What is threshold value reserve in SAP ICM - Incentive and Commission Management (ICM)?

SAP Term: threshold value reserve

• Component: ICM

• Component Name: Incentive and Commission Management (ICM)

• Description: Incentive and Commission Management Indicates the lower limit for the total of all settlement items of a specific period, starting from which a reserve is formed.

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• Key Concepts: 
  Threshold Value Reserve (TVR) is a feature of SAP ICM Incentive and Commission Management (ICM) that allows users to set a minimum amount of commission that must be earned before it can be paid out. This ensures that the commission is not paid out too early, and that the commission is only paid out when it reaches a certain level. 
  
  How to use it: 
  To use the Threshold Value Reserve (TVR) feature, users must first set up a threshold value in the ICM system. This value can be set for each commission plan, and will determine the minimum amount of commission that must be earned before it can be paid out. Once the threshold value has been set, any commissions earned below this value will be held in reserve until the total amount of commission earned reaches or exceeds the threshold value. 
  
  Tips & Tricks: 
  When setting up a Threshold Value Reserve (TVR), it is important to consider the size of the commission plan and the expected volume of commissions that will be earned. Setting a threshold value that is too low may result in commissions being paid out too early, while setting a threshold value that is too high may result in commissions not being paid out at all. 
  
  Related Information: 
  For more information on Threshold Value Reserve (TVR) and other features of SAP ICM Incentive and Commission Management (ICM), please refer to the official SAP documentation.