Creating payment schedules for purchase contracts

A payment schedule is a series of scheduled payments for contract line items. You create a payment schedule at the line item level that are typically for high-value items.

Before you begin

To create a payment schedule, the payment schedule property must be selected.

About this task

You can create a payment schedule until the contract is approved.

Procedure

  1. In the Purchase Contracts application, select the contract that contains the line for which you want to create a payment schedule.
  2. Click the Contract Lines tab to display the contract lines.
  3. Select the contract line for which you want to create a payment schedule.
  4. Click Payment Schedule. The Payment Schedule window opens.
  5. In the Schedule Lines table window, click New Row.
  6. Specify the following information:
    1. Specify an action that causes the payment.
    2. Optional: If you are not specifying a line cost value, specify this payment's percentage of the total payments. This value works with the line cost value; and the line cost is calculated if you specify a percentage and vice-versa. The total of all line percentages must add up to 100.
    3. Optional: If you are not specifying a payment percent value, specify a line cost value.
    4. Optional: In the Days Interval field, select the amount of time to elapse between the action and the payment. A zero in this field indicates that the payment is due at the time that the action occurs.
    5. In the Target Invoice Status field, specify the status in which the invoice is created.
  7. Click OK to create the schedule when the item is ordered.

What to do next

After the item is ordered, you can view invoice information for the item in the Invoices table window of the Payment Schedule window.


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