HOW-TO

How to set a price tolerance on purchase order matching in S/4HANA

Short answer

In S/4HANA, decide how far a supplier invoice line may differ from the purchase order before a person must look at it. Set that limit where S/4HANA allows one and name who can pass a difference.

Last checked

A price tolerance is the gap between the PO price and the invoice price that you accept without a query. What is purchase order?

Before you start

  • Configuration access (system administration)

The S/4HANA way

Where to find it: Customizing for Logistics Invoice Verification: tolerance limits

  1. Open the tolerance limits in Customizing for Logistics Invoice Verification.
  2. Choose the variance: price variance, quantity variance (invoice after or before goods receipt), order price quantity variance or schedule variance.
  3. Set up to four limits for each: lower and upper, each as an absolute value or a percentage.
  4. Set Do not check to stop a check. Set the upper limits to zero with Check limit to always block.

Limits in S/4HANA

  • Set by an administrator in configuration, not by AP users.
  • If an upper limit is exceeded the invoice posts but is blocked for payment. Exceeding other limits can give a warning.

Good to know in S/4HANA

  • A payment block of R is put on the supplier line of the accounting document.

Words S/4HANA uses

  • Goods receipt. The record that goods arrived against a PO.

Common mistakes

  • Expecting AP users to change tolerances, when an administrator sets them in configuration.
  • Setting the upper limits to zero with Check limit, which always blocks the invoice.

More help

Sources

Last checked 2026-10-19. Confidence: confirmed.

Common questions

Who sets purchase order tolerances in SAP?

An administrator, in Customizing for Logistics Invoice Verification: tolerance limits. AP users do not set them.

Which variances can I limit?

Price variance, quantity variance (invoice after or before goods receipt), order price quantity variance and schedule variance. Set up to four limits for each: lower and upper, as an absolute value or a percentage.

What happens when a limit is exceeded?

If an upper limit is exceeded the invoice posts but is blocked for payment, with payment block R on the supplier line. Exceeding other limits can give a warning.

Can I set a tolerance in Pulsify?

No. Pulsify matches to within 1 cent and shows any bigger difference as a flag. Your approver decides.

Pulsify setup guides

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