Retro-Billing for Pricing

Retro-billing can also be done on sales and purchase contracts when a price book or discount schedule is linked to the contract and the price and discount is updated in the price book or discount schedule.

Retro billing for sales contract price books:

When a price book or discount schedule that is linked to a sales contract is updated, the retro billing process can be initiated for all the Using Documents for which the Retro Billing Applicable check box is selected. You can:

  • View the Using Documents such as Sales Contract Price Line, Request for Quotation Response, and Price Matrix linked to the price book, on the Linked Documents tab in the Price Book (tdpcg0611m000) session.
  • Use the Documents for Retrobilling session to view the Sales order invoice line and the sales schedule invoice lines for which the price book lines are used. The new price of the price book line is compared with the invoice line price and the difference (if any) in net amount is calculated.
  • Generate a retro-billed advice using the Generate Sales Retro-Billed Advice (tdsls3270d000) session for the net amount difference. Only one open retro-billed (RB) advice can exist. A new RB advice cannot be generated for another price change, if an open RB advice exists.

    When processing this advice, an additional invoice line of type Retro-Active is created for the sales order/schedule line.

    Note: The pricing parameter Allow Updates of Price Books used for Contracts determines if changes can be made to price books that are linked to a contract. It is also possible that other entities of the price book lines are modified.

Price book line changes may affect the price / discount of a sales / purchase document. Possible scenarios:

  • When a price book line is updated, the Retrobilling Applicable check box is defaulted to the linked Using Document, Invoice line (sales) and/or Payable receipt (purchase). The net amount of the Invoice line (sales) and/or Payable receipt (purchase) that use the price book line, is recalculated based on the updated price book data.
  • When a price book line is added and the Using Documents are not specified, all price book lines with the same Item, Currency, and Break value are set to Expired. The Retrobilling Applicable check box is defaulted for all the Using Documents linked to these expired price book lines.

When a new price book line is added, retro-billing is considered for all using records with the same item, MPN, and currency.

Table 1. Price book with the next lines (break type = Minimum):
Line Item Currency Break Value Price
1 X Euro 1 100,-
2 X Euro 10 90,-
3 X Euro 100 80,-

A price book line is added with break value = 50 and price is 85,-. Now, only for the documents that use line 2, retro-billing can be applicable.

When break type = Up To, the line with the next break value is involved.

When a price book line is deleted, the application defaults the Retro-billing Applicable check box setting to the price book lines with the same item, MPN, and currency.

Note: The new price retrieval and the comparison is done only if Retro-billing Applicable check box is selected.