To use payment schedules

If a payment schedule is linked to an invoice, LN performs the payment process or the receipt process for the payment schedule lines rather than for the invoice.

Open entries

When you create an invoice with a payment schedule, LN generates payment schedule lines based on the payment schedule definition. Each payment schedule line is identified by the invoice number followed by the payment schedule line number.

In Accounts Receivable or Accounts Payable, if you display purchase invoice or sales invoice details or the open entries for a business partner, you can view and, in some situations, change, the generated payment schedule lines.

To display the payment schedule lines, in the appropriate session select the invoice or open entry and on the appropriate menu, click Payment Schedule. One of the following sessions starts:

  • Receipt Schedules (tfacr1103m000)
  • Payment Schedule (tfacp1103m000)

As long as no payments have been posted for an invoice with a payment schedule, you can change, add, or remove payment schedule lines.

If you use payment schedules, LN generates interest invoices and reminder letters for the shipments for which payment is overdue.

To assign receipts or payments to payment schedule lines

In the same way as you assign receipts, advance receipts, and unallocated receipts or payments to invoices, you can assign receipts, payments, and credit notes to payment schedule lines.

Payment schedules mandatory

In the Finance Company Parameters (tfgld0503m000) session, you can select the Schedules Mandatory check box to indicate that payment schedules must be used for all sales invoices and purchase invoices in the financial company.

If payment schedules are mandatory, the following rules apply:

  • You cannot change the due date of an invoice.
  • If no payment schedule is linked to the payment terms of a sales invoice or purchase invoice, you must still define a payment schedule when you save the transaction in Accounts Receivable or Accounts Payable. LN automatically starts the Receipt Schedules (tfacr1103m000) session or the Payment Schedule (tfacp1103m000) session.
  • For credit notes, LN generates a single payment schedule line for the entire credit note amount.

In a multicompany structure, the companies can share the business partner data. However, the Schedules Mandatory parameter is specific for a financial company. Therefore, if payment schedules are mandatory, you can still define payment terms without a payment schedule linked to them.

Credit notes for payment schedules

If the customer returns part of the goods, or if you create invoice corrections, LN creates a credit note. LN does not create payment schedule lines for a credit note, with the following exceptions:

  • If payment schedules are mandatory, LN generates a single payment schedule line for the entire credit note amount. In the Accounts Payable module, you can manually assign credit notes to payment schedule lines. For details, refer to To assign credit notes to payment schedules.
  • If you use receipts against shipments, LN generates payment schedule lines for the credit note that correspond with the shipments of the returned goods. In this way, you can assign each credit note line to the corresponding shipment. For details, refer to To assign credit notes to receipt schedules.

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