Creating payment schedules

Procedure

  1. On the Payments tab, click Generate Payment Schedules in the Payment Schedules section. The Accounting Type field value will be populated from the Lease record by default.
  2. In the Generate Payment Schedules form that opens, select the Payment Type under General Information.
    Note:

    By default, for any payment schedule has the Summary Type set to Rent and the Included In Amortization Schedule as checked.

    For ASC840/ IAS17, a Straight-Line Rent/Amortization schedule considers only default payment schedules. For a payment schedule where Summary Type is Incentive and Included In Amortization Schedule is checked, this will be seen on either Incentive Schedule Before Lease Commencement Date and/or Incentive Schedule After Lease Commencement Date depending on the incentive’s receiving date.

    For ASC842, IFRS16, Operating/Finance schedule considers both the default payments and those payment schedule with Summary Type set to Incentive and Included In Amortization Schedule is checked, that is received on or after the Accounting Start Date.

  3. In the Payment Parameters section, specify Frequency, Full Payment Start Date, Is the first payment prorated?, Pro Rata Basis, Amount Per Bases, Payment Due On, Number of Schedules, Adjust Months, etc.
    Note: The Calculation Method field is editable only when the Frequency is set to Quarterly, Specific Quarterly (Location Specific), Semi-Annually, or Annually. If the lease is a Prepaid lease, the Number of Days to Pay Before Due Date field will be available only when the Frequency is set to Quarterly, Specific Quarterly (Location Specific), Semi-Annually, or Annually. You can set the value of the Calculation Method field from 0-15.
  4. Review all the information and click Generate Payment Schedules in the Payment Schedules section.
  5. Set Processing Rules and Cost codes.
  6. In the Payment Instruction tab, the default payment instruction is the same as the organization set in Contact Details tab (Default Remit To section of the form). Click Create Schedule(s).
    Once the payment schedule(s) is created, the Generate Payment Schedule form is cleared and you can create the next set of payment schedule(s).