Payment Program Procedure Bank transfer Payment advice Payment summary Euro Check Check Payment control Current parameters Master record Doc. Proposal data Print program Edit proposal Proposal run Payment run Print program

Payment Methods PayablesReceivables Clearing between customers and vendors between comp. codes) (between comp. codes) Check Bank collection Bill of exchange Bank direct debit Bank transfer (dom.& foreign) Bill of exchange request Postal bank transfer Refund by check Check/Bill of exchange Refund by bank transfer Group clearing Group clearing

Main Inputs to the Payment Program General data Cash disc. flds Selected items Payment date -- Address Pmnt method Selected bank Selected accounts -- Control Pmnt block Selected pmnt Selected company -- Pmnt transactions Bank details method codes Company code data Minimum amounts Next payment date -- Account mgmt Cash management Pmnt transactions Correspondence Customer/Vendor master record Document Basic parameters Online parameters

Data Required by the Payment Program Payment terms Pmnt methodsT Payment block Clear with customer Our bank Address Bank details Alternative payee Invoice Payment terms Payment block Payment method Payment Master record Master record complete? Open items to pay?

Bank Details CountryBankNo.BankAcctAcctKeyBank TypeCollection Authorization F Bank data F Address Credit Lyonnais : Control data CRED1234xy :

CT Payment data Pmnt terms Automatic payment transactions Pmnt methodsPmnt block__ Alternative payee__House bank__ Single payment__ Clear with cust.__ Controlling the Payment Program 12 Pmnt methods Outgoing payments _ PPostal check X CCheck X TBank transfer Incoming payments _ ABank direct debit _ EBank collection

Data Input to Payment Program in Each Document House bank Partner bank type Amount_____ Discnt base__Discnt amnt__ Payment termsZB01Days / Percent 14 / 3,000 30/ Baseline date_____Fixed__ Pmnt block__ Pmnt method__ Details

Online Parameters for the Payment Program Run date 06/08 Identification xyz Status No parameters entered as yet Posting date 06/08/YY Doc. entered to 06/08/YY company codesPmnt methodsNext posting date 0001 US 06/15YY Vendors (from/to)Customers (from/to) Additional log TRACE Maintain parameters

Proposal Run Run date 06/08 Identification xyz Status Parameters have been entered Schedule proposal Status Parameters have been entered Proposal is released Proposal is running Payment proposal has been created Start date06/08 Start timeHH:MM:SS Start immediately

Processing the Payment Proposal Proposal data Proposal list Exceptions list Proposal log TRACE Payment list Amounts by business areas Amounts by countries Amounts by currencies Amounts by pmnt methods Amounts by banks List of blocked accounts/ items Job log - Due date check - Payment method selection - Payment records Process

Editing the Proposal Pmnt block Payment terms : Change Pmnt method House bank Pmnt method House bank Payments Open items Reallocate Select cash disc. Choose Item Item Item Account 1--Exceptions-- Account Account

Payment Run Run date 06/08 Identification xyz Status Parameters have been entered Payment proposal has been created Schedule payment Status Parameters have been entered Payment proposal has been created Payment run has been released Payment run is in process Posting jobs: nn created, nn ready Payment run has been completed Start date06/08YY Start timeHH:MM:SS Start immediately

Producing Payment Transfer Media Bank transfer Payment advice Payment summary Euro check Check Payment date Program run date06/08/YY IdentificationXYZ : Paying company code0001 : Number of test prints_ Print Payment list Exception list TRACE Documents 25 Vendor 50 Bank Report RFFOD_ _X

Customer - Vendor Clearing Customer AVendor B 10,00025,000 Settlement Item 1 25,000 Item ,000 Total 15,000 VendorB Clearing with vendorX CustomerA Clearing with customerX Master record Customer A Master record Vendor B

Payment Program - Control –Paying All –in Country in Company Code –Bank selection Available amounts Account determination Postal code bank selection Bank Fees / Charges (only Bill of Exch.) Value date House Banks Bank Accounts Company Codes Payment Methods Banks

Paying Company Codes –General Specifications ____________________________ Minimum Amount for Incoming Payment Minimum Amount for Outgoing Payment No exchange rate differences Form for the Payment Advice F110_D_AVIS –Line Item Grouping for Bills of Exchange – A Bill of Exchange per Due Date Interval A Bill of Exchange per Due Date A Bill of Exchange per Invoice –Bill of exch. due date/Bill of exch. pmnt req. for incoming pmnts Latest Due Date in 90 days Bill on Demand for Due Date up until 10 days –Bill of exchange due date for outgoing payments Earliest Due Date in Latest Due Date in Paying Company Codes Paying Co. Cd. Company name 0001SAP Inc.... Sender

Company Codes –Control Data _________________________ Sending company code Paying company code 0001 Tolerance Days for Payables 3 Outgoing Payment with Cash Disc. from 1% Always max. cash discount  Separate Payment per Business area  –Vendor ________________________________ Special G/L Trans. to be Paid AIF Special G/L Trans. for Exception List __ –Customer_______________________________ Special G/L Trans. to Be Paid F Special G/L Trans. for Exception List __ Company codeSending comp. co. Paying comp. co

Payment Method in Country –Payment method classification_________________________________ –  Check will be created  Check / Bill of Exchange  POR Payment procedure  Bill of Exchange will be created  Post Giro / Postal Check  Create Bill of Ex. Before Due Date  Pmt Method for Inc. Pmts  Bill of Exchange pmnt request –Details necessary in the master record - Posting details______ –  Street or P.O. Box Document Type for Payment AB Bank Account Number Special G/L Ind. Bill of Ex. / AB  Collection Authorization Bill of exchange pmnt request__ –Form printout ______________________________________________ –Name of the Print Program RFFOD_U Key in Code Line 51 Name of the Print Dataset __ Print Dataset for B/Exch. __ Country Description CACanada USAUSA Pmnt Meth. Name (in language of country) SCheck Ubank transfer... SCheck Ubank transfer...

Payment Methods in Company Code I –Marginal amounts __________________________________________ Minimum amount LC* Maximum amount –Foreign Payments / Foreign Currency Payments ______________  Customer / vendor allowed abroad  Bank data allowed abroad  Foreign currency allowed –Bank Selection control ___ Posting Details Optimize acc. to bank groups  Single pmnt for marked item  Optimize acc. to postal codes  Post Bill Liability at Bank –Bill of exchange pmnt request._____________________________ Days until due Date __ – *LC = Local Currency Form data Company codeCompany name 0001SAP Inc Pmnt meth.Name (in language of country) SCheck UBank transfer

Payment Methods in Company Code II –Form_______________________________ Form for the payment transfer media F Next form __ –Paid items printout ________________ Line items per form __ Pmnt advice when form is overfilled  Other forms when form is overfilled  –Details on the form ________________ Issuer ________ ________ ________ Form Data

Bank Selection –Pmnt. meth. Curr.Rank.order Bank ID HB for bill of exch. Acct f. bill o. exch. –SLC*1Bank 1 SLC2Bank ULC1Bank 1 ULC2Bank –LC* = Local currency HB = House bank Company codeCompany name 0001SAP Inc

Available Amounts –Bank - ID Acct ID DaysCurrencyOutgoing Payment Incoming Payment –Bank 1CHECK3LC* Bank 2 CHECK 3LC* –LC* = Local currency Company codeCompany name 0001SAP Inc

Account Determination Bank ID Pmnt Meth. Currency Acct ID Bank Subacct. Clear. Acct Charge Type BA Bank 1SLCCHECKBank 1 - B0001 Bank 1SLCCHECK Bank 1 - C Bank 2SLCCHECK Bank 2 - B Bank 2ULCCHECK Bank 2 - C Bank 2WLCCHECK Bank 2 - C Company CodeComp. name 0001SAP Inc

Payment Blocking Reasons –Block code Description Changeable in pmnt proposal –__Released for payment *Skip account ABlocked for payment RBlocked for  Invoice verification