Define Tolerances for Customers/Vendors (SAP Library - Accounts Receivable and Accounts Payable)

Define Tolerances for Customers/Vendors

In this activity you define the tolerances for customers/vendors. The tolerances are used for dealing with payment differences and residual items that may arise when payment clearing is carried out. You specify the tolerances in one or more tolerance groups and assign a tolerance group to each customer/vendor using the master record. For each tolerance group specify the following:

Tolerances, up to which payment differences arising from open item clearing can be automatically posted to expense or revenue accounts

The treatment of terms of payment for residual items if they are to be posted during clearing

Note

Ensure that you can also

Define Tolerance Groups for Employees . For clearing, the lower limit from the specifications for the customer/vendor, and the specifications for the employee group are valid.

Requirements

If you want to enter fixed terms of payment for posting residual items from payment differences for a tolerance group, you have to define the terms of payment first. To do this, see Maintain Terms of Payment.

If you want to assign a dunning key to a tolerance group, you must have already defined the dunning key. To do this, see Define Dunning Keys.

Activities

1. Identify groups of customers/vendors to which identical tolerances apply.

2. Create the required tolerance groups for your customers/vendors.

3. Make sure that the required tolerance groups are assigned to the customers/vendors in the master record.

Further Notes

If you want to work with uniform tolerances for all customers/vendors in a company code, create a tolerance group with the key "blank" ( ) for the company code. In this case, you do not have to enter the tolerance group in the customer/vendor master record. You can also use a tolerance group with key "blank" ( ), if for example, you want to define lower tolerances for particular customer/vendors than others. In this case, for example, you create a tolerance group 0001 with low tolerances for the customers/vendors and then enter this tolerance group in the customer/vendor master record. All other customers/vendors automatically have the tolerance group "blank" ( ) assigned to them.