Settling a Project

Objectives

After completing this lesson, you will be able to:

  • Review settlement rules
  • Settle projects

Settlement Rules

The trade fair was a great success for the company! Now that you have gathered every relevant posting and cost on your project, you want to go over the steps to credit the project to the cost center of the Sales Department. You want to understand the best way to analyze the transferred data after the settlement.

Generally, actual costs are collected on projects only temporarily, at most until they are completed. The projects are then settled to one or more receivers as part of period-end processing in order to have their costs allocated to these receivers.

Settlement Rule

To be able to settle the project, a settlement rule needs to be defined for the sender. This settlement rule determines where and how the costs are to be settled.

The settlement rule is defined in the project master data, using for example the Project Control – Enterprise Projects app.

Settlement Run

You can use the Run Settlement-Actual app to:

  • Run the settlement of a single project, a WBS element (with or without hierarchy)
  • Perform a test run without affecting actual data
  • Perform an update run affecting actual data
  • Run settlement in parallel ledgers, if needed
Note

You can only run settlement per ledger.

To run a settlement, the steps are:

  1. Open the Run settlement – Actual tile.
  2. Select the Cost Object Type Project.
  3. Select your project.
  4. Choose Test or Run depending on whether you want to affect the actual data or not.
Note

You can cancel a settlement, using the Reverse option.

The Display Settlement Documents app can be used to track the different settlement runs for a specific project. This app allows you to display documents containing transaction details that were created during the settlement and reversal process for a WBS element

Once the project is finished and completely settled, to be sure that no other cost will post on it, its status should be set to Closed.

Settle a project

Close project

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