Payment Due Date

The payment due date is calculated by the vendor's terms from the invoice date, not the invoice received date or the goods/services received date. Default payment terms for vendors, in the absence of a contract or other agreement, are net 30 days. The payment system will always show this as net 27 to allow for mailing time. The payment due date will be 27 days from the invoice date and the check will be scheduled to release on that date.

Texas A&M University schedules payments in order to earn as much interest as possible on those funds, so it is very important to allow the payment system to calculate the due date based upon the vendor's payment terms. Scheduling payments will possibly drive vendors to provide discounts to pay before the 30 day term. For example, some vendors will offer a 2% discount if paid within 10 days of the invoice date.