FI and CO Real-Time Integration Postings in S4 Hana

[sanjay_ram]

Hi,

I am using S4/Hana and i am struggling to understand the FI document postings below during KSV5 postings :-

* KSV5 is transferring the costs from cost center 1 to WBS 1. WBS 1 has been assigned to profit center 2. All of the cost objects belong to the same company code.

FI Document Posting :-

Credit Cost element 1 Profitcenter 1 Costcenter 1

Debit Cost element 1 WBS1 Profit Center 2

Credit Clearing BS account Profit Center 2 (This is the WBS profit center)

Debit Clearing BS account Profitcenter 1 (This is the cost center profit center)

Now my question is, i could not understand why the clearing BS account has been posted here? Why is this needed and where is this setup in the config? Where to read more about this>

[sanilbhandari]

Hi sanjay.ram

The logic is simple, the accounting entries have to be balanced at profit center level. When you execute the allocation, the FI Document generated would probably look like below in entry view:

GL Account 1. PC1 (PC of WBS Element). Dr

GL Account 2. PC2 (PC of Cost Center). Cr

If you now draw a trial balance based on the above accounting entry, the debits and Credits in PC1 and PC2 would not be equal and hence the trial balance would not be zero.

With new GL, a concept of zero balance clearing was introduced and the above entry in GL view would look as below:

GL Account 1. PC1 (PC of WBS Element). Dr

Zero Balance A/c PC 1 (PC of WBS Element). Cr

GL Account 2. PC2 (PC of Cost Center). Cr

Zero Balance A/c PC2 (PC of Cost Center ). Dr

With this, you would see that the trial balance in both PC1 and PC2 is balanced, the debits and credit total upto zero. This is a functionality accomplished by zero balance clearing which is part of document splitting.

Hope this helps.

Thanks & Regards

Sanil Bhandari

[drbharucha]

Hi sanjay.ram

Each WBS need BS reco account for booking. it is pre-requisit. please refer this linkhttps://answers.sap.com/questions/12729222/balance-sheet-account-can-be-posted-to-wbs-in-s4-h.html
https://answers.sap.com/questions/4526682/reconciliation-between-gl-fi-and-ps.html
- good luck

[former_member440233]

Hello!

Looks like the splitting is activated, to find out more you can try this link

https://blogs.sap.com/2016/01/05/example-document-splitting-vendor-invoice-splitting-by-profit-cente...

[sanjay_ram]

Hi Alex,

Thanks, in this case how can i even move the costs from profit center A to Profit center B when the document splitting is activated for CO postings?

When the document splitting is activated for CO postings, each time i move the costs from profit center A to B, it is going to zerorize it with the clearing postings?