SAP Check Payments

End-to-End Process
 Process
• Buyer creates a purchase order ME21N
• Manager approves the PO.
• Vendor ships the goods.
• Goods are received at our plant. MIGO
• Vendor sends Invoice.
• We enter invoice in our system. MIRO
• Shows up as Open item on vendor in our system.
• Execute Automatic payment run.
• Vendor item picked in payment run after it is due.
• Open item cleared by payment run, generating a check. F110
– Posts Vendor Debit and Bank Clearing Credit ( Cash is not out of our bank yet)
• Check is mailed to the Vendor.
• Simultaneously we send electronically our check register extract to bank. FCHX
• Vendor submits check at bank.
• Bank verifies it against our check register data.
• Bank pays the vendor.
• Bank sends us the statement or we download it from its secured site. FCHI
– We update the check with en cashed date in our check register.
– Posts Bank Clearing Debit and Actual Cash Credit.

LEGEND – Italicized shows FI document generation