Hi Folks,

This document will be helpful to one who is new to SAP FICO like me and want to do hands on Automatic Payment Program(APP) tcode F110.

3 concept are covered in this doc which are as below :

  1. General APP scenario.
  2. Installment payment scenario
  3. Multiple partial payment

with detail of check and payment advice working.

Below is my work and understanding of APP run:

Automatic Payment Program (APP):APP is a tool that will help users to manage payables.

SAP gives users the options to automatically:

1. Select Open(Pending) Invoices to be paid or collected

2. Payment Documents to be posted

3. Print Payment Media or generate EDI

The APP has been developed for both national and international payment transaction with vendors and customers, and handles both outgoing and incoming payments.

Before running APP we need to do configuration for APP.

Steps for Configuring APP are :

1. Setup payment method per country

2. Setup payment method per company code

3. Setup all company codes

4. Setup paying company code

5. Bank determination

6. Assign payment method to vendor account

Case 1: General APP scenario

Step by step process:

Step1:  Go to transaction ‘FBZP’ or  SPRO pathIMG -> Financial Accounting(New)->Account Receivables and Account Payable->Business Transactions->Outgoing Payments->Automatic Outgoing Payments-> Payment Method/Bank Selection for Payment ProgramOr we can get below screen by running ‘F110’ and under environment ‘Maintain Config’.  

We  get below screen ‘FBZP’ to maintain configuration for APP

Click on Company Code (OBVU)


`Click on New Entries and Enter Company Code ‘ZJDC’, Paying Company Code,Sending Company code is not entered if paying and sending company code are same.Paying and receiving company code should have same company code currency.On saving , new customizing request is created .

Step 2: Select on Paying company codes

Click on New EntriesEnter Paying Company Code and Minimum incoming and Minimum outgoing Payment.Double click on Form to enter Payment Advice form and Sender details to enter sender details

Click on Save, Customization request created and paying Company code data is configured

Step 3:Now Select Payment Methods in Country

Click on New Entries and give below details:Click on Save and customizing request is created

Step 4:Select Payment methods in Company Code

Click on new entriesNow enter below detailsClick on save and we are done.

Step 5:Click on House Bank, or Tcode FI12 if House bank is assigned to company code than go to ‘Bank Determination’Enter Company Code ZJDC

Click on New entries

Click on Save 

is configured

Go to FI12 and maintain House Bank, Account ID, Bank Account Number and GL for Bank posting

Click on Save:

  and House Bank is configured for Company code.

Table: T012

Step 6:Configure Bank determination for Company Code

Create ranking order for Paying Co. Code ZJDCOn Saving    bank determination is done for ZJDC and for bank SCB.

Now Click on Bank Accounts

On Saving bank accounts has been configured.

Now Click on Available Amounts, press New Entries:

On Saving,  and Available Amount for outgoing payment has been defined.

Value Dates:


Step 7:Now need to assign payment method ‘C’ for Vendor.For this go to tcode ‘FK02’, assign payment method ‘C’Now Before APP run, we need to have a vendor open items, for that we need to create vendor invoice in transaction F-43.   Enter Posting key 40 and GL account 310123 to pass value to gl accountIn the next screen type * in Amount and + in Text field it will fetch previous value automatically.Click on Simulate, in Document Menu Bar (Shift+F9):

Next Screen is as below

Now to Post document, click on or go to Document and Select Post


Error is rectified by assigning number object 19 to ZJDC company code, Tcode FBN1


Now we can check vendor open items in tcode ‘FBL1N’

Step 8:Now we can go to Tcode ‘F110’, as APP Run and any 5digit alpha-numeric characters as identification.

In the Parameters Tab, We have to define the following

1. What is to be paid – Docs. Entered Up to

2. When will the payments be made – Posting Date

3. Which company codes will be considered – Company Codes

4. What payment methods will be used – Payment Methods

5. Next payment date6. Vendor Accounts for which payment has to run

Save the Parameters entered:

Now click on Proposal

We can check the proposal log  by clicking on button

We can Edit proposal by clicking

if want to change payment for Vendor

Now click on payment run on status screen , check on popup

Status is Payment Run has been cancelled

Number range 20 assigned in company code ZJDC, via  FBN1

For ZP document type NR: 20, to confirm go to tcode OBA7 or table T003


Now again doing and it is successful

We can see the payment detail in FB03

No open line items in FBL1N

Note: earning account 759999 is fetched from

Tcode: OBXU   

Case 2:Automatic payment program for vendor with Installment payment term:

For making Installment payment:

Step1:First define a payment term in OBB8 with below detail

Step2: Now go to tcode: OBB9

When  creating vendor Invoice F-43(FB60 for multiple line):Use payment term ZTIN for installment payment

For Next line item

Now Simulate, Shift+F9

Now post,

FBL1N open item entry

To give check print program, assign SAPScript name in FBZP ‘Payment methods in Company code’ as below:

For Payment advice give sapscript name in ‘Paying company codes’ under FBZP

Now go to t code F110 and Set parameters

We have to create check lot for paying company code in FCHI

Now proposal log in F110

After payment run

Go to FBZ5, enter printer for check printing and advice printing

Now Print,  Ctrl+P

Now we can go to SP02 and check log printingOne for payment advice and one for check as we have entered printer name in both in t code FBZ5

Note: We can restrict number of rows in check printing (FBZP , Payment method in Company Code)

If payee lines are less than installment payment line.As in below example we have Installment term ZTIN which have 3 payment term (OBB9)But Payment advice control restricted to 2 rows in Payment Method Company code ,FBZP

Note: Uncheck Individual Payment in Vendor Master data, if not than 3 separate payment document will be created per payment term and 3 separate checks will be printed.

In FBL1N, one payment document is created

In FBZ5, for Doc 2000000016 only 1 check is printed and detail for line item isin advice

Check is not having line item details for payment,

Payment advice has detail of payment as per payment term

If restricted to value is more than equal to installment term, in this case 5 > 3 installment terms

Check printing will have line item details and no need to give separate Payment advice :

Advice print, in this case not needed but still can be printed with line item details.

Case 3: Multiple Partial Payment from an invoice through APP(F110)

  1. Create Special GL account for Down payment request(FS00):

  2. Assign special GL account to Vendor reconciliation account(FBKP):

GL 399999 detail, recommended to have line item display checked

Click on

Use OBXT to facilitate payments for special GL Indicator “P”