rebate settlement issue

[Former Member]

We have an issue at quarter end.  We brought a new business up on SAP.  At quarter end, they want to ship (PGI) customers but not bill them until the next month when the customer receives product.  This causes issues with the monthly rebate settlement to brokers.  The rebate accrual wants to go into the rebate agreement for when it shipped and the business wants the rebates reflected in the rebate agreement for the billing period it was billed in. 

Susan

[former_member182378 · Accepted solution]

Susan,

This is an interesting scenario and the decision to put the accruals in which bucket is a business decision. SAP system will merely comply with the business decision (has to be setup that way).

Why does business want to bill only after customer receives the goods? Is this coming from the customer? Is this the way it is always? I guess, from business side the broker and the customer need to discuss and align.

Technically the service rendered date in the billing document determines the accruals to go into which bucket (month).

TW