Asset accounting in SAP S/4HANA- An overview
Asset Accounting in SAP S/4HANA is a module used to manage and record fixed assets within an organisation. It allows companies to track their capital expenditures and manage their assets, including acquisition, depreciation, and disposal.
The primary purpose of Asset Accounting in SAP S/4HANA is to provide a systematic and efficient method of tracking the financial information of an organisation’s assets and provide insights into the use and performance of assets.
Some key features of Asset Accounting in SAP S/4HANA include asset master data management, asset acquisition and retirement, asset accounting before sap s4 Hana, asset valuation, SAP finance consulting and asset reporting.
Here is the importance of reconciling the Asset Accounting sub-ledger and SAP finance consulting with General Ledger before the S/4 Hana conversion.
Here is the importance of reconciling the Asset Accounting sub-ledger and SAP finance consulting with General Ledger before the S/4 Hana conversion.
Hi Everyone, This article continues our earlier article on the S/4 conversion checklist by an SAP finance consulting company in the UK.
I want to cover reconciling the Asset Accounting and SAP finance consulting sub-ledger with General Ledger before conversion.
- The system will not stop you from converting to S/4 Hana if you have a value mismatch between FI-AA and FI-GL.
- As part of the Pre-Conversion, ABST (RAABST01) and ABST2 (RAABST02) are recommended Pre-conversion consistency check reports that the Finance consultant should perform before conversion. This report should be executed and analysed if there is any mismatch between FI-AA and FI-GL. Then that should be reconciled in your source ECC system.
- ABST and ABST2 are obsolete in S/4. And you do not have the option to reconcile in S/4. Suppose you migrate with a difference. Then Customers have to live with the difference going forward. It can never be negotiated at any point later in S/4.
- Let us take a simple example to explain how this balance is migrated to S/4.
FI-AA value = 1000 $ and the FI-GL Recon balance = 970$; We could see a delta of 30. When you execute ABST and ABST2, we can narrow down which particular G/L account has these discrepancies. This report will also fetch the difference between the parallel ledger and parallel currencies.
Now the Billion Dollar question comes into mind. What balance will S/4 take into consideration during S/4 migration? Will it take 1000$ and update the same 1000$ in G/L, or since your financials are already audited and reported with 970$? Hence S/4 will migrate 970$ in both Asset and G/L. ( Remember Single Source of Truth )
To Answer this question, I would like to explain the below case.
