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Author's profile photo Jeet Chauhan

Automatic Payment Program use in General, Installment and Multiple Partial Payment

Hi Folks,

This document will be helpful to one who is new to SAP FICO like me and want to do hands on Automatic Payment Program(APP) tcode F110.

3 concept are covered in this doc which are as below :

  1. General APP scenario.
  2. Installment payment scenario
  3. Multiple partial payment

with detail of check and payment advice working.

Below is my work and understanding of APP run:

Automatic Payment Program (APP):APP is a tool that will help users to manage payables.

SAP gives users the options to automatically:

1. Select Open(Pending) Invoices to be paid or collected

2. Payment Documents to be posted

3. Print Payment Media or generate EDI

The APP has been developed for both national and international payment transaction with vendors and customers, and handles both outgoing and incoming payments.

Before running APP we need to do configuration for APP.

Steps for Configuring APP are :

1. Setup payment method per country

2. Setup payment method per company code

3. Setup all company codes

4. Setup paying company code

5. Bank determination

6. Assign payment method to vendor account

Case 1: General APP scenario

Step by step process:

Step1:  Go to transaction ‘FBZP’ or  SPRO pathIMG -> Financial Accounting(New)->Account Receivables and Account Payable->Business Transactions->Outgoing Payments->Automatic Outgoing Payments-> Payment Method/Bank Selection for Payment ProgramOr we can get below screen by running ‘F110’ and under environment ‘Maintain Config’.   /wp-content/uploads/2016/08/1_1018718.png

We  get below screen ‘FBZP’ to maintain configuration for APP


Click on Company Code (OBVU)


`Click on New Entries and Enter Company Code ‘ZJDC’, Paying Company Code,Sending Company code is not entered if paying and sending company code are same.Paying and receiving company code should have same company code currency./wp-content/uploads/2016/08/2_1018721.pngOn saving , /wp-content/uploads/2016/08/3_1018722.pngnew customizing request is created .

Step 2: Select on Paying company codes

/wp-content/uploads/2016/08/4_1018723.pngClick on New Entries/wp-content/uploads/2016/08/5_1018724.pngEnter Paying Company Code and Minimum incoming and Minimum outgoing Payment.Double click on Form to enter Payment Advice form and Sender details to enter sender details/wp-content/uploads/2016/08/6_1018725.png/wp-content/uploads/2016/08/7_1018726.png

Click on Save, Customization request created and paying Company code data is configured/wp-content/uploads/2016/08/8_1018727.png

Step 3:Now Select Payment Methods in Country

/wp-content/uploads/2016/08/9_1018728.pngClick on New Entries and give below details:/wp-content/uploads/2016/08/11_1018729.png/wp-content/uploads/2016/08/12_1018730.pngClick on Save /wp-content/uploads/2016/08/13_1018731.pngand customizing request is created

Step 4:Select Payment methods in Company Code

/wp-content/uploads/2016/08/14_1018732.pngClick on new entriesNow enter below details/wp-content/uploads/2016/08/16_1018733.pngClick on save and we are done.

Step 5:Click on House Bank, or Tcode FI12 if House bank is assigned to company code than go to ‘Bank Determination’/wp-content/uploads/2016/08/18_1018390.pngEnter Company Code ZJDC/wp-content/uploads/2016/08/19_1018391.png/wp-content/uploads/2016/08/20_1018392.png

Click on New entries


Click on Save 

/wp-content/uploads/2016/08/23_1018394.pngis configured

Go to FI12 and maintain House Bank, Account ID, Bank Account Number and GL for Bank posting/wp-content/uploads/2016/08/24_1018395.png

Click on Save:

/wp-content/uploads/2016/08/25_1018396.png  /wp-content/uploads/2016/08/26_1018397.pngand House Bank is configured for Company code.

Table: T012


Step 6:Configure Bank determination for Company Code


Create ranking order for Paying Co. Code ZJDC/wp-content/uploads/2016/08/29_1018404.pngOn Saving  /wp-content/uploads/2016/08/30_1018407.png  bank determination is done for ZJDC and for bank SCB.

Now Click on Bank Accounts


On Saving bank accounts has been configured.

Now Click on Available Amounts, press New Entries:

/wp-content/uploads/2016/08/32_1018410.pngOn Saving,  /wp-content/uploads/2016/08/33_1018409.pngand Available Amount for outgoing payment has been defined.

Value Dates:



/wp-content/uploads/2016/08/36_1018412.pngStep 7:Now need to assign payment method ‘C’ for Vendor.For this go to tcode ‘FK02’, assign payment method ‘C’/wp-content/uploads/2016/08/37_1018413.pngNow Before APP run, we need to have a vendor open items, for that we need to create vendor invoice in transaction F-43./wp-content/uploads/2016/08/38_1018414.png   /wp-content/uploads/2016/08/39_1018415.png/wp-content/uploads/2016/08/40_1018416.pngEnter Posting key 40 and GL account 310123 to pass value to gl account/wp-content/uploads/2016/08/41_1018422.pngIn the next screen type * in Amount and + in Text field it will fetch previous value automatically./wp-content/uploads/2016/08/42_1018421.pngClick on Simulate, in Document Menu Bar (Shift+F9):


Next Screen is as below


Now to Post document, click on /wp-content/uploads/2016/08/45_1018425.png or go to Document and Select Post



Error is rectified by assigning number object 19 to ZJDC company code, Tcode FBN1

/wp-content/uploads/2016/08/47_1018427.png /wp-content/uploads/2016/08/48_1018428.png    /wp-content/uploads/2016/08/49_1018429.png /wp-content/uploads/2016/08/50_1018430.png

Now we can check vendor open items in tcode ‘FBL1N’


Step 8:Now we can go to Tcode ‘F110’, as APP Run and any 5digit alpha-numeric characters as identification.

In the Parameters Tab, We have to define the following

1. What is to be paid – Docs. Entered Up to

2. When will the payments be made – Posting Date

3. Which company codes will be considered – Company Codes

4. What payment methods will be used – Payment Methods

5. Next payment date6. Vendor Accounts for which payment has to run


Save the Parameters entered:


Now click on Proposal


We can check the proposal log  by clicking on /wp-content/uploads/2016/08/56_1018436.png button/wp-content/uploads/2016/08/57_1018437.png

We can Edit proposal by clicking /wp-content/uploads/2016/08/58_1018438.png

if want to change payment for Vendor

/wp-content/uploads/2016/08/59_1018439.png /wp-content/uploads/2016/08/60_1018440.pngNow click on payment run /wp-content/uploads/2016/08/61_1018442.png on status screen , check on /wp-content/uploads/2016/08/62_1018441.png popup/wp-content/uploads/2016/08/63_1018443.png

Status is Payment Run has been cancelled

/wp-content/uploads/2016/08/64_1018444.png /wp-content/uploads/2016/08/65_1018445.png

Number range 20 assigned in company code ZJDC, via  FBN1/wp-content/uploads/2016/08/66_1018446.png/wp-content/uploads/2016/08/67_1018447.png

For ZP document type NR: 20, to confirm go to tcode OBA7 or table T003




Now again doing /wp-content/uploads/2016/08/70_1018450.pngand it is successful/wp-content/uploads/2016/08/71_1018451.png

We can see the payment detail in FB03


No open line items in FBL1N


Note: earning account 759999 is fetched from


Tcode: OBXU   

/wp-content/uploads/2016/08/75_1018456.png /wp-content/uploads/2016/08/76_1018457.pngCase 2:Automatic payment program for vendor with Installment payment term:

For making Installment payment:

Step1:First define a payment term in OBB8 with below detail


Step2: Now go to tcode: OBB9


When  creating vendor Invoice F-43(FB60 for multiple line):Use payment term ZTIN for installment payment/wp-content/uploads/2016/08/79_1018460.png

For Next line item


Now Simulate, Shift+F9


Now post,/wp-content/uploads/2016/08/82_1018463.png

FBL1N open item entry


To give check print program, assign SAPScript name in FBZP ‘Payment methods in Company code’ as below:/wp-content/uploads/2016/08/84_1018466.png

For Payment advice give sapscript name in ‘Paying company codes’ under FBZP


Now go to t code F110 and Set parameters

/wp-content/uploads/2016/08/86_1018468.png /wp-content/uploads/2016/08/87_1018469.png

We have to create check lot for paying company code in FCHI


Now proposal log in F110


After payment run


Go to FBZ5, enter printer for check printing and advice printing


Now Print,  Ctrl+P


Now we can go to SP02 and check log printingOne for payment advice and one for check as we have entered printer name in both in t code FBZ5


Note: We can restrict number of rows in check printing (FBZP , Payment method in Company Code)/wp-content/uploads/2016/08/94_1018476.png

If payee lines are less than installment payment line.As in below example we have Installment term ZTIN which have 3 payment term (OBB9)But Payment advice control restricted to 2 rows in Payment Method Company code ,FBZP/wp-content/uploads/2016/08/96_1018477.png

Note: Uncheck Individual Payment in Vendor Master data, if not than 3 separate payment document will be created per payment term and 3 separate checks will be printed.


In FBL1N, one payment document is created/wp-content/uploads/2016/08/98_1018479.png

In FBZ5, for Doc 2000000016 only 1 check is printed and detail for line item isin advice/wp-content/uploads/2016/08/99_1018480.png

Check is not having line item details for payment,


Payment advice has detail of payment as per payment term/wp-content/uploads/2016/08/101_1018482.png

If restricted to value is more than equal to installment term, in this case 5 > 3 installment terms/wp-content/uploads/2016/08/94_1018476.png

Check printing will have line item details and no need to give separate Payment advice :/wp-content/uploads/2016/08/103_1018487.png

Advice print, in this case not needed but still can be printed with line item details./wp-content/uploads/2016/08/104_1018488.png

Case 3: Multiple Partial Payment from an invoice through APP(F110)

  1. Create Special GL account for Down payment request(FS00):


  2. Assign special GL account to Vendor reconciliation account(FBKP):





GL 399999 detail, recommended to have line item display checked




Click on /wp-content/uploads/2016/08/113_1018500.png


Use OBXT to facilitate payments for special GL Indicator “P”

/wp-content/uploads/2016/08/115_1018504.png /wp-content/uploads/2016/08/116_1018510.png

Use FBZP to facilitate payments for special GL Indicator “P”





Post vendor invoice using FB60 or F-43


In FB03


General Ledger view of doc:


Execute F-59 to generate request for partial payment with reference of invoice 1010:





FB03 to check document number 100000000


Use the Tcode FB02 to block Main Invoice number 1010 so that payment can’t be made in full else mistakenly can be done



And click on Save /wp-content/uploads/2016/08/144_1018657.png


Now Payment for 1010 invoice is blocked

Run F110 to make multiple partial payment




Document 100000000 is open to pay as partial payment for invoice 1010


There is payment block for Document number 1010 so payment proposal shows error


Now Payment run


Payment log


After payment run vendor line item FBL1N



Again execute F-59 for to generate request for 2nd partial payment




Click on /wp-content/uploads/2016/08/144_1018657.png

Document 1000000001 was posted in company code ZJDC

FBL1n status


FB03 to check doc number 100000001


Run APP(F110) for 2nd partial payment








Payment run log Document 2000000019 is created for payment


FB03 for 20000000019


Now FBL1n


Now use FB02 to unlock payment block for document 1010



Now run F110 for final payment run






Now go to FBL1N as payment block was removed from Doc 1010 all payment is done to vendor for invoice amount 800 USD


Now go to FBZ5 and generate check for all doc 20000000018,2000000019 and 2000000020





Payment doc 2000000020 will have detail about all payment made as per request and final settlement of 300 USD


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      Author's profile photo Former Member
      Former Member

      Nice document with great detail, thank you Jeetendra!
      Are you familiar with setting up a background to automate the 'automatic payment' F110? Is it possible?

      For example, installment payment or any recurring payment, can we set up a scheduled job to carry out payments? Is there any document you recommend?


      Author's profile photo Harsha Yedla
      Harsha Yedla

      Use F110S for background automation.

      Author's profile photo Jeetendra Singh
      Jeetendra Singh
      Blog Post Author

      Thanks Pravan.

      I am happy that it was helpful to you. Was busy with other stuff so not able to get back to SCN.  Will surely come back with detail doc on background scheduling .




      Author's profile photo Anji M
      Anji M

      very useful document and i learnt some new things through your doc...

      Author's profile photo Muhammad Hasan Mufid
      Muhammad Hasan Mufid

      Thank for detail explanation about automatic payment Mr. Jeetendra

      Keep Update



      Muhammad Hasan Mufid