You can use earmarkings to assign the budgets of budget structure elements to an organization, a section of the organizational structure, or to a position. If you have made the appropriate system settings, this means that you can only use the earmarked budget to finance the organization, organizational unit or position in question.

When you are financing persons or positions, you can use earmarkings to select the budgets that are allowed.

If you assign funds using the budget of a budget structure element that is earmarked for a different organizational unit or position, the system issues a message telling you that you are violating an earmarking.

In Customizing, you must have specified how the system should react if a position is staffed (step: Overall Budget ® Define System Reactions for Financing).

You must have defined an organizational structure.

You can earmark a budget structure element and its budget to an organizational unit or position.

This earmarking means that the system assigns the budget of this budget structure element to a specific organizational unit or position, and proposes this budget for the purposes of financing the organizational unit or position in question.