project, then you need to define your item category for periodic revenue recognition. Once you do VF44 and recognise the revenue for that particular month then that revenue for particular month will be shown in projects.

Thanks