What is payment distribution item in SAP FS-AM - Account Management?

SAP Term: payment distribution item

• Component: FS-AM

• Component Name: Account Management

• Description: A special item generated by payment distribution when a payment item of any payment type is posted to a clearing account and the following prerequisites are met: On the clearing account on the Posting Data tab page, the Inform Payment Distribution indicator is set. The value for the transaction type of the payment item in the Payment Distribution field is set either as Transfer Payment Item or - for return debits - Search for and Transfer Original Payment Item. Payment distribution items are processed exclusively with report Process Payment Distribution Items. The status of the payment distribution item reflects the current status of payment distribution.

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• Key Concepts: 
  Payment Distribution Item is a component of the FS-AM Account Management module in SAP. It is used to define the distribution of payments among different accounts. It allows users to specify the amount of payment to be allocated to each account, as well as the order in which payments should be made. 
  
  How to use it: 
  To use Payment Distribution Item, users must first create a payment distribution item in the system. This can be done by entering the relevant details such as the payment amount, the accounts to which payments should be allocated, and the order in which payments should be made. Once this is done, users can then assign this payment distribution item to a payment document. This will ensure that payments are distributed according to the specified criteria. 
  
  Tips & Tricks: 
  When creating a payment distribution item, it is important to ensure that all relevant details are entered correctly. This will ensure that payments are distributed accurately and efficiently. Additionally, users should also ensure that they assign the correct payment distribution item to each payment document. 
  
  Related Information: 
  For more information on Payment Distribution Item, please refer to SAP's official documentation on FS-AM Account Management. Additionally, there are also several online tutorials available which provide step-by-step instructions on how to use this feature in SAP.