What is underpayment

Example: overpayment / underpayment

The following example illustrates the posting and updating of payments whose amounts differ from those of the items to be cleared. These are overpayments or underpayments (partial payments).

Posting an overpayment and underpayment creates an amount split:

  • In the event of an underpayment, the amount is divided in the invoice to be settled. One item represents the partial clearing and the other represents the remaining claim. In the payment document, the underpayment is posted as full settlement of the partial amount with the FM category () and updated to the assigned FM account assignment.

  • In the event of overpayment, the amount is divided in the payment receipt. An item represents the full settlement for the invoice and is updated as an FM type () to the assigned revenue FM account assignment. The remaining amount is posted as a payment on account with the FM type ().

The example below shows an overpayment. The payment amount is divided ( 300 ) into a compensation amount ( - 200 ) as well as a payment on account ( - 100 ). Payment matching is activated in Funds Management, which is why the payment on account is also relevant for updating. The derivation rules are also defined in such a way that the clearing payment and the payment on account are made on different FM account assignments.

To simplify matters, only a single payment receipt is shown in the graphic.

See also:

Example: posting of invoices

Example: payment with settlement

Example: payment on account / down payment