1. Implementing Procurement
  2. Manage Payment Terms

Manage Payment Terms

You can define payment terms for use by your organization in purchasing transactions.

Create a Payment Term

To create a payment term and create discounts for the term, follow these steps:

  1. In the Setup and Maintenance work area, access the Manage Payment Terms task in the Procurement Foundation functional area.

  2. On the Manage Payment Terms page, click the Create icon.

  3. On the Create Payment Terms page, enter a Name. For example, ABC Net 90.

  4. Enter a Description. For example, Net in 90 days. Discounts for net in 30 or 60 days..

  5. Enter a From Date and To Date.

  6. Click the Add icon for Installments.

  7. In the Installments table enter your payment due terms: For example, for Due enter 100, and for Days enter 90.

  8. In the Discount region under the First Discount table header enter your term discount: For example, for Discount enter 10, and for Days enter 30.

  9. In the Discount region under the Second Discount table header enter your term discount: For example, for Discount enter 5, and for Days enter 60.

  10. In the Set Assignments table click the Add icon to create a new row.

  11. Enter your Set Code. For example, COMMON.

  12. Click Save and Close.

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