Flexible Invoice Payment Terms

Hi

Many consultants have questions on Flexible payment terms in AP.  One such requirement is that Invoices dated any time between 1st to 15 of the month  should be paid  on 5th of the next month and other invoices  received from 16 th to the end of the month should be paid on 20th of the  next month.

Cut off day and Months ahead  does not give a  good solution for this.

Use AP special Calendar to achieve this. Define  a  special Clendar with  24 periods  and check the Payment Terms radio check box. Your special calendar should look like this

No of periods 24

Period1  

Inv From date  1-Jan-2009 Inv To date  15 Jan-2009 Pmt Date  05-Feb-2009

Period2

Inv From date  16-Jan-2009 Inv To date  31 Jan-2009 Pmt Date  20-Feb-2009

Define the next 22 payment terms.

Use this Special calendar in Payment terms.

Thanks

Kumar