Freely definable group code for customers and vendors, or G/L accounts. Tolerance groups are unique within a company code. Each tolerance group contains settings that affect cash discount and payment difference processing. These settings become effective during payment entry.
You can use the tolerance level to set a percentage or absolute tolerated difference between the transmitted value and the open value. If the difference exceeds the tolerance limit, a new open item is created. The system compares the value transmitted with the value that is still open in the internal invoice for the delivery. You can set tolerance limits
at delivery and/or item level (material.) If the tolerance limit is not violated, no new open item is created.
How to define vendor tolerance group?
Menu Path: IMG – Financial Accounting – Accounts Receivable & Accounts Payable – Business Transactions –
Open Item Clearing – Clearing Differences – Define Tolerances for Customers / Vendors
T Code : OBA3
1. Enter Co. Code
2. Enter Group name
3. Enter Amount
4. Enter Percentage
5. SAVE the settings
From the IMG screen: Financial accounting è Financial accounting global settings è Document è Line Item è Define tolerance groups for employees
Click on the New Entries button. Enter the following:
- Company Code: _ _ _ _
- Amount per document: 100,000,000
- Amount per open item account item: 100,000
- Cash discount per line item: 5
- Revenue: 100 10% 10
- Expense: 100 10% 10
Click enter, then save.
Create Tolerance Group for A/R and A/P
From the IMG screen: Financial accounting è Accounts receivable and Accounts payable è Business transactions è Outgoing payments è Manual outgoing payments è Define tolerances (Vendors)
Click New Entries.
- Enter company code
- Gain: 10 and 1%
- Loss: 10 and 1%
- Select: Payment term from invoice and Only grant partial cash disc
- Click enter and then save.