1. Order Management
  2. Billing and Invoices
  3. SuiteBilling
  4. SuiteBilling Overview
  5. Revenue Recognition for SuiteBilling

Revenue Recognition for SuiteBilling

SuiteBilling integrates with Advanced Revenue Management (Essentials) and Advanced Revenue Management (Revenue Allocation) when you enable all three features. After setup, each subscription line generates a revenue element. A single revenue arrangement that corresponds with the subscription automatically includes the revenue elements from the subscription lines.

Subscription lines do not generate revenue elements when the Advanced Revenue Management (ARM) in Configuration Mode feature is enabled. You must disable this feature before creating revenue arrangements for subscriptions. However, you can configure advanced revenue recognition for SuiteBilling while ARM in Configuration Mode is enabled. For more information, see Advanced Revenue Management in Configuration Mode.

If you check the accounting preference Create Revenue Elements for Subscription Revisions box, subscription revisions also trigger modification elements and revenue arrangements. For more information, see Setting the Optional Accounting Preference for Advanced Revenue Management.

The Create Revenue Element for Subscription Revision preference can be used with the commit plus overage feature. For instructions on using commit plus overage, see Commit Plus Overage Charges.

Note:

If you check the Create Revenue Elements for Subscription Revisions box, be sure to merge modification elements with the subscription revenue arrangements to get the correct accounting. For information, see Combination and Modification of Performance Obligations.

All of the processes of Advanced Revenue Management (Essentials) and Advanced Revenue Management (Revenue Allocation) are available for SuiteBilling. For information about Advanced Revenue Management, see Advanced Revenue Management (Essentials) and (Revenue Allocation).

The following topics have detailed information about configuring advanced revenue recognition for SuiteBilling.

After you configure Advanced Revenue Management for SuiteBilling, be sure to complete the additional month-end steps to recognize revenue in your month-end procedures. The basic month-end revenue recognition processes are as follows:

  1. Create revenue recognition journal entries. You can schedule the revenue recognition journal entry creation process. For details, see Revenue Recognition Journal Entries.

  2. Reclassify deferred revenue. You can schedule the reclassification process. For details, see Reclassification of Deferred Revenue.

  3. Recalculate revenue forecast plans. See Recalculating Revenue Forecast Plans.

  4. Run and save the Deferred Revenue Waterfall Report. See Run and Save the Deferred Revenue Waterfall Report and the linked topics for the individual reports.

Related Topics

General Notices