You can also process either partial or full settlements pursuant to a rebate agreement. The partial settlements can be manually processed or automated to run on a periodic basis. The Rebate Process. In SAP, the rebate process consists of three main processing steps. You initiate the process by creating a rebate agreement followed by the automatic or manual posting of accruals, and you complete the process by running rebate settlements.
Full Answer
What is a rebate process in SAP SD?
REBATE PROCESS In SAP SD. Rebate is an agreement between the company and the customer which is valid for a specific time period. The rebate agreement specifies the percentage of rebate offered to the customer during the specified period.
What is rebate settlement in SAP ECC?
Settlement Using the SAP rebate settlement feature of SAP Rebate agreement, you can do a pay-out. The result of the settlement is a credit memo request. When you remove a billing block, you can convert it into a credit memo. Following are the main benefits of using rebate agreement solution within SAP ECC.
How do I get a credit memo from SAP rebate settlement?
Settlement. Using the SAP rebate settlement feature of SAP Rebate agreement, you can do a pay-out. The result of the settlement is a credit memo request. When you remove a billing block, you can convert it into a credit memo.
How to update the sales volume for a sap rebate agreement?
Updating the sales volume for a SAP rebate agreement is an intense process. Using transaction VBOF, you can update the volume and attach the qualifying invoice and accruals for an agreement. This could also be a scheduled job within SAP. 5. Settlement Using the SAP rebate settlement feature of SAP Rebate agreement, you can do a pay-out.
How do I create a rebate settlement in SAP?
You transfer settlement documents to financial accounting. To do so, click More on the Rebate Settlement Document page and select Transfer to Accounting . On the Billing Documents page, you can also carry out a mass transfer of rebate settlement documents to financial accounting.
What is rebate settlement in SAP SD?
A rebate is a special discount which is paid retroactively to a customer. This discount is based on the customer's sales volume over a specified time period. It is a type of sales promotion used by marketers, primarily as incentives or supplements to product sales.
How do I create a rebate in SAP SD?
Rebate Process ConfigurationStep 1: Define Agreement Type.here I selected standard and renamed “0002-Material Rebate” to “Z002- Material Rebate-AA11”2.1: Click on Define condition Type groups.Step 2.2: Assign Condition Types /tables to Condition Type groups.Click on it.Check agreement status to 'B'More items...•
How do I settle a rebate agreement?
Once your rebates have been accrued you need to settle the rebate. For this first release the rebate for settlement by using Tcode VB02. As a trial basis choose B ( you can choose other settings based on your requirement) and choose Create manual accrual. Now enter the amount to be paid and save the rebate agreement.
What is rebate settlement?
A rebate agreement represents a contract between two business partners, defining the terms and conditions of a discount that is paid after the purchase of a product. For example, you can define the rebate recipient, the rebate value, and the criteria on which the rebate is based.
What are the rebate types available in SAP SD?
There are three prerequisite to enable or activate rebate which are at these levels: Sales Organisation. Billing type....There are different rebate types based on:Material.Customer.Customer hierarchy.Group of materials.
What is vistex SAP?
Vistex is an embedded solution within SAP that uses the same master data and G/L accounts. It is able to handle complex supplier and customer agreements; that are not available with the standard SAP configuration.
What is rebate process?
You use rebate processing to process special discounts that are paid retroactively to a customer. These discounts are based on specific terms and conditions that are defined in rebate agreements. The goal of rebates is to build long-term customer relationships.
How do I create a rebate condition record?
To create a condition record for a rebate agreement: When creating or changing rebate agreements, you can create condition records by choosing Goto Conditions to get to the Agreement Overview screen. Enter the data necessary to create a condition record (for example: customer and condition rate). ChooseENTER .
How do I close a rebate agreement in SAP?
StepsIn the Change rebate agreement screen, enter the number of the rebate agreement that you want to settle or determine the number by using the matchcodes.PressENTER .Select Agreement Delete .The system prompts you to confirm the deletion of the rebate agreement.PressENTER to delete the rebate agreement.
What is Delta accrual SAP?
Delta Accruals: When a Rebate agreement (Condition Contract) is created, accruals are determined using REA1 condition type in the billing document. And accrual entries are posted when the accounting document is created for a billing document.
How do you create a condition contract in SAP?
When you create a new condition contract, you specify the condition contract type. The condition contract type identifies the type of agreement that you want to create. The settings of the condition contract type define: To which business partner the agreement belongs, for example, a customer or a supplier.
What is SD rebate?
A rebate is a sales promotion technique that a seller applies to improve sales volume. It is generally a time-bound, after-sale discount that is based on a volume of sales made to a particular customer and has either a prospective or retrospective effect.
What is rebate process?
You use rebate processing to process special discounts that are paid retroactively to a customer. These discounts are based on specific terms and conditions that are defined in rebate agreements. The goal of rebates is to build long-term customer relationships.
What is rebate accrual in SAP?
Overview. In the conditions of rebate agreements you maintain Amount and Accrual. The Amount will be used for the settlement. The Accruals is used to automatically accrual the value that will be paid to customer by the settlement.
How do I close a rebate agreement in SAP?
StepsIn the Change rebate agreement screen, enter the number of the rebate agreement that you want to settle or determine the number by using the matchcodes.PressENTER .Select Agreement Delete .The system prompts you to confirm the deletion of the rebate agreement.PressENTER to delete the rebate agreement.
What is the transaction code for creating rebate?
The transaction code for creating rebate is VBO1.
How long is a rebate period?
Rebate is special discount paid retroactively usually for a period of 1 year based on sales volume
What is the difference between rebate and pricing access sequence?
The big difference between the rebate and the pricing access sequence is that there is no exclsuion flag available for rebate related AS. This means multiple tables for an access sequence can be aplied at the same time.
What indicator is used for lump sum payments?
Set the indicator 'A' for condition types such as lump sum payments where the rebate payment is based on promotional performance, for example, rather than sales volume. Accruals are then posted manually. You decide when accruals are to be posted and for which amount.
What is rebate in marketing?
A rebate is a special discount which is paid retroactively to a customer. This discount is based on the customer's sales volume over a specified time period. It is a type of sales promotion used by marketers, primarily as incentives or supplements to product sales.
When do you use partial settlement?
You use partial settlement only when rebate agreement is defined for a full year but the paoyouts are supposed to happen on a monthly, quarterly or anyother specified period.
Do rebates have to be paid retroactively?
Because rebates are always paid retroactively, the system keeps track of all billing documents (invoices, credit and debit memos) that are relevant for rebate processing. The system can, if you wish, automatically post accruals so that the accumulated value of a rebate is recorded for accounting purposes.
Why does SAP offer rebates?
In order to measure the performance of the customer within the prescribed validity dates, SAP has introduced SAP rebate processing functionality which is explained in this article. It is meant to be simple for someone who is just starting with this feature.
What are the benefits of SAP?
Due to the below-mentioned benefits, almost all the customers who have implemented SAP are using this functionality to a large extent. 1. Performance-based Incentive. It gives the business partners the upfront understanding of incentives which will apply when the business volume reaches a certain level. 2.
Can you do a pay out with SAP rebate?
Using the SAP rebate settlement feature of SAP Rebate agreement, you can do a pay-out. The result of the settlement is a credit memo request. When you remove a billing block, you can convert it into a credit memo.
When is a rebate agreement settled?
A rebate agreement is finally settled when you issue a credit memo to the customer for the accumulated rebate total.
What is rebate in sales?
A rebate is a special discount which is paid retroactively to a customer. This discount is based on the customer’s sales volume over a specified time period. You define the details of the rebate in a rebate agreement. In the agreement you specify, for example. who receives the rebate payment.
How does a rebate work?
Within the rebate agreement you create separate condition records for each product the customer buys. These records specify the rebate amount or percentage for each product. You can also specify a pricing scale so that the customer can earn a better rebate by ordering more. Because rebates are always paid retroactively, the system keeps track of all billing documents (invoices, credit and debit memos) that are relevant for rebate processing. The system can, if you wish, automatically post accruals so that the accumulated value of a rebate is recorded for accounting purposes.
What is the difference between CCM and rebate?
The general process in the CCM differs from the standard Rebate processing in the sense that there are no rebate Agreements at the first step. There are Condition contracts which need to be created and released. The steps for the same are explained in Step 8.
When to use condition contract settlement?
Therefore you use condition contract settlement if you are planning to create new rebate agreements before you upgrade to SAP S/4 HANA.
Can you create a new rebate agreement in S/4 1610?
Moving into S/4 1610, New Rebate Agreements are no longer available for creation. Yes, you heard it right! You can’t create a new Rebate Agreement neither can you extend existing ones. Subsequent logical question which any sane person would ask now is “How do I provide rebates to my customers then?”
Can SAP Business Suite be moved to SAP S/4?
It is not possible to create or extend the existing type rebate agreement s.
What is rebate processing in SAP?
What is Rebate Processing in SAP? Rebate process is a agreement between the company and the customer in the form of granting discounts paid retroactively to the customer on the basis of specified turnover. A rebate process ]
Can rebates be independent of sales volume?
Rebate can be independent of sales volume also.
