Question Re: Previous year budget should consumed for PO created in PY but release in CY in Fund management in Financial Management Q&A

Previous year budget should consumed for PO created in PY but release in CY in Fund management

Former Member — Fri, 21 Sep 2018 08:46:59 GMT

Hi,

We have a scenario, where system should consume commitment budget for previous year, for the PO's created in previous year but release in current year.

For example:-

PO created in 2017 but released in 2018, so in this case FM budget should consume from the available budget of 2017.

Please suggest any standard or exit for the same.

Thanks

Re: Previous year budget should consumed for PO created in PY but release in CY in Fund management

iklovski — Fri, 21 Sep 2018 12:49:59 GMT

Hi,

Release date is when your PO is actually posted. FM posting date, based on your update profile, is then equally derived from this date. Hence, the consumption will happen in 2018... Be aware that from functional perspective this is perfectly correct and even if you manage to consume the budget of 2017, you would have to make a carry-forward of your commitment, thus bringing it eventually to 2018.

Therefore, I'd say that this scenario is not aligned functionally with the way the commitments are managed in FM. If you want to anticipate the consumption of your budget before PO is released, you can work with earmarked funds.

Regards,

Eli