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Vendor retention in D365 Project Accounting

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Posted on by marypeace

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Hi,

Just want to ask vendor retention functionality in D365.

My setup is as follows:

Percentage of units delivered = 100

Percentage to retain = 10

Percentage to release = 0

Create purchase order for a quantity of 100

Receive the item partially for 200 quantity

Invoice the item for 50 quantity only..

Upon invoicing of 50 quantity only, the system compute for 10% retention.

I'm expecting that the system will not compute for the retention because I only invoice 50 which is not 100% delivered.

I'm using D365 for Finance & Operation.

Pls advise.

Thanks.

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Ludwig Reinhard Microsoft Employee on at

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Hello marypeace,

The retention setup will apply until all is delivered in your case because you setup the percentage to 100%.

Can you explain in more details when you expect the retention to apply? There might be a mismatch of your expectation and what the standard D365FO functionality can do for you.

Many thanks and best regards,

Ludwig

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marypeace 524 on at

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Hi Ludwig,

Thanks for your prompt reply.

I'm expecting that the system will compute the retention on my last invoice when all the items are delivered in full (100%)

But what happened is, the system already compute for the retention even I invoiced the PO partially.

Thanks.

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marypeace 524 on at

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HI Ludwig,

It seems that vendor retention is not working correctly because I setup another vendor retention terms as follows:

2 layers in vendor retention setup

Percentage of units delivered = 20

Percentage to retain = 0

Percentage to release = 0

Percentage of units delivered = 80

Percentage to retain = 10

Percentage to release = 0

I created a PO, receive 20% of the quantity and invoice. There is no computed retention which is correct.

Receive remaining 80% of the quantity and invoice. But upon invoicing, the system did not compute for the retention.

Pls advise.

Thanks.

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Ludwig Reinhard Microsoft Employee on at

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Hello marypeace,

Can you share screenprints how you setup the retention?

Would like to double check that behavior.

Many thanks,

Ludwig

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Sheela Ningappa Microsoft Employee on at

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Hi,

Please find the below link:

docs.microsoft.com/.../about-vendor-payment-retention-for-projects

Thanks,

Sheela

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marypeace 524 on at

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Hi Sheela,

Thanks for sharing the document.

I already read that and follow the instructions but the behavior of the system is different.

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marypeace 524 on at

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Hi Ludwig,

Pls find below setup.

Thanks.

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Ludwig Reinhard Microsoft Employee on at

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Hello marypeace,

Can you add a third line where you say 100% delivered and where you enter 10% in the last column for release?

Best regards,

Ludwig

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marypeace 524 on at

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Thanks Ludwig.

I will try that.

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marypeace 524 on at

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Hi Ludwig,

Do you mean I will add another 3rd line with 100% delivered in my existing setup above?

Because I tried to enter 3rd line and the system is not allowing me to enter 3rd line because it is already 100% delivered.

Pls advise.

Thanks.

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