SAP FI Payment Processing

Classified - Internal use

Agenda

I: Purpose of Automatic Payment Program

II: Implementation Considerations

III: Features IV: Executing the Payment Program

V: Demo

Classified - Internal use

I: Purpose of Automatic Payment Program

Developed for international and local payment transactions with customers and vendors, and can be used for both incoming and outgoing payments.

Classified - Internal use

II: Implementation Considerations

Configuring the payment program

Setup the House Banks and Bank Accounts Set up Payment Methods Set up Payment Forms Bank Master Data Vendor Master Data

Master Data Set up:

Payment program configuration involves determining

What is to be paid. When payment is carried out. To whom the payment is made. How the payment is made. From where the payment is made.
Classified - Internal use

House Bank

The banks with which our company maintains our bank accounts are referred to as house banks. We define these banks in the system under a house bank key (bank ID). We store the accounts that we maintain at these banks under an account ID. For each bank account, we create a G/L account in the system.

Classified - Internal use

Payment Method

The payment method specifies the procedure, such as check, transfer or bill of exchange, by which payments are made.

Classified - Internal use

Forms

This represents the form that is used in the payment transaction. This contains the details of the payment made.

Classified - Internal use

Bank Master Data

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Vendor Master Data

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Vendor Master Data

Classified - Internal use

Payment Program Settings

You initially need to make some basic decisions for each company code used by the payment program. The setting of tolerance days for the payment of payables is one such decision. Since the payment program can be used for more than one company code, you must also specify the company code that is making the payment. Further control over the payment program can be achieved if you specify the following:

How open items are selected, and if required grouped together for one payment The payee How the payment method is selected How the bank is selected Which forms to use
Classified - Internal use

III: Features

The payment program lets you handle both outgoing and incoming payments. Can be used for local and international payments. The standard payment methods include check, transfer, etc. Other special features include:

Clearing open items between customers and vendors Cross-company payments Paying or clearing any type of open item, for example clearing down payments Restricting access to the payment program by assigning authorizations
Classified - Internal use

IV: Executing the Payment Progam

Classified - Internal use

Payment Program details

Step 1: Set up Parameters

We define the settings the system will use in determining which open items to pay, what payment methods to use, and what information will be captured in the payment log.

Classified - Internal use

Transaction F110 Set Parameters

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Transaction F110 Set Parameters

Next, you inform the system on what values of documents to include

Classified - Internal use

Transaction F110 Set Parameters

We are asking the system to log the following events: Due date check - used to keep a log of the due date checking of open items Payment method selection in all cases - used to keep a log of all payment methods and banks selected during a payment run Payment method selection if not successful - attempted selection of the payment method and bank is recorded in the log if no permissible payment method or bank is found line items of the payment documents - displayed here are the line items to be posted in the payment document

Classified - Internal use

Transaction F110 Set Parameters

Classified - Internal use

Transaction F110 Run Proposal

You are scheduling the payment proposal in this step The proposal acts as simulation of an actual run to allow you to perform an analysis and make any necessary adjustment prior to the live run

Although no postings are made by the system at this point, items selected during the proposal run cannot be selected by any subsequent payment run. This prevents duplicate payments from being made. Note - these items are "selected" until the proposal is either deleted or the payment run is completed.
Classified - Internal use

Transaction F110 Run Proposal

Classified - Internal use

Transaction F110 Run Proposal

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Transaction F110 Run Proposal

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Transaction F110 - Payment Run

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Transaction F110 Payment List

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Transaction F110 - Printout

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Payment Form

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Payment Run for Customers

Classified - Internal use

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V: DEMO

Classified - Internal use