Parallel Accounting

Purpose

You can portray parallel accounting in your SAP system. This enables you to perform valuations and closing operations for a company code according to the accounting principles of the group as well as other accounting principles, such as local accounting principles.

Example Example

Parallel accounting is necessary for a German subsidiary of an American group. The German subsidiary has to create financial statements according to the accounting principles of the group (US GAAP) as well as according to German commercial law (HGB).

End of the example.

Note Note

To simplify matters, this documentation assumes two parallel accounting principles.

End of the note.

Implementation Considerations

For parallel accounting in the SAP system, we recommend Portrayal Using Parallel Ledgers

However, if your accounting principles differ from each other in only a few points, you could use Portrayal Using Additional Accounts as an alternative.

Keep in mind that the prerequisite for using the above approaches is that Customizing for the application components you use is consistent. For information about the settings for parallel accounting for the individual components, see the links in the list under “Integration”.

If you already use new General Ledger Accounting in the production system and want to subsequently perform the switch from an existing account approach to the ledger approach in new General Ledger Accounting, you have to use the General Ledger Migration Cockpit with scenario 8. For more information, see Subsequent Implementation of Ledgers (Scenarios 7 and 8) and Subsequent Switch from Account to Ledger Approach (Scenario 8).

Integration

Parallel accounting is supported by the following application components: