# Payment Rules

### **Module Guide: Payment Rules**

#### **Module Location**

#### Settings > Accounting Settings > Payment Rules

#### **Module Purpose**

#### The **Payment Rules** module serves as a master data hub for creating and managing all types of **payment terms** used by the company. These rules (such as "30 Days," "60 Days," or "100% LC at Sight") define the credit period given to customers or received from suppliers and form the basis for automatically calculating due dates throughout the system.​

### **1. Main View (List of Payment Rules)**

#### The main page displays all payment terms that have been defined in the system, providing a complete overview of the available options.

#### **View Explanation**

- #### **Filter**: Allows searching for specific rules by **Payment Rule Code** or **Description**.
- #### **Payment Rules Table**:
    
    
    - #### **Payment Rule Code**: A unique numeric code for each rule.
    - #### **Payment Rule Description**: An easy-to-read explanation of the term (e.g., `30 Days`, `60 Days`).
    - #### **Stage**: The number of days or duration of the payment term.
    - #### **Type**: The calculation method (e.g., `daily` for daily calculation).
    - #### **CurrentlyUsed**: Indicates whether the rule is actively being used in master data or transactions.
- #### **Action Buttons**:
    
    
    - #### **New**: Opens the form to create a new payment rule.
    - #### **Delete**: Deletes a selected payment rule (if it is not currently in use).

### **2. New Page (Add Payment Rule)**

#### This simple form is used to define the details of a new payment term.

#### **View Explanation**

- #### **Payment Rule Code**: A field to enter the unique code.
- #### **Payment Rule Description**: An area to write a clear name or description for the term.
- #### **Stage**: A field to enter the duration (e.g., 30) and select its unit (e.g., Days, Months).
- #### **Action Buttons**: **Save** to store the new rule and **Cancel** to abort.

### **3. Steps to Create a New Payment Rule**

- #### From the main page, click the **New** button.
- #### Enter a unique **Payment Rule Code**.
- #### Write a clear **Description** (e.g., "Net 90 Days" or "Cash on Delivery").
- #### Define the duration by filling in the number in the **Stage** field and selecting its unit.
- #### Click **Save**.

### **4. Integrated Workflow & Business Process**

- #### **Standardization of Terms**: The rules created here will appear as dropdown options when users create or modify Customer and Supplier master data.​
- #### **Due Date Automation**: When a payment rule is selected for a customer (e.g., "Net 30 Days"), every time a sales invoice is created for that customer, the system will automatically calculate its due date by adding 30 days to the invoice date.​
- #### **Cash Flow Management**: With accurately and consistently calculated due dates, this module provides a crucial foundation for accounts receivable (AR) aging and accounts payable (AP) aging reports, which are vital tools for cash flow management.

### **5. Tips & Important Notes**

- #### Use clear and industry-standard descriptions (like "Net 30", "EOM" - End of Month) to make them easily understandable for all users.
- #### Although default rules are set in the **Conditions** module, this **Payment Rules** module provides a comprehensive list that can be chosen to offer flexibility for each customer or supplier.
- #### Deleting a rule with a **CurrentlyUsed: YES** status will likely be disallowed by the system to maintain historical data integrity.
- #### Managing this module is part of the basic financial setup and is usually handled by the accounting or credit control team.