We are using OIS415 for bonus-accruals on each customer invoice that qualifies for bonuses.
We are having trouble in finding a good way of doing settlements when the final amount to be credited to customer is different to the provision/accrual made by M3.
Lets say that the accrued bonus is 130 but we want to settle/credit only 110 to customer. The remaining 20 should be reversed in general ledger and not be paid out/credited. We are looking for what is best practice but is not able to find any good guidance. The status should be set to 90 on the bonus agreement upon settlement.
As far as we understand it is not possible to set another amount (110) when doing an final settlement, but we have tested doing an advance (which can be adjusted) of 110. That works really well in finance/general ledger. The advance of 110 is moved from accrued balance sheet liability into AR, and the remaning 20 is reversed towards P&L. Balance sheet accrual total zero just like we want. But the Bonus-agreement is still in status 20. If we do a settlement after this advance, the remaining 20 is popping up again. We are considering adjusting the final settlement to zero on customer credit order in OIS300, but it does not "feel right" to have to do it this way.
We have also considered doing the advance and then change the valid-to date on agreement, but that does not takes it to status 90 and it does not "feel right" either.
Another thought is to make a final settlement and adjust the settlement amount from 130 to 110 on the customer credit order in OIS300. This takes the bonus agreement to status 90 but leaves a balance of 20 on the balance sheet accrual account that has to be corrected manually towards P&L manually.
What is the best pratice? We would like to;
- Make a settlement of 110
- Have the remaining 20 automatically reversed from balance sheet towards P&L
- Get the status on bonus agreement in OIS415 set to 90 auomatically
