With service subscriptions, you manually accrue revenue in the periods following the date when you invoiced a fee transaction.

Accrual periods are created for the invoice period that you set up for the subscription fee, and the accrual periods are based on the period code of the subscription.

You can accrue and reverse accrued revenue.

Reversal of accruals on crediting

If you credit invoiced subscription amounts, you can use three different methods to reverse the accrual amounts. You can reverse each accrued revenue transaction individually before you create the credit note proposal for the transaction (manual) or you can have the accrued amounts reversed on the date where the credit note is posted or on the original posting date of the accrual. For more information, see Subscription parameters (form).

Setup requirements

To accrue revenue, make sure the data requirements are met as follows.

Account setup

The and the accounts must be set up in .

When you post accrued revenue, the account is debited with the accrual amount, and the account is credited with the accrual amount.

Set up accounts for accrual of subscription revenue

  1. Click > > > .

  2. In the form, click the tab, and select and to set up the accounts.

Subscription group setup

The check box must be selected on the subscription group that is attached to the subscription to be able to accrue revenue for subscriptions.

Enable revenue accrual on a subscription group

  1. Click > .

  2. Select the subscription for which you want to accrue revenue.

  3. In the form, click the tab, and view the subscription group in the field.

  4. Enable revenue accrual on the subscription group by clicking > > > , and on the tab, select the check box.

Periods

You must set up an invoicing period code. Unless you want to accrue revenue within the same time intervals as you use for invoicing, you must also set up an accrual period.

In the following table you get an overview of what accrual periods you can set up for what invoicing periods:

Invoicing period

Accrual period

For more information about how to create a new period type, see Generate periods.

The invoicing period is mandatory setup information about the subscription group and you can also set up an accrual period on the subscription group. If you set up an accrual period on the subscription group, this period is suggested in the field in the form when you accrue subscription revenue. However, the accrual period is optional information about the subscription group.

Transactions

You can control the amount of ledger transactions that are created when you post accrued revenue on subscriptions by defining if the ledger transactions should be created as a total or per line.

Specify the level of posting details to display for accrued transactions

  1. Click > > .

  2. Select or in the field on the tab.

See Also