How Does The Payment Term Default While Creating The Invoice?

Learn how Payment terms get defaulted on Invoice in Oracle Fusion Applications

In today’s article, I will show you how Payment Terms get defaulted in Invoice in Oracle Fusion Applications. We will discuss 2 cases and see where Payment terms get defaulted in each of these cases:

PO match to Invoice
Manual Invoice creation

PO match to Invoice: Default Payment Terms

When Invoice is matched to PO then we choose Identifying PO. Payment terms get automatically populated as you see from below screen. So from where these Payment terms are getting default?

This defaults from Purchase Order. If you Open a Purchase Order you will see Payment Terms under the Terms tab which buyers can select manually while PO creation.

Manual Invoice Entry: Default Payment terms

Let us say you are now creating an Invoice, but in this case, you are creating a manual invoice without matching it to any PO. You are selecting a certain supplier and Payment terms get defaulted in this case as well. So where does this Payment Term default from this time?

If you navigate to the Supplier page and open the Supplier Site from Manage Suppliers> Site>Head Office you will see that Payment Terms defaults from Supplier Site.

Now you may have a question: “What if payment term has not been defined on Supplier Site Level? Where this Payment term default from?”

In this case, it gets default from Setup: Manage Invoice Options.