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Administrator Guide
Last Updated: 2023-06-23
Setup Considerations: Cumulative Catch-Up Revenue Installments

Setup Considerations: Cumulative Catch-Up Revenue Installments

You can use this topic to help make decisions when planning your configuration and use of cumulative catch-up revenue installments. It explains:
  • Why to set them up.
  • How they fit into the rest of Workday.
  • Downstream impacts and cross-product interactions.
  • Security requirements and business process configurations.
  • Questions and limitations to consider before implementation.
Refer to detailed task instructions for full configuration details.

What They Are

Cumulative catch-up revenue installments enable you to generate new revenue recognition installment amounts when you modify customer contracts.

Business Benefits

Cumulative catch-up revenue installments reduce manual processing by providing an option to automatically generate revenue recognition installment amounts when you modify customer contracts.

Use Cases

You can generate cumulative catch-up revenue installments when your company modifies the customer contract:
  • Start and end dates.
  • Term and amounts.

Questions to Consider

Questions
Considerations
When you amend customer contracts, do you change the existing contract line amount?
When you change an existing contract line amount and enable automatic regeneration of installments on the revenue recognition schedule, Workday:
  • Creates a cumulative catch-up installment for the completed installment.
  • Adjusts future installment amounts.
When you amend customer contracts, do you add a new line to update line amounts?
When you add a new line on the contract, you can either:
  • Amend the existing revenue recognition schedule to generate cumulative catch-up revenue installments.
  • Create a new revenue recognition schedule to generate cumulative catch-up revenue installments.

Recommendations

To reduce manual effort, you can enable cumulative catch-up revenue installments on revenue recognition schedule templates. Workday then automatically enables the option when you create a revenue recognition schedule for customer contracts using a template.
On the revenue recognition schedule, you can enable Workday to automatically regenerate installments. When you enable this option and generate cumulative catch-up installments, Workday automatically creates new installments when you modify the customer contract.

Requirements

To enable cumulative catch-up revenue installments on a revenue recognition schedule or template, you must use a:
  • Revenue recognition method of defined installment, number of days, or spread even.
  • Schedule type enabled for revenue recognition.

Limitations

You can't:
  • Disable cumulative catch-up revenue installments when you have completed installments.
  • Generate cumulative catch-up revenue installments for alternate customer contracts, standalone invoices with revenue recognition schedules, or customer contracts with a variable amount line type.

Tenant Setup

No Impact.

Security

Domains
Considerations
Process: Customer Invoice - View
in the Customer Accounts functional area.
Find cumulative catch-up revenue installments on revenue recognition schedules for customer contracts.
View cumulative catch-up revenue installments on revenue recognition schedule templates.
Process: Revenue Schedule - Core
in the Customer Contracts and Project Billing functional areas.
Create cumulative catch-up revenue installments on revenue recognition schedules for customer contracts.
Set Up: Customer Accounts
in the Customer Accounts functional area.
Set Up: Customer Contracts - Templates and Types
in the Customer Contracts and Project Billing functional areas.
Create, edit, and view cumulative catch-up revenue installments on revenue recognition schedule templates.

Business Processes

Business Processes
Considerations
Customer Contract Event
Review and approve customer contract dates, terms, and amounts before generating cumulative catch-up revenue installments.
Revenue Recognition Schedule Event
Review and approve revenue recognition schedules that generate cumulative catch-up revenue installments for customer contract modifications.

Reporting

Reports
Considerations
Find Revenue Recognition Schedules
Find revenue recognition schedules by company, customer, schedule type, and schedule date.
Revenue Recognition Schedule Templates
View Revenue Recognition Schedule Template
View revenue recognition schedule templates that generate cumulative catch-up revenue installments.

Integrations

You can use these web services to retrieve, update, and submit cumulative catch-up revenue installments on revenue recognition schedules and templates:
  • Get Revenue Recognition Schedule Templates
  • Get Revenue Recognition Schedules
  • Put Revenue Recognition Schedule Template
  • Submit Revenue Recognition Schedule

Connections and Touchpoints

Workday offers a Touchpoints Kit with resources to help you understand configuration relationships in your tenant. Learn more about the Workday Touchpoints Kit on Workday Community.