Documents Clearing * SAP Documents such as G/L documents, Journal entries, Customer invoices and Vendor invoices, Credit memos are Open items which are incomplete transactions €.g., invoices which have not been paid yet * Fora transaction to be considered as completed, it must be cleared * Atransaction is cleared when a clearing posting has been carried out for an item or group of items, so that the resulting balance of the items is zero. * Documents with open items cannot be archived and stay in the system until all ‘open items are cleared. * There are two different methods to process manual document clearing: * Account clearin| * Post with clearing The other method which is used mostly to process the overdue Vendor/Customer invoices and Credit memos by making payments in bulk or in one go is: + Automatic payment programAccount Clearing (With Credit Memo) G/L, A/R, A/P Account clearing is to clear an open invoice manually with a related credit memo A clearing transaction always creates a clearing document General Ledger: * Clear G/L Account * Transaction code: F-03 * Menu path: SAP Easy Access -> Accounting -> Financial Accounting -> General Ledger -> Account -> Clear Accounts Receivable: * Clear Customer Account + Transaction code: F-32 + Menu path: SAP Easy Access > Accounting > Financial Accounting > Accounts Receivable > Account > Accounts Payable: * Clear Vendor Account + Transaction code: F-44 * Menu path: SAP Easy Access > Accounting > Financial Accounting > Accounts Payable -> Account > learPost with Clearing - G/L, A/R, A/P * Post with clearing is to clear G/L document, Customer invoice and Vendor invoice through one of the following options: * Outgoing payment * Incoming payment * Transfer posting with clearing * For example: * An invoice is posted to a customer account * This invoice is regarded as an open item because at this point it is unpaid. + The customer pays the invoice and the payment is assigned to the open item * The invoice is cleared with the payment and the resulting balance is zero. The invoice is updated with the Clearing document number and its datePost with Clearing - Continued - G/L, A/R, A/P * General Ledger: * G/L Post with Clearing * Transaction code: F-04 + Menu path: SAP Easy Access -> Accounting -> Financial Accounting -> General Ledger -> Document Entry -> Post with Clearing * Accounts Receivable: + Incoming Payments (Customers) * Transaction code: F-28 + Menu path: SAP Easy Access -> Accounting -> Financial Accounting -> Accounts Receivable -> Document Entry -> Incoming Payments * Accounts Payable: * Outgoing Payments (Vendors) + Transaction code: F-53 + Menu path: SAP Easy Access -> Accounting -> Financial Accounting -> Accounts Payable -> Document Entry -> Outgoing Payment -> PostPayment Differences in Clearing - G/L, A/R, A/P * A payment difference normally occurs during the clearing of an open item * The difference is then compared to the tolerance groups of the employee (T- code: OBA4) and the customer/vendor (T-code: OBA3) and is handle accordingly * Ifthe payment differences is within tolerances — it is automatically posted as either cash discount adjustment as long as the cash discount amount is large enough for the adjustment * [fit outside tolerances, itis processed manually. The payment can be posted as ‘ollows: * Partial payment + The payment difference may be posted as a residual item + The payment difference can be posted to an account assigned to a reason code or written off by manually entering a new posting item, ‘* Payment on accountPartial Payment - G/L, A/R, A/P A partial payment is a payment that is posted to an account without any open items being cleared You assign this partial payment to an open item When you post the partial payment, the system marks the document number of the original open item in the line item for the newly-created partial payment document The original open item document and the partial payment document remain open Accounts Receivable: * Incoming Payments (Customers) + ‘Transaction code: F-28 + Menu path: SAP Easy Access > Accounting > Financial Accounting > Accounts Receivable > Document Entry > incoming Payments Accounts Payable: * Outgoing Payments (Vendors) + ‘Transaction code: F-53 + Menu path: SAP Easy Access > Accounting > Financial Accounting > Accounts Payable -> Document Entry > ‘Outgoing Payment > Post . . . "Residual Payment - G/L, A/R, A/P A residual item results when a payment is made for less than the actual amount outstanding The original open item is cleared, and the system posts a new open item This new open item is for the same amount as the original open item minus the amount paid While processing residual payment, remove the cash discount amount or deactivate it as there is no cash discount while processing residual items Accounts Receivable: *+ Incoming Payments (Customers) ‘Transaction code: F-28 * Menu path: SAP Esy Access > Accounting > Financial Accounting > Accounts Receivable > Document Entry > Incoming ments Accounts Payabl * Outgoing Payments (Vendors) + Transaction code: 53 * Menu path: SAP Easy Access > Accounting > Financial Accounting > Accounts Payable > Dociment Entry > Outgoing syment > PostPost with Clearing — Distribute Differences and Charge-off Differences - Speak + Distribute Differences * If the Customer makes less payment against the original invoice and that is outside tolerance group then you can distribute differences and this will clear the original invoice but open a new document for the remaining balance * Charge-off Differences * If the Customer makes less payment against the original invoice and that is outside tolerance group then you can make charge-off differences to post them into Charges account and this will clear the original invoice but open a new document for the remaining balance