- OracleApps Epicenter - http://www.oracleappshub.com -

Balance Forward Billing in R12

Balance Forward Billing is just a new name of "Consolidation Invoice billing" in Release 12, which provides enhanced billing options with a more complete and flexible solution.

Oracle R12 Vanilla Features of Balance Forward Billing

If you compare with R11i Consolidated Billing Invoice, there are some enhanced feature you can see.

Additional feature you can get like

  • You can also bill on specific days of the month. This way user can not only specify the day of the month for the billing date, or even multiple days like “every 15th and last day of month”. User can also elect to bill on a specific day of the week, such as every Friday.
  • You can also choose to exclude weekends, in this case if user skip weekends when determining billing dates, so billing dates only fall on workdays

R12 : The key setup steps

The key setup steps are:

Define a Billing Cycle

This is first step for your setup. You need to navigate:

Setup:Print > Balance Forward Billing Cycles

Couple of things your quick note:

Case 1 :If you are doing for daily, you can pick the number of days before the next bill. There is options where you can choose whether to include weekends in the number of days.

case 2 :If you doing for Weekly, you can pick the number of weeks before the next bill. Also, choose the day of the week the bill will be created. For example, you can choose bi-weekly billing that occurs every other Friday.

Case 3: If you are doing setup for monthly cycle, choose the number of months before the next bill.

By choosing Type of Day, you can elect to create the bills only on the workdays Monday through Friday. When you chose “Exclude Saturdays and Sundays”, if the billing date falls on a Saturday or Sunday, the billing date automatically changes to the date of the following Monday.

There is no way that this will exclude public Holiday's.

Define or update the Payment term and assign it the Billing Cycle

Your should do setup from this navigation

Setup : Transactions > Payment Terms

  • Proxima billing/Payment terms created as in 11i is no more exist. Billing Cycle is tagged with payment term.
  • in R12, billing Cycle is a new attribute of the Payment term and must be tagged to payment term to process balance forward billing.
  • Payment term setup screen does not have any cutoff Date information in R12 as had in 11i, this is part billing cycle setup.
  • The payment schedule dates:
    • Due Date is calculated based on the cycle and billing date therefore, the Due Date is not enterable for Balance Forward Bills
    • The Due Days field can indicate how many days after the billing date the bill is due for daily and weekly cycles
    • Day of Month and Months ahead can be used with the Monthly billing cycle. It is recommended that these only be used when a single bill day is used otherwise the due date will be the same for all the bills created during the calendar month.

A note on Cutoff date

Cut-off Date in Payment Terms in 11i is primarily provided for consolidated billing. It is essentially used to consolidate transactions based on cut-off date. It is not expected to be used when consolidated billing feature is not used. In R12 consolidated billing feature is replaced by Balance Forward Billing and cut-off date on payment term setup is replaced with Billing Cycle.

Next ..Enable Balance Forward Billing for customers wishing consolidated bills at either the site or account level.

Follow this step: Create a Customer Profile and attach the information as created in step 1 and step 2

Customers > Profile Classes

This way you can create the step up. Next is to create Transaction which is discussed in next section.

Here , you can see there is only 3 program as compare to 5 underline program as in R11i.

You can run these processes and see the report output and verify the details agaist the booked transaction.

Oracle R12 Balance Forward Billing Vanilla Functionality

The process is then executed as follows:

Similar Post

10 Comments (Open | Close)

10 Comments To "Balance Forward Billing in R12"

#1 Comment By Tangudu Arun Kumar On September 15, 2008 @ 10:41 pm

Any balance carried forward carryforward from the previous Period.
What does it mean?

Whehther it picks the transactions which are in previous periods but not picked by previous cycle?


#2 Comment By Sathyanarayana Sarma On September 20, 2008 @ 5:47 am

good article

#3 Comment By Aurawan On December 17, 2008 @ 2:16 am

It’s a very good article.

#4 Comment By John Hunter On February 23, 2009 @ 1:34 pm

Hi Sanjit,

Great article.

We are in the process of setting up BFB and are still unsure how the terms tie in with the BFB Cycle. For example we can setup the BFB Cycle as the 15th and Last day of the month, but it doesn’t appear that we can have the due date as 15th and Last Day of the month. Do you know if this is possible?

#5 Comment By vadivel On May 20, 2009 @ 9:06 am

good article. pls give me your contact number.My mail id is [2]

#6 Comment By Sanjit Anand On May 22, 2009 @ 12:55 pm

Drop me email at [3]

#7 Comment By Deepak On June 17, 2009 @ 4:03 pm

Hi Sanjit,

Wanted to know if Balance Forward Billing could be used to Consolidate AR Invoices that belong to 2 different Legal Entities and 2 different Ledgers BUT they are for the same Customer.

Your inputs will be highly appreciated.


#8 Comment By Sameh Al-Natsheh On September 12, 2009 @ 3:05 am

Thank you so much … I really got useful information from your article. now I understand the Balance Forward Billing ;)

#9 Comment By Eswar On March 2, 2010 @ 4:45 am

Hi Sanjit,

Thaks for your inputs.If possible can you clarify my doubt.We are implementing this BFB for one of our client.Our requirement is to generate a BFB at Site level as well as Account level.For example if a customer has 3 sites and third site should go with “Site level BFB” and rest of them should go with “Account level BFB”.It means we can able to produce two bills, one for Third site and second bill for rest of the two sites combined (account level).
I beleive that standard functionality will not allow this requirement.
If you can able to share your ideas it will be great help ful for me.


#10 Comment By name On December 6, 2010 @ 1:49 am

Thank you very much…..really a nice article

i got an error in changing a collector for a customer.

error: provide a valid bill level

note: bill level is defaulted as site