Milestone Billing: without Projects

Gurus,
Can I use Milestone Billing without Projects?
How to do this?
Thanks!

Hi,
Yes you can use milestone billing in normal business situations also.
Regards
Goutham

Similar Messages

Milestone Billing in projects--Final Invoice

Hi all,
We are using Milestone billing in the project. Milestone confirmation in projects trigger the downpayment requests, partial invoice and final invoice in SD.
Everything works fine for down payment and partial invoice, but when the milestone for final invoice is confirmed in PS, the billing rule in the sales document item does'nt get removed. Consequently billing cannot take place.
Kindly thow some light on this. Is FNBL status on WBS , a must to carryout final billing ?
Warm regards,
Srinivas Potluri

Hi Srinivas,
Please check the Date Category of Milestone usage, the one u have selected for the final invioce. It should be 'Closing Invoice".
Please let me know if that resolve the issue.
Thanks,
Venkat

Milestone billing without sales Order

Hi Experts,
We have a requirement to use SAP PS to produce a material and be used in the same company or the sister companies.
The project will be only for OPEX cost. They have requested us to do by milestone billing as the fund will be paid at intervals, but there is no sales order.
Is there a possibility to bill the milestone assigned to the WBS element at intervals ?
I have tried to search online, but couldn't get whether this is possible or not.
Appreciate your reply, whether this is possible with our SAP System.
Thanks
Terence

Hello Maria,
Can't you achieve the almost same process using Inter company/Intra company STO (stock transfer Order)? As shown in the link below:
http://wiki.scn.sap.com/wiki/display/profile/Intercompany+Business+Processing?original_fqdn=wiki.sdn.sap.com
Cross-Company Stock Transfer - Managing Special Stocks (MM-IM) - SAP Library
Create STO (ME21N) -> Delivery -> Picking -> Billing.
For Billing with milestones from project with no SD, I am not sure whether it can be done.
Regards
Saurabh

Milestone Billing

Dear Experts,
I'm interested to know whether DIP profile is mandatory to bill customer projects through milestone billing & sales order?
I never experienced customer projects and in capital projects, customer billing was not there.
So if we can bill without DIP profile, how can we do?
Waiting for your valuable suggestions
Regards,
VINOD.V.

Hi Vinod,
Milestone billing and RRB are two different concepts and RRB need not do anything with MS billing.
In Milestone billing, following are the configurations which need to be done.
You should have a Billing Plan with Milestone billing in SD with relevant date categories, etc and this Billing plan should be assigned to the relevant item category
From PS, you will have basic PS configuration entries followed by Milestones, with the usages etc.
Also some transactional projects, WBS elements or networks with Milestones enabled in either WBS or in Network activities.
These milestones should be Billing relevant milestones (Sales Document Date check box ticked on)
Now the sales order items should have account assignment object as WBS element.
If these set ups are available, then it is possible to have MS billing. When activities are confirmed in Network, billing is activated for the relevant milestones.
Having said these, it is also possible to have a simplified version of Milestone billing without Project System, just by enabling a MS billing plan. But here all the billing plan records need to be manually managed with billing block etc....
This is only a basic tip to explore further. If we shoudl enable the complete MS billing with PS, you will also need help from a PS consultant.
You can do MS billing very well without DIP profile
Hope this helps

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

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

Updation of Milestone Billing % in Sales Order

Hi All,
I am using Assembly Processing scenario and having milestone billing. I am able to create a sales order which creating project automatically and milestone are coping in sales order billing plan.
My query is : after creating sales order and automatic creation of project, client changes % amount in billing milestone which is not updating in sales order. Its showing the same amount which has been put in standard milestone.
Let me know how I can update this change in Sales Order billing plan when ever I change billing % in milestone.
Regards,
Atul R. Rajmane

Hi,
After Maintaining billing plan types for milestone billing,Please check the following,
In CJ20N , Create milstone under the activity of WBS,Fill the invoicing percentage in Billing plan section, be sure to tick on sales document date field, then go to the sales order it will copy the data automatically from the milstone .

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 Plan issue

Hi all,
I have a scenario of project sales. The billing will be order based - 50% after order confirmation, 40% after delivery & 10% after installation & testing.
I am using milestone billing plan for my project sales. I am not using the project system. I have created the billing plan in the following way:
1. Define billing plan types. I have copied from standard billing plan 01 & saved as Z type.
2. Define date descriptions. I have created 3 different date descriptions - a) Order confirmed, b) Delivery done, c) Installation & testing done.
3. Define & assign date categories. I created 3 different entries. First for the down payment at the time of order confirmation........i used the date description as down payment. The billing rule selected was "Down payment in milestone billing on percentage basis". The fixed date selected was "Fixed date, date not copied from milestone". The billing block selected was "calculation missing". The billing type selected was "FAZ".
For the second part (40% after delivery) I used the date description as delivery done. The billing rule selected was "Milestone billing on a percentage basis". The fixed date selected was "Fixed date, date not copied from milestone". The billing block selected was "calculation missing". The billing type selected was "FV".
For the third part (10% after installation) I used the date description as installation done. The billing rule selected was "Closing invoice in milestone billing". The fixed date selected was "Fixed date, date not copied from milestone". The billing block selected was "calculation missing". The billing type selected was "FV".
4. Maintain date proposals. I maintain 3 different dates with an interval of 5 days. For first step i selected the date description as "order confirmation"......billing % as 50%........selected the block......billing relevance as down payment on % basis.........payment term..........billing type as FAZ.
For second step i sselected the date description as "delivery done".......billing % as 40%........selected the block........billing relevance as "Milestone billing on a percentage basis".......payment term........billing type as FV.
For third step i selected the date description as "installation done"......billing % as 10%.......selected the block..........billing relevance as "Closing invoice in milestone billing".......payment term......billing type as FV.
5. Assign billing plan types to sales document types....I assigned the billing plan to the sales doucment for project sales.
6. Assign billing plan types to item categories.....I assigned the billing plan to the item category of the project item....with billing relevance as "I-Order-relevant billing - billing plan".....billing plan as the milestone billing plan.
Copy controls: I maintained the copy control settings in VTFA.......sales order to billing document type FAZ & FV as well. In the transaction code VOV8 for the sales order document type I maintained the order related billing type as FV.
Now I created a project sales order.......the system displayed the billing plan tab......the milestones were shown but the data regarding the billing percentage.......payment terms.........billing relevance.....was not shown. I entered all the details......with the document types as
FAZ
FV
FV.
I removed the block from the first milestone......down payment.
Now i created an invoice in VF01......selected the order number for reference......the system created 2 invoices.......1 for the down payment request & the other contract invoice. The down payment request had the correct amount but the contract invoice did not display any value.......
How should i correct the settings so the system will only create the relevant invoice......
With best regards,
Niyaz.

Hi,
You have done a good job.
Enter different dates in sales order for each Milestone and assign billing block save the sales order.
Goto change sales order, remove the block for one billing date.
In billing screen, enter sales order no. don't press enter
Click on Selection date (Shift+F7) enter the date range and press enter. you will get only first billing that is 50%.
Actually we are using PS, milestones and billing dates will be copied from there.
Regards,
Chandra

Milestone Billing based on Percentage & Quantity

Hi,
Can you please guide how to map the following scenario
I have Business Scenario in Milestone Billing.
The Milestone terms are assigned in CJ20N and the same is copies to
sales order. The Milestone terms defined in the Project are
50% Advance Payment
40% Agaisnt Supply (Treating this also as advance)
10% At the time of Installation.(Treat this also as advance)
50% Revenue Realisation
50% Revenue Realisation
Order quantity is 100RMT
Order Value 10000
The definition of the each milestone is as follows -
Advance Payment: This Milestone raised at the time of booking of sales
order for Advance Payment. Unless advance is receivd orders are not
execute in the business. It means 50% of 10000 = 5000
40% Agaisnt Supply : This Milestone is raised based on supply of
material to the customer. It means as of Milestone Billing Date if
material dispatched is 20MT then the Milestone Billing Booked in the
system is 10000*40% *20/100= 800 (treat this also as advance payment
and client called it as Running Bill) and the same way book the billing
in the system upto completion of 100RMT.
At the time of Installation: This Milestone is raised when the
Installation process is starts. It mean example, if finish the
Installation of 10RMT, then the Milestone Billing is raised as per
below formula - 1000010%10/100 =100 (Treat this also as Advance
Payment and call it as Running Bill).
Actual revenue is booked in the system, once receive the completion
certificate from the client.
As of now in the system, only accept the value base or percentage base
milestones in the system. This type of above scenario how to map in
the system, can please propose a solution.
Kindly help me
Regards
Goutham

hi Goutham,
you need to configure your item categories for revenue recognition based on milestones. Thus, what happens then is you are separating revenues and billing. You can continue billing your customer for whatever milestones you have 50/40/10%, and the revenue can be recognized on the completion of the final milestone.
For customizing revenue recognition type on item category level go to
Sales and Distribution -> Basic Functions -> Account assignment / Costing ->
Revenue Recognition, Or via transaction: OVEP.
Set Revenue recoginition as Category A timebased revenue recognition
and Accrual period start as B -proposal based on billing plan start date
in a milestone billing plan, the billing date of the first milestone is then taken as accrual start date.
You can work on the latest version of the Revenue Recognition Best Practices Guide. The link can be found in note 779365.
Thanks

Milestone Billing Structure

Dear PS Experts,
We have real estate projects (Customer projects), and one typical structure is we have a housing complex project of 100 villas. (We are in process of implementing PS but all other SAP modules like FI/CO, MM, SD, PM, PP, QM etc are existing.)
Now after construction or during construction phase itself, these villas need to be sold through SD sales where following selling scenarios exists.
1. Each villa separately sold to individual customer. 1 S/O per Villa.
2. One S/O with multiple villas (Each villa is line item in S/O)
Here while I structure the project, I considered, two structures as follows,
1. 100 Villa project with project definition ABC/20014/PJ01. One main WBS with 100 WBS under that. Each of this WBS represent one villa and S/O will be assigned with this WBS.
2. 100 Villa project with project definition ABC/20014/PJ01. One main WBS with 4-5 WBS under that (1. Engineering & design 2. Land preperation 3. Construction etc..) and each villa is represented as a network & S/O will be assigned to main WBS and each S/O item will be assigned to these corresponding network of 100.
I would like to hear from you the best possible solutions.
Please share your ideas.
Regards,
VINOD.V

Hi Vinod,
I would suggest you to go with one sales order and One Project for each villa
because sales order is specific to one customer ( one sold to and one ship to)
in the Project you can structure one WBS at Header as Billing element and assign below to it subsequent WBS such as (land acquisition, Engineering, design, construction and miscellaneously) and this individual WBS will in turn have networks and activities based on the phase.
Finally post the actual cost to Each of the WBS and settle to Main WBS
Assign this main WBS to each sales order at line item level to populate actual cost to sales order line using DP91
if you have Milestone billing , you can configure Sales order line item with Billing plan and get 20% as down payment from customer, before you release Project and bill respectively
hope this is useful
thanks
santosh

Milestone billing - PS/SD

I am new to PS module, trying to create a milestone billing. Well, created a new project, assinged WBS to project, assinged Milestone to WBS, checked box under Usage/Sales doc date and entered % in Invoice Percentage 15%.
As per my understanding Ps is integrated to SD, so now do i have to create a new SD with Milestone conditions, so system can trigger billing part on specifc milestone/date? or what i am suppose to do?
If any one have step by step configuration , that will be big help.
Though before asking i checked forum, SAP help, found few refererces, but still am lost, my bad
Thanks in advance for your kind help

Thx,
I have gone thru respective doc, but still i am lost, there is relation between SD and PS, my understanding if i create a project, i have to co relate it to SD, with sales order information, how do we do that.
In PS i can checkbox- Sales Doc date, WBS or Activity is milestone and
Do i have to create a Sales order for customer and then attach it to respective project?
Thanks

Milestone billing with TAX

Hi
I have a billing plan type milestone billing assigned to sales order type and item category.
I have created date proposal and assigned to billing plan type, In date proposal, there is only one line item, which is closing invoice( i.e 100% of net price).
In the sales order, if the material is liable for tax and the tax value of the material is 100 $, how does this 100 $ gets posted. As in the billing plan tab in the sales order, it shows the net value and billing value as same (because its 100 %).
But what about the tax and how it is posted to accounting.
Regards
Sreekar

Hi
Is there any condition defined for tax determination.
So u r saying if the invoice is 100 then tax is 100 and hence total is 200.
According to me if u define the tax as 100% then billing value shows 100 only without considering tax. You can define a subtotal which is same as billing value. Put the tax value same as the billing value and then add together.
Reward if helpful
Kind Regards
Sandeep

Milestone Billing(100% ED)

Dear all,
In Sales Order i need to maintain Milestone Billing (w/o Project ref).
Lets say Order value is 10000/-
Iam maintaing 3 milestones....Here my Requirment is
1st milestone 20%100% Taxes(Excise dutyCessHcesssales tax)
2nd Milestone 30%+0%Tax
3rd Milestone 50%+0%Tax,
In General,If i maintain milestone based on Milestone Taxes will pixk,But here i need to do this seenerion
How can i do it ?
Thanks in Advance
Regards
raj.

HI,
Yes we can do it like this.....but iam facing the Problem to frame Formula in Pricing procedure.
Lets Say:
Item price PR00-1000
Excise duty is -10% on PR00
In between iam Adding NE00(Net price )-Header condition type
Here i need to calculate Excise on NE00....how can i frame the formula?
Note:In Header level ,if i maintain Header condition type ,system should calculate the Excise duty on Header condition type(Overwrite the value on Item condition type)
Thanks in Advacne
Regards
raj..

Diffe b/w periodic nad milestone billing? with examples

diffe b/w periodic nad milestone billing? with exaamples

Hi,
The best example for periodic billing is monthly rent.
Every month you will be giving a fixed amount for a period of time ( 4500/- per month for 2 years).
In the case of mile stone billing:
Example is a software project. The project will be devided into several stages 'milestones'.(preparation, development, testing, execution)
The project cost will be devided into these stages. When each milestome is reached, the amount will be billed.
Hope you are clear with the basic differences of these two.
Prase

Milestone Billing: without Projects

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