Manual Bank Subaccount Clearing 1:N – Profit Center Assignment within NEW GL

[Former Member]

Hello guys,

What is the common practice to do Manual Bank Subaccount Clearing for Vendors outgoing payments? My main concern is Profit Center Assignment within New GL.

The business process is:

1. Payment Program (F110) creates multiple JEs to Bank Subaccount with different Profit Centers inherited from Vendor’s Invoices

JE #1 (GL View)

Debit:   Vendor_1               Profit_Center_1    $400

Credit:  Bank Clearing GL   Profit_Center_1     $400

JE #2 (GL View)

Debit:   Vendor_2               Profit_Center_2     $600

Credit:  Bank Clearing GL   Profit_Center_2      $600

1. When the payment is showing on Bank Statement in a lump amount, a posting with clearing should be done to make an entry on the Main Bank Account and to clear Bank Subaccount (F-04).

Credit: Main Bank GL   Profit_Center_?????  $1,000

Debit:  Bank Clearing GL   Profit_Center_1      $ 400 (PC assigned automatically by the system within the clearing)

Debit:  Bank Clearing GL   Profit_Center_2      $ 600  (PC assigned automatically by the system within the clearing)

If Profit Center is not filled manually in Main Bank GL account line -> the system issues “Balancing field “Profit Center” in line item 001 not field”

Please share your experience whether a user makes multiple entries to Main Bank GL as a number of Profit Centers in ACH Clearing GL, or a Dummy Profit Center is used….

Thank you in advance 

[sanilbhandari · Accepted solution]

Hi

In most of my projects, a common profit center is defaulted to the Bank Account through FAGL3KEH in a new gl environment. This is because the payment function had been centralized and so it was booked to the corporate profit center which was also a common profit center.

However, it would again depend on your business requirements as to how they would like to see the profit center reporting. You may look at a substitution through an exit to default the profit center for the main bank gl.

Regards

Sanil

[Former Member · Accepted solution]

Thank you Sanil for sharing your experience.

[Former Member]

Hi guys,

any additional practices in handling Profit Center Assignment to Main Bank GL Account withing the Clearing?

Thank you

[raju_srsl]

Hi,

Our practice is to assign default profit center for all bank accounts to their locations. This will take care of Bank Reco (transfer of sub ledgers also).

SPRO-FA new----GL accounting new---master data---Profit Center---Assign Default Profit Center to Accounts. Here you maintain list of all bank accounts with there respective profit Centre.

Regards,