What is floating backbilling in SAP IS-U-BI - Contract Billing?

SAP Term: floating backbilling

• Component: IS-U-BI

• Component Name: Contract Billing

• Description: Type of billing that can be used for billings that occur within the year. All billings executed within the billing year are settled automatically, on the basis of an anticipated billing result.

Smart SAP Assistant

• Key Concepts: 
  Floating backbilling is a feature of the IS-U-BI Contract Billing component of SAP. It allows for the billing of a contract to be delayed until the end of the contract period, rather than billing at regular intervals. This allows for more accurate billing, as the customer will only be billed for the exact amount of usage during the contract period. 
  
  How to use it: 
  To use floating backbilling, you must first set up a contract in the IS-U-BI Contract Billing component. Once the contract is set up, you can select the “floating backbilling” option when creating the billing document. This will delay the billing until the end of the contract period. 
  
  Tips & Tricks: 
  When using floating backbilling, it is important to ensure that all usage data is accurately recorded throughout the contract period. This will ensure that customers are only billed for their exact usage during the contract period. 
  
  Related Information: 
  For more information on floating backbilling and other features of IS-U-BI Contract Billing, please refer to SAP’s official documentation.