FM Budget check on basis of Payment Terms in Vendor Master

[meet_waseem]

Dear Experts,

In our scenario, Payment terms are defined & assigned as 45 days in Vendor Master. Posting date is included in Source fields of derivation rules so budget is subject to periodic basis.

Practically system is checking and consuming FM budget, in FB60, on the basis of Payment terms as assigned in Vendor Master which should not happen. For example, a Vendor Invoice is posted in FB60 on 01-Jun-2021 whose payment terms allow him 45 days. At time of saving the document, the system checks & consumes budget of July 2021 (which is wrong). Now if I change payment terms as 15 days or 30 days for same kind of invoice (posting date same 01-Jun-2021), then system checks & consumes budget of June 2021.

Our requirement is to check & consume budget in the period of posting date in FB60 irrespective of payment terms duration.

Please advise the appropriate solution.

[iklovski · Accepted solution]

Hi,

Normally, this is control by the Update Profile in FM. What profile do you have for your FM area?

Did you perform any modifications to it? Because, most of the standard profiles consume the budget based on a posting date, when an invoice is posted.

Regards,

Eli

[meet_waseem · Accepted solution]

Dear Eli,

Thanks for your reply.

Update profile mainatined is "0001001 Payment budget; Payment basis ; Due date"

Now from your suggestion, I am thinking I should change it to "0001011 Payment budget; Payment basis ; Posting date" or "0001021 Payment budget; Invoice basis ; Posting date".

Please suggest.

[iklovski]

Hi,

I guess, you meant 000100. Well, this profile is based on due date, as could be seen also from its description.

You can change a profile, but be aware that if your system is fully operational, there are consequences to this action. If you are just in setup phase, then it is perfectly OK to change the profile which suits your needs best. The difference between 102 and 101 profiles is in the way the budget consumption is processed during payment (clearing) of your invoices. If you want this process of clearing, normally performed by a payment run, impact your budget consumption, then you should choose 000101; otherwise, 000102 would be better.

Regards,

Eli