Budget exceed error

[Former Member]

Hi,

We are using funds management (BCS). When we are posting invoices system is throwing error message

Annual budget exceeded by 1,071.684 BHD (FM PB Availability Control) for document item 00002.

We have created Earmarked fund and linked it to the PR and PO. When we execute FMB_PT01 report, it shows open items for whom we have already committed budget based on the PO value.

We are trying to post Invoice for 3500 BHD. we have already linked same amount to the PO.

I am not sure why system is throwing error message budget exceed.

For your reference I am attaching the screen shot of the budget report.

PO is part of the open items.budget-error.jpg

Your quick reply will be much appreciated.

.

[iklovski]

You don't pose the question correctly. You are not supposed to change update profile, because you have an error. You have to ask yourself whether you need both ledgers or only one. Is it a living system or some sandbox?

Actually, you don't have any issue, as the system reacts correctly.

[iklovski]

It depends which update profile you are using. If you use CB and PB ledgers, then CB will be consumed with earmarked fund, but the invoice will impact not only CB, by consuming earmarked fund, but also a PB. Your error message speaks of PB, as well.

[Former Member]

We are using both CB and PB ledgers. We are using update profile 102.

What update profile we have to follow to overcome the issue.

It would be great help if you can guide us to fix the issue.

Thanks in advance.

[iklovski]

Hi,

Whenever you encounter an error message like this, the things to do:

a) Check if the address mentioned in the error message corresponds to the document in question

b) Check if you might need to reinitialize your AVC ledger (FMAVCREINIT transaction)

c) Check the status of your available budget, for example via FMAVCR01 report or directly in the tables

d) If you have a more complicated AVC structure, e.g. controlling object derivation strategy, etc., analyse this data as well

e) Check the update profile and its deviations define in your settings

Regards,

Eli

P.S. As general remark, try and search before posting; all the preliminary actions described above were communicated to the members of this forum (tag) on many occasions.

[Former Member]

Dear Eli,

Thanks for your quick response.

I have checked all the above before posting my issue.

My question is when we reserve funds for a particular PR or PO system should consume budget from the earmarked funds.

As per FMAVCR01 system is showing all the open items also as consumed though Invoices are not posted.

I am bit confused on the funds management functionality.

My client business process of procurement to pay is as follows.

1. Purchase team Creates PR.

2. Finance controller will create earmarked fund based on the PR value and link it to the PR.

3. Purchases team will process PO.

4. Stores team will post MIGO

5. Invoice is posted.

My question is when we create Earmark fund and link it to the PR. When we try to process Invoice, does system check for the open amount from the linked fund reservation (Earmark Fund) or the over all available budget.

When we create fund reservation system will consider that amount as consumed though invoice is not posted.

Please provide your comments.

Regards,