Defining net terms

Use net terms to establish a net due date based on the number of days or months from the invoice date. For example, your company may pay all employee expenses five days after receipt. This procedure outlines the process for defining net terms.

Define net terms

Access the Net tab on Maintenance (TE01.2).
Specify a term code and description, and define the net terms for that code.
Specify this information:

Discount Percent and Discount Day

To define a discount for this term, specify the percent of the discount and the number of days following the invoice date that a discount can be taken.

Net Day or Net Months

Specify the number of days or months to be added to the invoice date to calculate the net due date.

Anticipation

If invoices assigned this net payment terms code are eligible for an anticipation discount, select Yes. An anticipation discount percent must be defined in Vendor (AP10.1).

Preview Button

Click the preview button to test a term code using a sample invoice date and amount.