Cloudy Revenue Inventory Knowledge Base

Payment Schedule

The Payment Schedule object is used to define and manage installment-based payment plans for Invoices and Bills in Cloudy Inventory. It allows organizations to split a payment into multiple scheduled installments, each with its own due date, percentage, installment amount, and payment status.

Payment Schedules provide better payment tracking by recording the amount paid, remaining balance, and associated Payment records for each installment. This enables businesses to support flexible payment terms while maintaining complete visibility of outstanding balances.

The Payment Schedule object integrates with Invoice, Bill, and Payment objects to streamline installment payment management.

Key Purpose of Payment Schedule

The Payment Schedule object helps organizations:

• Split invoice or bill amounts into multiple installments.
• Support customer installment payment plans.
• Define due dates for each installment.
• Track installment-wise paid and remaining amounts.
• Associate payments with individual installments.
• Manage processing fee schedules separately from regular payment schedules.
• Improve payment tracking and collection.
• Provide finance teams with visibility into upcoming and overdue installments.

Use Cases in Cloudy Inventory

💳 Installment-Based Customer Payments

• Allows customers to pay an Invoice or Bill in multiple installments instead of making a single full payment.
• Supports flexible payment plans based on agreed payment terms.

📅 Payment Split Management

• Divides the total Invoice or Bill amount into multiple Payment Schedule records.
• Each installment can have its own amount, percentage, and due date.

⏰ Due Date Tracking

• Assigns individual due dates to each installment.
• Helps finance teams monitor upcoming, due, and overdue payments.

🔗 Payment Association

• Links each installment to its corresponding Payment record.
• Maintains a clear relationship between scheduled payments and actual payments received.

💰 Remaining Balance Tracking

• Automatically calculates and displays the remaining amount for each installment.
• Enables users to track outstanding balances after partial payments.

💲 Processing Fee Scheduling

• Supports separate Payment Schedule records for payment gateway processing fees.
• Helps distinguish customer installment payments from gateway charges.

📊 Invoice Payment Progress

• Provides a complete view of payment progress by showing paid and pending installments.
• Enables users to quickly determine the outstanding balance on an Invoice or Bill.

📈 Financial Planning & Reporting

• Generates accurate reports for upcoming installments, overdue payments, and completed payment schedules.
• Improves cash flow forecasting and financial planning for the organization.

Example Business Scenario

• Test Customer Inc. purchases 10 Sedan Cars with a total Invoice amount of USD 1,000.
• The customer requests to pay the invoice in three installments instead of making a single payment.
• The finance team enables Split Payments and creates three Payment Schedule records:
  • Installment 1: 40% (USD 400) due on 15 July 2026
  • Installment 2: 30% (USD 300) due on 15 August 2026
  • Installment 3: 30% (USD 300) due on 15 September 2026
• As each payment is received, the corresponding Payment record is linked to the appropriate Payment Schedule.
• The Paid Amount and Remaining Amount fields are automatically updated for each installment.
• Once all installments are paid, the Invoice balance becomes USD 0, and the Invoice status changes to Paid.

Best Practices

• Configure payment schedules only for customers who require installment-based payments.
• Ensure the total percentage or installment amounts equal the total Invoice or Bill amount.
• Assign realistic due dates for each installment.
• Link each received payment to the correct Payment Schedule record.
• Monitor overdue installments regularly to improve collections.
• Use Processing Fee schedules only for payment gateway fee tracking.
• Review remaining balances before processing additional payments.
• Maintain sequential Split Numbers for easy installment tracking.
• Periodically reconcile Payment Schedules with related Invoice and Payment records.
• Use reports and dashboards to monitor upcoming, overdue, and completed installments.

Payment Schedule Configuration Steps:

Note:   Payment Schedule records can be created automatically using either of the following methods:

Legal Entity Setup : Navigate to Legal Entity → Setup → Payment Settings and enable Split Payments?.

Invoice: Navigate to Invoice → Payment Split Setting tab and enable Split Payments?