You can let your customers make invoice payments in multiple installments by using a split payment term. When you assign a split payment term to an invoice, Receivables automatically creates the payment schedules based on the invoice date and the payment terms that you define. For example, your split payment term might specify that 40 percent of the invoice is due in 30 days after the invoice date with the remainder due in 60 days.
You define your split payment term in the Payment Terms window. You can enter due dates for each installment and specify discounts to assign to each line of your payment terms. You can also apply the tax and freight for the invoice to the first installment or prorate tax and freight over all of the installments.
Receivables lets you review invoice installments if the status of the invoice is Complete. You can review invoice installments in the Installments window. You can update the transaction due date in the Installments window if the profile option AR: Update Due Date is set to Yes.
To enter an invoice with split payment terms:
1. Navigate to the Transactions window.
2. Enter general information for this invoice.
3. Enter a split payment term in the Payment Term field, or select a payment term from the list of values.
4. Save your work. If you are ready to complete this invoice.