TCode F110 is used to execute automatic payment program.

The payment program is capable of processing both outgoing and incoming payments. It can process in both
Accounts Receivable and Accounts Payable.

The payment program processes domestic and foreign payments for vendors and customers. It creates payment
documents and supplies data to the payment medium programs. These payment medium programs print either a
payment list, payment forms (for example, checks) or create data carriers such as magnetic tape or floppy disks.

The standard system contains payment medium programs and forms for the most common payment methods. It can
also create payments on disk. Note that payment forms and file formats vary from country to country and sometimes
also from bank to bank. You can design new payment forms and modify the existing ones using the tools offered by
SAP Script.

The payment medium program stores data in the SAP print administration and (where DME is used) in the DME
administration. From there, data is picked up separately per form/data carrier and output to the printer or data carrier.

It is a multi step process the functionality of which is described below.

This topic gives a general overview of the precautions and processing steps that need to be taken to execute a
payment run.

Planning and Parameter Specifications

If you have several house banks that you can use for your payment transactions and have limited funds in these
accounts, you will have to plan the cash balances available for each bank account and specify the ranking order by
which the program is to use these accounts. In addition, because there are several house banks available to the
payment program you have to enter the order in which the bank accounts are selected.

Before every payment run, you need to specify which company codes, account types, and accounts to include in the
payment run. Furthermore, you have to enter the desired posting date, the possible payment methods, and the date
of the next payment run. There are also some other optional specifications that you can make.

Creating the Payment Proposal

Once the specifications for the payment run are complete, you can schedule the payment proposal. In a window, you
either enter the desired start date and time or arrange for immediate execution. The status display shows you which
step the job currently is at.

If the payment proposal is created, the system first checks the results, reading the proposal log and recording any
exceptions in it. This includes the reading of the proposal log in which all exceptions are recorded.

By displaying or printing the payment proposal list or by editing the payment proposal, you can get an overview of the
payments proposed by the program.

Editing the Payment Proposal

You can divide payment proposal processing between the clerks responsible. To do this, you must specify the
accounting clerk ID stored in the master record after accessing payment proposal editing.

It is possible to make changes when editing the payment proposal. You can make changes to the payment (payment
method, house bank) and the items paid (block indicator, cash discount). All changes you make affect only the
payment proposal. No changes are made to the source documents.

Executing the Payment Run and Payment Medium Programs

Once you have accepted the payment proposal or have finished editing it, you can schedule the payment run. The
job created for the payment run will contain either only the payment program as one step or an extra step for each
payment medium program and each variant. In the latter case, you need to specify which variants to use for each
payment medium program prior to scheduling the payment run. In scheduling the run, you specify the desired start
time and select the print programs option.

If you want to run only the payment program first, you can schedule the print programs for a different time in a
separate job.