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Function documentationCategorization of Open Items as Non-Accruals Locate this document in the navigation structure

 

If customers do not clear items within a predefined period, you can specify that the system automatically categorizes these receivables as non-accruals (doubtful debts) and posts them to a separate account. By categorizing receivables as doubtful, you allow for the fact that a customer may not settle the receivables. For accounting purposes, the non-accrual is kept separate from the actual receivables in that it is posted to a separate account for non-accruals.

If the customer restarts payment, the system revokes the "Non-Accrual" status. For more information, see Resetting the Categorization as a Non-Accrual.

Prerequisites

Settings in SAP ERP

SAP delivers the delinquency process that triggers the automatic categorization of open items as non-accruals. The required settings have been made in the following areas:

  • Dunning activity for categorizing open items as non-accruals and assignment of the function module /LSIERP/0350_NON_ACCRUAL_TRIG. For more information, see the Implementation Guide (IMG) for ERP under   Financial Accounting (New)   Contract Accounts Receivable and Payable   Business Transactions   Business Transactions   Dunning Notices   Configure Dunning Activities  .

  • Dunning procedure and assignment of the dunning activities for categorizing items as non-accruals. For more information, see the IMG for ERP under   Financial Accounting (New)   Contract Accounts Receivable and Payable   Business Transactions   Business Transactions   Dunning Notices   Configure Dunning Procedure  .

  • Settings for the management of late fees. For more information, see the IMG for ERP under   Financial Accounting (New)   Contract Accounts Receivable and Payable   Enhancements for Leasing   Arrears  .

  • Assignment of function module /Lsierp/Trigger_Non_Acc_1799 to event 1799. For more information, see the IMG for ERP under   Financial Accounting (New)   Contract Accounts Receivable and Payable   Program Enhancements   Define Customer-Specific Function Modules  .

    Note Note

    You can stop certain payments from triggering the setting of this "Non-Accrual" status. For example, you can specify that if fees are late they are not categorized as non-accruals. For more information, see the IMG for ERP under   Financial Accounting (New)   Contract Accounts Receivable and Payable   Enhancements for Leasing   Non-Accrual Status   Exclude Main Transactions and Subtransactions as Triggers  .

    End of the note.

You have made the following settings:

  • You have entered an account for non-accruals, to which the system posts the one-time postings.

    For more information, see the IMG for ERP under   Financial Accounting (New)   Lease Accounting   Specifications for Controlling Processing   One-Time Postings  :

    • Assign Values for One-Time Posting

    • Define Account Determination for One-Time Postings

  • You have entered an account for non-accruals, to which the system transfers the accrual postings.

    For more information, see the IMG for ERP under   Financial Accounting (New)   Lease Accounting   Specifications for Controlling Processing   Integration to Accrual Postings  :

    •   Specifications for Accrual Postings   Assign Payment Schedule and/or Accrual Types  

    •   Accrual/Deferral Postings   Accrual/Deferral Posting   Account Determination   Simple Account Determination  

Settings in SAP CRM

  • You have created a change process for setting the "Non-Accrual" status.

    For more information, see the IMG for Customer Relationship Management (CRM) under   Financial Services   Leasing   Change Processes   Basic Settings for Change Processes   Make Settings for Change Processes  .

  • You have specified that you can trigger the change process for setting the "Non-Accrual" status from Contract Accounts Receivable and Payable.

    For more information, see the IMG for CRM under   Financial Services   Leasing   Change Processes   Business Add-Ins   BAdI: Non-Accrual Change Process  .

  • To define the handling of the new change process in Lease Accounting, you must enter a new implementation for the enhancement CRM_FS_ACC_CHANGE_PROC.

Features

  • You execute a dunning run. If open items are overdue for the specified period, the system automatically triggers the setting of the "Non-Accrual" status.

  • SAP ERP transfers the necessary data to SAP CRM. The system triggers the change process for setting the "Non-Accrual" status for items in the corresponding lease.

  • As a result of the change process, in Lease Accounting in SAP ERP the system posts the receivables for the lease to special accounts for non-accruals.