This video provides a comprehensive understanding of how to create payment terms in SAP S/4HANA Financial Accounting (FI). Here are the key points:
- Payment Terms: The video explains that payment terms are used to define the due date for payments. For example, some customers may have a payment term of 30 days, while others may have a payment term of 15 days. Payment terms are also used to calculate the liquidity forecast balance, which is used to calculate the liquidity position of a company after a certain period.
- Creating Payment Terms: The presenter demonstrates how to create payment terms in the system. He creates a payment term ‘HA01’ that gives a 30-day credit period and a 2% discount if payment is made within 20 days.
- Defining Day Limit: The presenter explains that the day limit is used to limit the days of the payment term. If a day limit of 20 is set, the payment term will only apply to invoices up to the 20th day. After the 21st day, the system will not allow posting of invoices for customers or vendors.
- Account Type: The presenter explains that the account type is used to determine for which account type the payment term will be used. If the payment term is to be used for both customers and vendors, both options should be checked.
- Fixed Date and Additional Month: The presenter explains that the fixed date and additional month options can be used to calculate the terms of payment after a fixed day of the month or to give an extra 30 days credit term, respectively.
- Block Key and Payment Method: The presenter explains that the block key is used to block the payment for any customer or vendor, and the payment method is used to define how the payment will be made (e.g., check, direct debit, cash).
- Baseline Date: The presenter explains that the baseline date is the date from which the system will calculate the credit terms. The baseline date can be the posting date, entry date, or document date.
- Installment Payment: The presenter explains that the installment payment option can be used to define the percentage of the payment and the number of days for the payment.
In summary, the video explains how to create payment terms, define the day limit, account type, fixed date, additional month, block key, payment method, baseline date, and installment payment in SAP S/4 HANA Financial Accounting.