Milestone Billing for vendor

Hello
We have large terms contract and also same with vendors.Vendors are paid as per terms of contract-and have large number of con

Hello
Our client is into projects business.We not only have milestone billings with our customer but likewise with vendors.What i understand is we have various functionalities in SAP to take care of such milestone billings vis a vis customers.But how do we use milestone functionality with respect to vendors.

Similar Messages

  • Milestone Billing  for third party order process

    hai Gurus
                 Pls help me in understanding of milestone billing with example.
                 Is it possible to link the milestone billing for Thirdparty order process?
                 pls send me documents to my Id [email protected]
    I will reward points for the helpfull answers
    Regards
    SaravananS
    Message was edited by:
            Saravanan Sevuga perumal

    Hello Saravanan,
    Milestone billing means distributing the total amount to be billed over multiple billing
    dates in the billing plan.
    As each milestone is successfully reached, the customer is billed either a percentage of
    the entire project cost or simply a pre-defined amount.
    During sales order processing, the system determines from the item category whether a
    billing plan is required and, if so, which type of plan
    The type of billing plan that is determined at this point is set up in Customizing and
    cannot be changed in the sales document.
    Billing plans for periodic billing and milestone billing plans for project-related milestone
    billing have different overview screens so that you can enter data relevant to your
    processing.
    For example, for milestone billing, you must be able to enter data to identify the
    individual milestones.
    IMG configuration requires :-
    1.  Maintain billing plan types for milestone billing in OVBO.
    2.  Define date description in SM30 - V_TVTB.
    3.  Maintain Date Category for Billing Plan Type IN OVBJ.
    4.  Allocate date category in SM30 - V_TFPLA_TY.
    5.  Maintain date proposal for Billing Plan Type in OVBM.
    6.  Assign Billing Plan Type to Sales Documents Type in OVBP.
    7.  Assign Billing Plan Type to Item Categories in OVBR.
    8.  Define rules for determining the date in OVBS.
    Milestone billing is typically used for billing projects, such as plant engineering and
    construction projects. Such projects often include a series of milestones that mark the
    completion of different stages of the work. In the SAP R/3 System, milestones are defined
    in a network along with planned and actual dates for the completion of work. The milestones
    are also assigned to the billing dates in the billing plan.
    Each milestone-related billing date is blocked for processing until the Project System
    confirms that the milestone is completed.
    Delivery-relevant order items for which a milestone billing plan applies are billed on the
    basis of the requested delivery quantity and not on the total of the confirmed quantities.
    The connection between the project and the sales document item is made in the individual
    schedule lines of the item. Each schedule item can be assigned to a network in a project.
    To display the project-related data for a schedule line, proceed as follows:
    In one of the overview screens of the sales document, select
    1.  Item -> Schedule lines.
    2.  Mark the schedule line and select Procurement details.
    The following figure shows an example of milestone billing where only the Contract have
    been billed :
    Order  Item  Turbine    100,000
    Billing Plan
    Billing date Description    %  Value  Billing Block   Milestone   Billing Status
    01-10-94     Contract      10  10,000      -             x           x 
    01-03-95     Assembly      30  30,000      x             x          
    01-04-95     Maintenance   30  30,000      x             x
    01-05-95     Acceptance    30  30,000      x             x
    01-06-95     Final invoice ..    ..        x
    Network/Activities
    Milestone    Estimate      Actual
    Assembly     01-03-95      01-03-95
    Maintenance  01-04-95     
    Acceptance   01-05-95
    For each billing date in a milestone billing plan, you can specify whether the billing
    date is:
    1.  fixed
    2.  always updated with the actual date of the milestone
    3.  updated with the actual date of the milestone, if the date is earlier than the
        planned billing date for the date
    <b>**REWARD IF THIS HELPS**</b>
    Regards
    AK

  • Milestone Billing for partial quantities

    Hi,
    My client is having Milestone billing schedule where in they bill their customers as per the billing schedule maintianed in the billing plan tab in sales order.
    Billing plan is activated at Item level as the various items in a sales order can have different schedules.
    But the issue is that they bill their customer on pro-rata basis which means the the billing document created for different milestones in the billing plan for each item can happen for partial quantities of the item under consideration.
    Standard SAP Functionality doesnot allow this. In Copy Control, I tried out using the Invoice Split in Data Transfer Routine in Copy Control  which doesnot give me the desired fucntionality.Copy Requirements Formula used is 023 (Item ord.ref. w/o AZ) as i need to create invoices for each milestones at item level which is working fine. But just that i cannot do milestone billing  (for individial milestones at Item Level) for rpartial quantities. It can only happen for the entire order quantity.
    In short the condition BIlling Quantity = Order Quantity - Invoiced Quantity is not working. Always Billing Quantity = Order quantity.
    Delivery Related billing will not serve their purpose either...
    Can any one throw some light on the above issue? Can I achieve the desired rersult using some custom routines?
    Regards,
    Nithin

    Hi Navaneetha,
    Thanks for your reply.
    I do completely agree with you and informed the same to the client.
    I have activated Billing plan at item level and each item is been assigned with different WBS Element and everything is working Fine except the fact that partial billing is not possible for the quantities.
    Let me explain the business implications of the same.
    My client might have a billing schedule with 4 milestones for an Item A of 100 Quantities in a Sales order
    Milestone 1 : Upon the confirmation of Order Acceptance , they bill the customer for 10 %
    Milestone 2 : Upon the completion of designing part, they bill the customer for another 20 %
    Milestone 3 : Upon the dispatch of materials to the customer. they bill the customer for another 60 %
    Milestone 4 : Upon the submission of the documents and completion the legal aspects, the final invoice for the 10 % which completes 100 % Milestone billing
    Now here in the third milestone when the items are dispatched, they also need to create the excise invoice.  here what they do is that they bill the customer for 60% of the net item value as explained above, but the taxes would be calculated for 100% net item value( VAT/CST & Excise Duties).and based on this commercial invoice, the excise document is created. I managed to map that. No problems
    But their concern is with third milestone. Milestone 1, 2 & 4 will happen for the full 100 quantities. But for third milestone, let us say that they dispatched 90 quantities of the item and for some reasons they could not dispatch 10 nos of items. They are entitled to bill their customers for the 90 nos of the Item and the rest 10 Nos they will bill it as a different invoice. Now SAP Doesn't allow this.
    One solution is to ask them to prepare Proforma/Commercial Invoice against the delivery Document  and Excise Invoice against the invoice so created. But then it further complicates the process and already billing against billing plan is so complicated that they are complaining that their life was so easy before the implementation of SAP
    They want some solution for this problem of theirs as when they mean one quantity of Item A, they mean some thing around 10-50 Crore Rupees.
    There is one note released by SAP but that is restricted to versions below 4. 7 and become obsolete for higher versions.
    Can any body help me out with this? How about possibility of a custom Routine in Copy Control or Data Transfer?
    The problem is that the moment i activate an item category with billing plan, it deactivate the copy control setting for partial order billing.
    Thanks & Regards,
    Nithin Mohanan

  • Milestone billing for non project case

    Hi,
    I have a building/room that is going to be rented. I need to adopt Down Payment (%) with open date, which means the customer is have flexibility to choose when he/she wants to finish the payment. e.g: for a wedding, today the customer pay DP, let say 30% of total, and he/she will use the building next year and pay the remaining.
    I  try to explore the proper / suitable solution for this case in SD. I try to use milestone billing plan. I copy as SO doc type OR, copy as item category TOA, copy as billing doc type FAZ and FAS , and use milestone billing plan in item level while creating the SO doc.
    My question is, before I continue to use it, I want to know if It is okay to use milestone biiling plan for non project case? and what is the possible effects?
    thank you,
    Regards,
    Harris

    Hi all SAP ers...
    I want to continue my first question.
    1. Right now I am considering, is it the right concept to use millestone billing plan in my case?
    2. If I use Milestone Billing Plan for Down Payment Process, which point of view do we use? Is it I am the project owner and then I bill the vendor OR I am the Vendor who sends the invoice to the customer/project owner?
    3. Is it "okay", if I use milestone billing plan ? (If the point of view is I am the Vendor who sends the invoice to the customer)
    Regards,
    Harris

  • Milestone payment for vendor in project system

    Dear sapient
    As per our client requirement vendor payment is based on the basis of milestone i.e activity based. As per the contract agreement payment is made on the basis of certain percentage as mention below.
    1st payment 5% of total order value (with out tax)
    2nd payment 10% of total order value  (with out tax)
    3rd payment 65% of total order value (Including tax 100 % )
    4th payment 20% of total order value (with out tax)
    Is there any standard or workaround functionality available in sap for vendor payment in project system ?
    Regards
    Soraj

    Thnx for reply
    As per our requirement payment is based on completion of work. can i use payment term on the basis of completion of work/activity not on due date basis?

  • WBS assigment for Milestone Billing

    Hi,
    I am assigning milestones to the activities in my project.
    I need a particular WBS to be assigned to only one Sales Order. The system is allowing me to assign the same WBS to another Sales Order also. Therefore copies all the milestones to the new sales order and allows me to do the milestone billing for same WBS again. [Twice]
    Is there any way to restrict the same WBS being assigned to several Sales Orders and avoid billing for the same WBS again and again.
    Please suggest.
    Thanks & Regards,
    Kabir

    U check with SD consultant as suggested by Mrinal.....It is also possible to restrict the assignment using user status...but this has to be done manually...once the user assign the WBS to sales order, he can select an user status manually which restricts the business transaction "Create Sales document"...this will not allow you to assign WBS to new sales order...but this is manual process.

  • Milestone billing error

    Hi
    scenario : i've  maitained milestone billing for 3 milestone say 25% for  one month and 15% on  another month, and 10 % on final delivery  and i get 50% advance with the po. so when i save my sales order my payment term should be showing 50% advance and 25%& &15%  and 10%Milestone, i've created my billing plan accordingly and i've assingend the same to my billing document type also but still i'm not able to excute my billing
    Vinz..

    hi vinz,
    in your milestone billing are you using the same billing doc type for the initial 50% and the remaining terms or you are using different billing types. if you using the same billing type can you use a different billing type for the initial 50% and do an order related billing for the same and check
    please let me know if it works
    bye
    ravi

  • Standard Report for Down Payment Requests of Milestone Billing

    Hi Experts,
    Is there any Standard SAP Report for Downpayment Requests of Milestone Billing. Where I can view all the downpayment requests for the customers in Milestone Billing Scenario.
    I have searched but I'm getting report for Vendors downpayment requests in transaction code FBL1N.
    Kindly help to get me this report.
    Thanks in Advance.
    Regards,
    Avinash

    Hello,
    you can use transaction VF04 to get the list of the downpayment requests to be made, and VF05N for the list of downpayment requests already made (using the proper SD invoice document as selection criteria): this is from an SD point of view.
    From an FI point of view transaction FBL5N could help you. Also F-29, as already mentioned, since it provides the list of downpayments to be cleared for a customer.
    Best regards,
    Andrea

  • Trigger of Milestone for Vendor Payment

    Hi,
       Is there some functionlaity available in SAP for Vendor Payment similar to Triggering of Milestone for Customer Invoices?
    i.e when we confirm activities milestones are triggered which will remove billing block and vendor payments can be made.
    Regards,
    B P Singh

    Hi,
    As suggested by Ahmed search the forum. You will get a lot pointers. Just type Invoicing Plan as the search criteria and proceed. You can also check the link,
    http://help.sap.com/saphelp_erp60/helpdata/en/86/98853478616434e10000009b38f83b/frameset.htm
    Regards,
    Gokul
    Edited by: Gokul on Nov 10, 2009 1:32 PM

  • Error while creating Credit Memo Request for Milestone billing invoice

    Hi All,
    I have a scenario where i have Milestone billing(% based) at header level in Contracts. I create Invoice for that and then try to create Credit Memo Request with reference to the Invoice.
    Problem comes when we try to change the qty in the credit memo request. we are able to change the qty but the value is not changing. It remains the same constant value of that milestone.
    In my copy control from Invoice to Credit memo request for the item category i have maintained the pricing type as "C" because i want to copy and manual conditions.
    So kindly let me know which config setting should be done so that whenever i change the qty the value should also be changed.
    Please Note : This is happening only when my billing plan is at header level. For Billing plan at Item level its working fine.....
    Thanks.....

    Hiiii.....
    Can anyone please advise on the below issue of mine.....
    Thanks alot for the help.......in advance

  • How to do payment for vendor bill booked wrongly deducted with TDS ?

    Dear all,
    How to cheque payment for a vendor in which tds is wrongly deducted(tds won't be deduted for the bill) for closed period ?
    How to solve this issue ?
    Jeyakanthan

    Hi Jeyakanthan....
           Normally when the invoice is wrong the we reverse the invoice by raising  Credit memo and all effects along with TDS gets reversed.
           So you can do the same.....
    Regards,
    Rahul

  • Down Payment processing for Sales orders using Milestone Billing Plan

    Hi,
    The business scenario is as follows.
    The delivery for the sales orders are to be created only after the pre payment( a percentage of the total sales order value) is made by the customer.
    Hence the sales orders while creation are blocked for delivery creation using credit block by means of a userexit.
    The credit manager checks the blocked sales orders using VKM1 transaction and verify if there are any payments made by the customer to cover this pre payment to be made.
    If it is enough to cover then he releases the sales order manually for delivery creation.This is a complex process since there are too many sales orders and the payments made by the customer may not match the amount to be paid(it can be greater or lesser).The customer just pays a huge amount which is to be distributed among the sales orders for pre payments.
    Later, when the invoice is created, the customer account is cleared manually using F-32 transaction for the oldest open invoices.
    Here again there is a huge manual effort involved since he need to distribute the amount against the invoices using oldest open item principle.
    As a solution we are planning to implement "Down Payment processing for Sales orders using Milestone Billing Plan".
    Is this the right solution?
    Can you please give the steps in detail to implement this functionality for above scenario?
    We are using SAP 4.7 version without Project Systems.
    Thanks in advance.
    Regards,
    Ragesh

    Hi Ragesh
    Check the links where you will get the entire down-payment configuration
    [https://forums.sdn.sap.com/post!replydownpayments ]
    Regards
    Srinath

  • What settings are required for Milestone Billing ?

    Please explain in detail what all settings are required in order to do milestone billing ?
    Regards,
    Gobind.

    Hi
    Milestone Billing.
    1. Create New Sales Order Type, say ZOR (Copy of OR) through T.Code: VOV8
    Maintain Delivery Type as LF & Billing Type As 'F1' - Order Related / 'F2' Delivery Related.
    IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Define Sales Documents Types
    2. Assign New Sales Document Type to Sales Area, For Eg:
    1000 (S.Org) / 10 (D.Channel) / 10 (Division) / ZOR (S.O Type)
    IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Header > Assign Sales Area to Sales Document Type
    3. Create New Item Category, say ZTAN - Copy of TAN (For delivery Related) / ZTAD - Copy of TAD (For Order realted) / ZTAS - copy of TAS (For Third Party)
    Maintain as under (others remaining same)
    Billing Relevance: I
    Billing Plan Type: 01
    IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Item > Define Item Category
    4. Assign Item Category, for ex (assuming Usage & higher level item category as blank):
    Sales Document Type | Item Category Group | Default Item Category
    ZOR | NORM | ZTAN
    ZOR | DEIN | ZTAD
    ZOR | BANS | ZTAS
    IMG > Sales and Distribution > Sales > Sales Documents > Sales Document Item > Assign Item Category
    Note: In the above Billing Type '01' plays the main controller for milestone billing. In Sales order, at item level, we require to maintain the billing plan.
    Follow the Sales cycle as normal sales cycle for particular Scenarios
    Also Refer:
    https://www.sdn.sap.com/irj/scn/wiki?path=/display/erplo/milestone+billing.

  • WBS element field in SO for milestone billing

    Hi,
    I am using Milestone billing. When I am trying to create the Sales order the WBS element field is greyed out. Pleae advise.
    Regards,
    Santanu

    Hi Shantanu,
    I think you need to remove the assignment of the requirement type KE from your item category. I gues you are using TAO as the item category for Milestone.
    You go to Sales and DistributionBasic FunctionsAvailability Check and Transfer of RequirementsTransfer of RequirementsDetermination Of Requirement Types Using Transaction.
    Hope it helps.
    Shivaji.
    Edited by: Shivaji  Paul  Choudhury on Mar 2, 2009 4:21 PM

  • How to calculate milestone percentage for final milestone (billing rule 3)

    Hi,
    Client is using percentage based milestone billing. For final milestone, billing rule is set to "3 Closing invoice in milestone billing" and milestone percentage, field FPROZ, is empty without any value.
    My aim is to calculate final milestone percentage, so it would be printed on invoice layout.
    I have suggested below logic to developer:
    "If RV60F-SFPRO field is not equal to  0,00 (zero), pass billing plan VBRP-FPLNR and item numbers VBRP-FPLTR into FPLT table to get FPLT-FPROZ"
    But developer can't find RV60F-SFPRO value anyway...
    Therefore, I have a problem - how to calculate final milestone percentage in this case?
    Could anyone provide any other logic how to calculate it?

    Percentage can't be added into final milestone in SO billing plan, field FPROZ is not editable....
    Moreover, this milestone just have billing value in SO billing plan.
    I am going to use this logic that hopefully would fix the issue:
    If invoice billing type VBRP-FKART value is XXX and billing plan rule FAREG value is 1, or 3, or 4, or 5, then milestone percentage should be calculated by following formula: milestone billing value x 100 and then divided by order net value from VBAP-NETWR.
    If invoice billing type XXX, but billing plan rule is different then, no milestone percentage is not printed. This logic is valid for header and item level billing.

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