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rebate

Former Member
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Hi everyone,

can any one explain me step wise process of rebate processing???

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

Hi Friend,

Following explains how to crete a rebate agreement, test it using a sales order and billing it. Then settling it partially or fully using a rebate credit memo. Please use the basic procedure and tweak your IMG settings according to your unique requirements.

Rebate processing:

1. First requirement is that the rebate processing must be active for

a. the customer ( check in customer master) ,

b. for the billing type ( check in IMG > Billing > rebate processing > active rebate processing > select billing documents for rebate processing. )

c. For the sales organizatin:

( check in IMG > Billing> rebate processing > active rebate processing > Active rebate processing for sales org. )

2. Next create a rebate agreement For this ust T-code VB01. For the rebate agreement type you can choose either 0001

( group rebate ) or 0002 material rebate or 0003 ( customer rebate ) etc

b. Enter your rebate conditions. Dont forget to enter the accrual rate here.

3. Now test your rebate functionality : create a sales order for the particular customer, sales org ( ensure that the billing type used in your sales order is relevant for rebate) . Create outbound delivery, transfer order to do picking and post goods issue.

4. Now go to Tcode VB03 and check your rebate by choosing conditions , selecting the condition line and choosing payment data. You will see that the accruals and business volume are updated when accounting doc is created for billing.

5. Settling your rebates:

Once your rebates have been accrued you need to settle the rebate.

For this first release the rebate for settlement by using Tcode VB02. As a trial basis choose B ( you can choose other settings based on your requirement) and choose Create manual accrual. Now enter the amount to be paid and save the rebate agreement.

6. Next display your rebate agreement using Tcode VB03.

Enter your rebate agreement number . Next choose rebate payments > Rebate documents and select partial settlement. Click on the choose button to note down your credit request number.

7. Use Tcode VA02 and release the billing block for your credit request. ( use item overview tab)

8. Now use VF01 to create a rebate credit memo by entering the credit memo request number and save it

9. Now release the credit memo to accounting using vf02.

Answers (4)

Answers (4)

Former Member
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Hello Iqbal,

Please find the links which would definitely help you understand.

http://help.sap.com/erp2005_ehp_02/helpdata/en/dd/5612cb545a11d1a7020000e829fd11/frameset.htm

http://www.erpgenie.com/publications/saptips/052005.pdf

Reward if its helpful.

THanks

Murtuza

Former Member
0 Kudos

hi

click the link for rebates with screen shots

<a href="http://www.erpgenie.com/publications/saptips/052005.pdf">rebates with screen shots</a>

Former Member
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hi

Rebates Processs in SAP is divided into three components

1) Configuring Rebates

2) Setting Up Rebates

3) Managing rebate agreeeements and payments

Pre-requsiistes- Check the following:

1.The payer partner needs toi have the rebate field checked in the customer master on the sales area-billing doc tab.

2.The Billing type must be marked as relevant for rebates.

3.The Sales Organisation must be marked as relevant for rebates.

Condition Technique :

Rebates, use the condition technique, but distinguish themselves from pricing in applying to transactions over time, versus on a transaction basis. Rebates have their wn field catalog and their own condition table naming convention.So you could have two condition table "001" one for pricing and one for rebates, which could have different key fields. You need to use the technical names A001 For pricing and KOTe001 for rebates when you use the query type using transaction SE 16..

Use create access sequence (AS). Enter 1 in field category for rebate specific. AS after going thru the right path of maintaining access sequence for rebates.

The big difference between the rebate and the pricing access sequence is that there is no exclsuion flag available for rebate related AS. This means multiple tables for an access sequence can be aplied at the same time.

Rebate related condition types are identified by codnition class -C.

After defining and creating condition types for rebated include them in the pricing proceedure. The requirement should be 24 here which implies that the accruals are calculated on the basis of invoice/bill.

The other fields- alctyp and altcbv does not allow you to manipulate how a rebate is calculated. Also, remove the requiremnt 24, if u want to see reabtes at order time.

Now payment of rebates:

Payments can be maunal or in full settlement. When you do manual payments, it defines how much can be paid out during a partial settlemetn. You use partial settlement only when rebate agreement is defined for a full year but the paoyouts are supposed to happen on a monthly, quarterly or anyother specified period.

These accurals are based on sales volume and when they are posted billing is created int eh follwoing manner. Provision for accruals is debited and Sales revenue is credited. When rebate credit memo is created

Customer account/ is debited and

Accrual provision account is credited.

Also, please note that when rebates are created without dependent ona material but on customer/material you need to refer to a material for settlement.

First of all rebates are more or less discounts which are offered to customers. The rebates are based on the volume of the business the customer does with you within a specified time. for eg if the customer agrees for Rs.1 Crore worth of business with u in 1 year, then you activate your rebate porocess. if at the end of the year the customer DOES achieve the target u offer him say 2/3/4 % whatever is decided. The rebates are passed on to the customer in the form of Credit notes.

The rebate can be given to the customer at one time or in installments also.

This is broadly the outline of the rebate process.

Note : I recomend you to study the theory part of why rebate and why not a discount.

This will help you understand better.

May be I can help you with rebate process.(IN -IMG)

1. define a rebate agreement type

2. define a condition type group

3. define a condition type and place this condition

Type in the pricing procedure.(REQUIREMENT=24)

ALSO IN THE PROCEDURE- ACCRUAL KEY = ERU

YOU ALSO HAVE TO DO THE ACCOUNT DETERMINATION FOR REBATES.

Once you have defined all the 3 and assignment starts.

Assign the agreement type to the condition type group

Assign the cond type group to the condition type.

Condition technique is also used in rebates.

REBATE ACTIVATION- IN CUSTOMER MASTER, SALES ORGANISATION AND FOR THE BILLING DOCUMENT.

After having done this please proceed to maintain the condition record for the rebates (transaction code-vbo1)

Note: if you maintain the requirement coloumn with the requirement as 24 - the rebate will be affected in the billing document and if you dont give the requirement as 24 your rebate will be affected in the sales order.

The rebate process is completed when you have created a credit memo to the customer.

The document type for the partial settlement is R3.

Please make sure you open two screens SO THAT YOU CAN COMPARE THE NEW ENTRIES WHAT EVER YOU'RE DEFINING WITH THAT OF THE STANDARDS or first you try with the standard condition type boo1, boo2

boo3 boo4.

AFTER YOU HAVE FINISHED A COMPLETE SALES CYCLE OF CREATION ORDER , DELIVERY AND BILLING.

GO TO THE CONDITION RECORD IN CHANGE MODE (VB02) AND SETTLE THE ACCOUNT PARTIALLY.

In a simple way,

1. First you need to create a Rebate agreement.

2. Create condition record for rebate giving the rebate rate and accrual rate.

3. when the rebate relevent billing doc is generated, the rebate and accruals are determined and posted in a seperate GL account as a noted item - amount to be settled. Also it gets copied in the rebate agreement.

4. create settlement run using credit memo request and then credit memo to settle this amount with the customer.

Lakshmipathi
Active Contributor
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