Proxima payment terms

[rajanimadhu2008]

Pl explain about Proxima payment terms in payables

rajani

[kumar_apps]

Hi,

The Proxima Payment Terms are about monthly billing cycles like Mobile, Credit Card, Utilitiy bills and others which for which there will be a Cutoff Date, and Billing Date and which wll occur on the same day of a month (or) regularly like montly/quarterly like that.

The settings you will have to do as below
In the Cutoff Day = Mention the date till which the billing is calculated(e.g. 15th or 20th, 25th etc..)
and the Day of Mongh = mntion the due date of the month for which the bill wll fall due(e.g. if bill generated on 7th as cutoff day that may fall due after 15 days i.e. 22nd will the Day of the Month)
and Month Ahead = (the no. of months ahead the bill will fall due - i.e. if the cutoff day is 29th of a Month the if the due date will fall after 15 days- which is in the next month , you have to mention 1 in the Month Ahead column which explains the bill will be due by 14th of the Next Month)

Hope this clarifies.

Regards
Kumar