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Former Member

Down payment

Hi,

Can someone send me the config steps to be done for using down payments. Also if some1 can explain to me, why to use down payments instead of using partial payments which can do the same work and how are accounting entries different for downpayments compared to partial payments.

shruti_fico@yahoo.com

Thanks,

Shruti

Edited by: shruti fico on Jun 3, 2008 10:35 PM

Edited by: shruti fico on Jun 3, 2008 10:36 PM

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  • author's profile photo Former Member
    Former Member
    Posted on Jun 03, 2008 at 08:56 PM

    Firstly, could you please remove your e-mail address from your post!!!

    Down Payments and Partial Payments are quite different. Down Payment is something that you receive from customer or pay to vendor even before the invoicing stage. Partial Payment is payment towards an invoice. Down Payment is a special GL transaction in SAP. All you have to do is the customizing in OBXR. The posting goes to an alternative reconciliation account, instead of the one mentioned on customer/vendor. Read the following for more clarity on this topic (click on special G/L transactions in the tree on the left).

    http://help.sap.com/saphelp_erp60_sp/helpdata/en/41/37b8e7455b11d182b40000e829fbfe/frameset.htm

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  • author's profile photo Former Member
    Former Member
    Posted on Jun 04, 2008 at 03:43 AM

    HI,

    Down Payment & Partial Payment are not same.

    Down Payment we pay to our Vendors or receive from our customers before billing for example with PO.

    Partial Payment is linked with Billing.

    Config is done for down payment with OXBR.

    Down payment posting goes to another Reconciliation Account (Special G/L) instead of regular Reconciliation Account.

    Customer Down Payment is Cleared with F-39 and Vendor Down Payment id Cleared with F-54.

    Hope this will solve your Qurey.

    If useful plz award....

    Regards

    Sunil Goyal

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  • author's profile photo Former Member
    Former Member
    Posted on Jun 04, 2008 at 04:16 AM

    Hi Shruti,

    Down payment and the partial payment are two different concepts. Down payments means we pay the amount to vendor or receive the advance from our customer in advance. It is settled at the time of full payment or at the time of invoice clearing.

    The accounting entries for down payment will be as follows:

    In case of Customer

    _Down Payment received_

    Bank A/c (Debit)

    To Customer Account (Credit)

    ( This will be a different acccount of down payment)

    At the time of invoicing

    Customer Account (Debit)

    To Sales (Credit)

    At the time of payment

    First we will set of the amount of down payment to original customer account and the entry will be

    Customer Down Payment A/c ( Debit) ( Down Payment Account)

    To Customer Account(Credit) ( Customer Original Account)

    Bank A/c ( Debit)

    To Customer A/c

    In case of partial payment, it is used to pay of the some portion of the invoice and not the full amount of open item.

    It results in posting the credit to the customer open item but it leaves the original item intact. As a result the open item is not cleared fully. In case you make the rest of the payment in future the system will use the same document number which was generated at the time of partial payment.

    You will appreciate when you will compare the difference between partial payment and residual payment.

    In residual payment the system gives the new document number all together to the open item. It clears the open item to that extent and when you make the rest of the payment it generates the new document number .

    Hope this will clarify all your doubts.

    Thanks,

    Nitin Aggarwal

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  • Posted on Jun 04, 2008 at 04:18 AM

    1. When you make a down payment to vendor :-

    Vendor Spl. A/c Dr. (Thuis is the special GL A/C)

    To Bank

    2. After MIRO, when you clear down payment :- T.Code F-54

    Vendor A/c Dr.

    To Vendor Spl. A/c

    3. At Final payment

    Vendor A/c Dr.

    To Bank

    Assign points if found useful

    Regards,

    R.Ramakrishnaraj

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    • Former Member

      Hi,

      ( For Vendor down payments only)

      Can you tell where to do the config for the Target Spl GL Indicator field we get while doing F-47 and F-48.

      I want to change the GL account to which the down payments should go.

      For eg: we have a PO for $ 10,000 and we will be making 6 down payments for $1000 each and the final invoice will be for $10,000 out of which i guess it should automatically calculate the balance ( $4000 ) and pay this.

      Also can you list the steps for doing down payments for vendors, I guess it starts with F-47...what are the subsequent t-codes/steps till the final invoice is received which will be for total invoice amount,

      I believe this target SL indicator is the recon a/c where the down payments are posted.( can you confirm this)

      THanks,

      Shruti

  • author's profile photo Former Member
    Former Member
    Posted on Jun 06, 2008 at 02:11 PM

    are you looking for a spl gl configuration?

    rgds

    jay

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