Tolerance Group--Cash discount Adjustment

Dear All,
Pleasse help me to understand the "Cash discnt adj.to" setting in the configuration for tolerance:
I have the following setting:
Amount per document                1,000,000,000,000.00
Amount per open item account item      99999,999,999.00
Cash discount per line item                       5.000 %
              Amount      Percent   Cash discnt adj.to
Revenue        20.00       2.0 %        10.00
Expense        20.00       2.0 %        10.00
I want to know the function of "Cash discnt adj.to"
In my system I post a customer Invoice of Rs1000 Payterms have discount of 1%.The customer makes payment within due date.So ideally customer should pay 990.But in case of overpayment upto Rs 2 that is 992 the cash discount is adjusted and above that the payment diff account is hit (ZDI)
The same is happening for underpayment.
Can some one please help why system give 2 for adjustment where as I have mentioed 10.
Regards
Raju

Dear Chetan,
I have doubt only regarding the Cash disct Adjusmtment:
My Setting is:
Revenue 20.00 2.0 % 10.00
Expense 20.00 2.0 % 10.00
say For revenue:I understand that if there overpayment but what is role of cash discount Adjustment?
You say:
When clearing payments, any payment differences up to the amount specified are corrected with the cash discount posting as +long as the cash discount amount is large enough for the adjustment.--Cannoy understand when you say --as long as...adjustment.
The value you specify in amount is used for differences that represent a gain.-I understand this
Can you please expain with a simple scenario.
Regards
Raju

Similar Messages

  • FBL1N-Cash discounts grouped by assignment number

    Hi All:
    Could you please give ur thots on how to group cash discounts by assignment number in FBL1N.
    I want to subtotal the cash discount with assignment number.
    Thanks
    Gita

    Hi Gita,
    first of all, you have to find out what kind of information you want to see in the assignment field. Then you can set it up as a sort key in the cash discount GL account's master record using transaction FS00.  (Note: if you have a more complex logic that cannot be covered by a sort key, you can define a substitution rule in OBBH which can even use a user-exit if the logic is really complicated.)
    Once you have the proper logic for the assignment field implemented (via sort key or substitution), you can run transaction FBL3N on your cash discount accounts and you then can define an ALV layout variant with subtotaling over the assignment field.
    Hope that helps, points welcome
    Csaba

  • OBA4 FI tolerance groups for users - GL account

    Dear All,
    May I know where is the gl account defined for the permitted payment differences? If in FBKP, then which group to define?
    Thanks

    Hi
    Please use the below mentioned path to define tolerance groups for users and also refer to follow the below link
    For normal price difference clearing use the Tcode:OBXL
    http://www.scribd.com/doc/51496069/17/Assign-User-Tolerance-Groups
    for details please go through the below mentioned points
    SPRO>Financial Accounting>General Ledger Accounting>Business Transactions>Open Item Clearing>Clearing Differences>Define Tolerance Groups for G/L Accounts/Define Tolerance Groups for Employees
    Upper limit for posting procedure
    Maximum Amount Posted per Document
    Maximum permitted posting amount per document for this user group.
    The posting amount is the total of all debit items or, similarly, the total of all credit items.
    Maximum Posting Amount per Line Item
    Maximum posting amount permitted per customer or vendor item for this user group.
    Maximum Cash Discount Percentage Rate
    Maximum cash discount percentage rate which may be assigned by an employee of the user group.
    Use
    The percentage rate is checked during the entry, change and clearing of open items.
    Note
    The restriction does not apply to automatically created line items, for example, during payment settlements.
    Permitted payment difference
    Maximum Payment Difference for Revenue
    Payment differences to our advantage are allowed up to the amount entered here.
    The amount always refers to the local currency. Payment differences up to the amount entered here are posted automatically by the system as increasing the profit. The system creates line items to show this.
    Note
    In addition to the amount, you also enter a percentage rate in the Percent field. The lower limit is valid. If you only want to use absolute amounts or percentage specifications, then you must enter the maximum value in every other field.
    Note that you define these limits for your customers/vendors and your employees. The lower limit is valid.
    Example
    The local currency is USD. You have entered 30 USD in the Revenue field and 1 in the Percent field. For incoming payments up to 3000 USD, you accept an overpayment of a maximum of 1 percent. That means, amounts of 0 to a maximum of 30 USD are tolerated, depending on the incoming payment amount. For incoming payments over 3000 USD, you accept an overpayment of up to a maximum of 30 USD.
    Maximum Allowable Revenues from Payment Differences
    Differences when settling payments are accepted and posted automatically by the system up to the percentage rate entered here. The percentage rate is only valid if the difference is posted as a gain.
    The percentage rate is used for the maximum of the debit and credit totals of the items to be cleared.
    Note
    In addition to the percentage rate, you also enter an amount in the Revenue field. The lower limit is valid. If you only want to use absolute amounts or percentage specifications, you must enter the maximum value in every other field.
    Note: You define these limits for your customer/vendor and your employees. The lower limit is valid.
    Example
    The local currency is USD. You have entered 30 USD in the Revenue field and 1 in the Percent field. For incoming payments of up to 3000 USD, you accept an overpayment of a maximum of 1 percent. That means, amounts of 0 to a maximum of 30 USD are tolerated, depending on the incoming payment amount. For incoming payments over 3000 USD, you accept an overpayment of up to a maximum of 30 USD.
    Maximum Discount Adjust. for Gain from Payment Differences
    When clearing payments, any payment differences up to the amount specified here are corrected with the cash discount posting as long as the cash discount amount is large enough for the adjustment.  The value you specify here is used for differences that represent a gain.
    Regards
    Praveen  PC
    Edited by: Praveen Chirakkel on Apr 12, 2011 6:46 AM

  • Cash discount in APP F110

    Hi,
    When I am processing vendor payment through Automatic payment transaction (F110), system is calculating vendor payment net of cash discount though the payment is overdue. For e.g., due date is 10th July 09, but I am processing payment 15th July, even in this case cash discount is being deducted out of payment made to vendor.
    In FBZP we have not checked maximum cash discount. Even then why system is calculating cash discount for overdue payment.
    Regards,
    Nagaraj

    You may also want to check whether there is a tolerance day specified in FBZP, on the same screen where you would check Max cash discount or tolerance group in master data, where grace days are allowed for discounts.

  • Cash Discount in APP

    Hi All,
    I am trying to run F110 but encounter the following error message:
    Account xxxxxxxxx requires an assignment to a CO Object.
    Actually this is Cash Discount taken account which is appearing during APP run and of P& L Account .
    I have already set  an automatic account assignment (e.g cost center default) in txn OKB9 to avoid posting error , when the payment program posts the cash discount line .
    Please advise what could I do to avoid posting error and throw some light on Cash Discount procedure.
    Thanks In Advance,
    Payal

    You may also want to check whether there is a tolerance day specified in FBZP, on the same screen where you would check Max cash discount or tolerance group in master data, where grace days are allowed for discounts.

  • Cash Discount may only be granted up to 3%

    Hi Guys,
    Im new to FI. While posting an invoice in MIRO, we encounter an error "Cash Discount may only be granted up to 3%".  Payment term we are using has cash discount of 5%. I want to take out the limit of the cash discount, how will I do it? What transaction codes to be used? Thanks.

    this is held in tolerances
    This is in SPRO "Define Tolerances Vendors"
    You have groups, and the tolerance group is assigned to the Vendor

  • Tolerance group for G/L accounts (OBA0)

    Hi All,
    If i not maintained company code in Tolerance group for G/L accounts (OBA0), what are the transaction codes will not get executed?
    as per i know, can not execute f.13, f-03, f-07 and f-06. other then these which are the tcodes will not work?
    And please expalin the importance of OBA0 configuration or forward any links.
    Regards,
    Swetha

    hi
    i think you understand this
    ___path for tolerance groups___
    define tolerance group for GlTC-obao
    MG® Financial Accounting ® Account Receivable and Accounts Payable ® Business Transactions ® Incoming payments®Manual Incoming Payments®define tolerance group for Gl
    Tolerance Groups for G/L Accounts
    For G/L account clearing, tolerance groups define the limits within
    which differences are accepted and automatically posted to predefined
    accounts. The groups defined here can be assigned in the general ledger
    account master record.
    Define tolerance group for employees.TC-oba4
    IMG® Financial Accounting ® Account Receivable and Accounts Payable ® Business Transactions ® Incoming payments®Manual Incoming Payments ®Define Tolerance Groups for Employees.
      Purpose:
      To define:
    The maximum document amount to the employee is authorized to post.
    The maximum amount the employee can entered as a line item in a vendor account.
    The maximum cash discount percentage the employee can grant in a line item.
    The maximum acceptable tolerance for payment differences for the employee.
    Define tolerance Group for customersTC-oba3
    IMG  ® Financial accounting  ®Account receivables/payables  ®Business transaction ® Open item clearing  ®clearing difference  ® Define tolerances for customers/vendors
    regards
    sai
    Edited by: SAIKUMAR REDDY.BIJJULA on Oct 14, 2008 2:46 PM

  • Tolerance Group DEBI & KRED

    We're currently exposed to a risk which is the following:
    There are employees who belong to both the DEBI and KRED tolerance group in Table T043T.  This leads to a problem because the KRED tolerance allows the user to give discount in excess of that specified for DEBI when doing debtors incoming payments, i.e. if KRED is set to 30% cash discount, then the clerk can grant 30% settlement discount to customers on an incoming payment.
    This however is standard SAP, are anyone aware of a solution to this issue or is there a way around this risk?  Your input is appreciated.

    Hi .,
                  Tolerence group means that it allows the percent of deviation from  the ordr,Tolerence groups are generally meintained in Shipping
    For example take tolerence group is mentioned as 10 % & Raise a sales order for 100 Kgs,We can do the delivery of the goods to 100 Kgs + 10 % of the 100 Kgs
    REWARD if helpfull
    Thanks & Regards
    Narayana

  • Vendor Cash Discount Master Data Settings

    Where is the proper area of the COA that a vendor discount account should be setup and what are its typical settings?  Looking for specifics in the following areas:
    Cost Element? Y/N
    General Operating Expense Section of COA? Y/N
    Auto-Posting? Y/N
    Cash Relevant Flag? Y/N
    Post w/o Tax? Y/N
    Tax Category?
    Any input would be greatly appreciated, thanks.

    it will be set up in IMG tcode: OBXU (cash discount taken)
    The set up for cash discount account in FS00:
    Cost Element? Y/N >>> Yes, normally this is part of above GP in COPA (if you have COPA)
    General Operating Expense Section of COA? Y/N > depends on your COA account grouping
    Auto-Posting? Y/N > can be auto post or not, depending on the requirement if Finance won't allow any manual adjustment
    Cash Relevant Flag? Y/N > No
    Post w/o Tax? Y/N > Y in cases that the cash discount should not have tax
    Tax Category? > just put "-" input tax

  • Cash discount & Overpayment,Underpayment

    Kindly explain me the procedure,settings and what G/L accounts had to be assigned  in obxu,obxl. for cash discount and overpayment and underpayment for customer and vendor and how about the Tolerances for user,customer and vendor what settings have to be done and how they reflect.
    Thank u
    Narender

    A) Cash Discount-
    1.Financial Accounting (New) ---> Accounts receivables and Accounts Payables --->Business Tansactions ->Outgoing Payments->Outgoing Payments Global Settings--->Define Accounts for Cash Discount Taken
    T-code- OBXU
    2.Enter the your chart of accounts . Choose Continue
    3.Enter account number
    Here you define the account numbers for your cash discount expense accounts. The system posts the cash discount amount to these accounts when clearing open items.
    4.Save your entry.
    B) OverPayment /Underpayment-
    Financial Accounting (New)->Accounts receivables and Accounts Payables->Business Transactions->Outgoing Payments->Outgoing Payments Global Settings--->Define Accounts for Overpayments/Underpayments
    T-code-OBXL
    2.Enter the your chart of accounts . Choose Continue
    3.Enter account number
    Again account is Expense account.Reason for creating this one is because of following reason
    There is a difference in payment. The difference can result from an underpayment or an overpayment.
    The difference is within the tolerance limits for an automatic adjustment posting.The difference cannot be posted via cash discount adjustments.
    4.Save your entry.
    Like wise,
    Transaction code OBA1-Defining Account for Rounding Differences
    Transaction code OBXO-Define Accounts for Payment Differences with Altern. Currency
    Transaction code OBXK-Defining Accounts for Bank Charges (Vendors)
    Transaction code OBXI-Defining Accounts for Cash Discount Granted
    Transaction code OBYH-Defining Accounts for Bill of Exchange Transactions
    Hope this is help you in understanding.
    If you want more clearity, please let me know.
    Regards
    Parag

  • Valuation Group and Tolerance Group - FS00

    Hi all,
    Can someone please tell me what the field 'valuation group' and 'tolerance group' are used for? I've found a brief description online, but if you could provide me with an example that would be great.
    thanks,

    Hi
    We will use Tolerance group for below mentioned activities
    the maximum document amount the employee is authorized to post
    the maximum amount the employee can enter as a line item in a customer or vendor account
    the maximum cash discount percentage the employee can grant in a line item
    the maximum acceptable tolerance for payment differences for the employee
    For Valuation Group suggest you to refer below links
    Valuation group code in Account determination?
    Regards
    Praveen

  • Tolerance group question

    While doing my GL posting, I cannot go to the next screen because of the following error message. " No amount tolerance range for company code". I have assigned my company code to max.tolerance limits for documents and line items for employees to enter. Any help on this would be greatly appreciated.Thanks.
    No amount tolerance range entered for company code
    Message no. F5103
    Diagnosis
    No tolerance group is specified in company code
    In a tolerance group you define the upper limit for a posting.
    Procedure
    If you have entered the correct company code, ensure that at least one tolerance group is created for this company code and that it is also assigned to the company code. You do this in Customizing for Financial Accounting under Financial Accounting Global Settings -> Document -> Line Item -> Define Tolerance Groups for Employees.
    Edited by: Taz75 on Mar 19, 2009 8:32 AM

    Hi,
    Goto OBA4 - FI Tolerance Group for users.
    This has to be filled without fail else postings would not happen.
    Goto new entries and fill in the following details.
    Group : Blank
    Company Code: Your Company Code
    Currency :INR
    Amount per Document : 99,999,999,999.00
    Amount per open item account : 99999,999,999.00
    Cash discount per line item : 10%
    Save it.
    Now try posting.. It will post now..
    Cheers
    Redoxcube

  • FS00, Tolerance Group

    Dear All,
    in Tcode FS00, when i enter Tolerance group in Control Data tab , giving error
    "Field Tolerance group: Value RI01 not allowed,  Message no. FH701"
    I have given , totlerence value anf G/L account for amount posting.
    Also checked Tcode OBA), OBA3, OBA4 , OBXZ
    Now , where shall i have to check for this error
    Regards
    Swati

    OK, Chintan now i have created another group and my setting like as under
    OBA0   
    Company Code    RI01 Rubamin Limited
    Tolerance group RI01 RUBAMIN LIMITED ***
    Debit posting        1.00 INR   Percentage      %
    Credit posting       1.00 INR   Percentage      %
    Group             RI01
    Company code      RI01  Rubamin Limited           Vadodara
    Currency          INR
    OBA4,
    Group             RI01
    Company code      RI01  Rubamin Limited           Vadodara
    Currency          INR
    Amount per document                    9,999,999,999.00
    Amount per open item account item        999,999,999.00
    Cash discount per line item                             %
                   Amount      Percent   Cash discnt adj.to
    Revenue         1.00       0.1 %
    Expense         1.00       0.1 %
    I have given Tolerance Group as RI01 in G/L Master.
    But still in F-03 , giving same error like ,
    "The difference is too large for clearing,Message no. F5263"
    Is there any other place , where configuration missing for this error,
    Pl let me know
    Regards
    Swati

  • Wat is assign/user tolerance groups

    hi
    can some one explain wat is "assing user/tolerance goups in img.how it works.and wat i should i consider when assing this tab to users

    Hi Iqbal,
    Tolerance group mean user level i mean Clerical leval
    For Exam:1. Accountant level 2.Financial manager level like that. Accountant level  some cash discount or some big amount can't able to give to vendor. But Financial manager level can possible.
    the configuration path
    IMG > Financial Accounting > Financial Accounting Global setting > Document > Line Item > Define Tolerance Group for  Employees >  then after configuration Assign User/Tolerance Groups.
    Bharathi

  • F-53 and F-28, Customized columns for cash discount and %

    Hi Expert,
    With reference to the subject of: Customized columns for cash discount and % ...
    I faced the problem of not able to set / defined hidden column for cash discount and % by creating a new variant.
    Steps:
    Create a variant
    Click <administrator> button ... mark the columns hidden, and click <activate> button
    Then click <Save> button
    Problem: Every time I using the F-53/F-28, the layout is not working, and when goto check the variant settings, the cash discount and % columns remained unchecked.
    SAP version: 4.6
    Kindly advise.
    Thanks and regards,
    sbmel

    Hi JP,
    It is not working using field status group, as I am using F-53 and F-28 and not FB50/60/70.
    The purpose I want to create variant for screen after clicking <process open item> is to control column display (hide cash discount and %).  if the variant is working, I can create a customized Tcode for the F-53 and F-28.
    Now problem is that variant seem not working.
    Thanks and regards,
    sbmel

Maybe you are looking for

  • Open/Save Dialog, 9 min. Beachball Freeze

    I am running OS 10.10.2 on a March 2009 iMac with 8GB RAM and 1TB HD. PROBLEM: While working in Illustrator 18 (CC 2014), if I choose File > Open, the Open dialog appears but I get the spinning beachball for 9 minutes before file contents appear. I d

  • Used to be family plan, but now I'm down to one phone. What happens?

    << New discussion due to age of previous thread >> I have a similar question.  I'm on a family plan with 3 lines, all out of contract.  I want to get down to 1 line, but also upgrade my phone. Will the upgrade force me to go into a different plan for

  • Need keychain help !!

    i just got this new macbook pro for graduation and had an imac before. i transferred all my files over and now whenever i open an application it asks for my login keychain from my imac. how do i make it go away ??

  • Illustrator CC graph file is opening with an "Offending Operator: inf" error.

    Illustrator CC graph file is opening with an "Offending Operator: inf" error and then proceeds to open a file with half to all of the data and elements missing. How Do I fix that or can it be fixed? One in ten graph/chart file I do with Illustrator C

  • Where does my application resides for deployment?

    1) I have stepped thru deploying the HelloWorld and Fortune sample applications .. and they worked fine. What I don't understand is how to deploy my JSP/JDBC application. Where do I put my application? The ias-samples put the samples in ..\ias-sample