What is remuneration clearing agreement in SAP ICM - Incentive and Commission Management (ICM)?

SAP Term: remuneration clearing agreement

• Component: ICM

• Component Name: Incentive and Commission Management (ICM)

• Description: Incentive and Commission Management One or more remuneration clearing rules that form a clearing procedure. This procedure is determined by the sequence of numbered remuneration clearing rules. The clearing rules are processed accordingly when commission is being determined. In contrast to other agreement categories in the commission system, a global or standard remuneration clearing agreement can be used in a commission case.

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• Key Concepts: 
  A remuneration clearing agreement is a contract between a company and its sales representatives that outlines the terms of payment for sales commissions. It is used in SAP ICM Incentive and Commission Management (ICM) to ensure that sales representatives are paid accurately and on time. The agreement defines the commission rate, payment terms, and other details related to the payment of commissions. 
  
  How to use it: 
  In SAP ICM, a remuneration clearing agreement is created in the system by entering the details of the agreement, such as the commission rate, payment terms, and other details. Once the agreement is created, it can be used to calculate commissions for sales representatives based on their performance. The system will then generate invoices for each sales representative based on their commission rate and payment terms. 
  
  Tips & Tricks: 
  When creating a remuneration clearing agreement in SAP ICM, it is important to ensure that all details are accurate and up-to-date. This will help ensure that sales representatives are paid accurately and on time. Additionally, it is important to review the agreement periodically to ensure that it is still valid and up-to-date. 
  
  Related Information: 
  SAP ICM provides additional features related to remuneration clearing agreements, such as the ability to track payments and generate reports. Additionally, SAP ICM provides tools for managing incentive programs and tracking performance metrics.