Entering Royalty Check Information Manually
Use
Use this to manually enter new check transactions.
This is a standard report that can be used to display a list of checks that have been paid (issued) to an owner. You can create a manual check to reflect new checks issued to an owner after the Void / Manual check process has run, and a check has been voided.
The information entered here is processed by the manual/ void check transaction job, which will then generate the appropriate accounting entries for each manual check.
Procedure
At the SAP Easy Access menu, choose Logistics → Production and Revenue Accounting → Revenue Accounting → Revenue Distribution → Owner Checks → Manual Royalty Check.
The
Manual Royalty Check: Initial Screen
is displayed.On the Manual Royalty Check: Initial Screen, select Create.
The
Manual Royalty Check – Create
screen is displayed.
An explanation of the fields on that screen is as follows:
Field |
Description |
|---|---|
|
The company responsible for processing the check |
|
Set this flag if you want the current manual check entry to be ready for processing in the manual/void check transaction job. This flag allows you to enter an incomplete set of data without completing the check validation process, because the validation process will only be carried out if approval is checked. The entry is validated by summing the net value amounts that currently exist for the check, and adding that total to the displayed owner net value for the current entry; and if the total owner net value for the entire check equals the entered check amount, the current entry will be accepted and marked as approved for processing. |
|
The payee of the check (the party paid). The owner ID that you enter here must be a valid business associate in E&P |
|
The bank number from which the check was issued |
|
The bank account from which the check was issued |
|
The specific check issued to pay an owner |
|
The date on which the check is issued to an owner |
|
The value (amount) of the check |
|
The property whose product generates the disbursement amount |
|
The production date of the royalties payable information for the relevant manual check |
|
The product |
|
Represents the order in which comments have been added for the current company, owner, property/ DOI, sales month, product, and legend combination. ‘01‘ indicates the first set of comments that has been added for the current manual entry information |
|
A payment/deduction type or special payment reason. The default value is blank, which represents the majority of the records, but some of the valid reasons can be: “lawsuit settlement“, “contract buyout/buy down“, and “extraction tax“ |
|
Identifies the account number that the manual/void check transaction job will use in place of the regular account number when it is booking royalties payable entries for the current manual check. Note: This field cannot be used if there are values entered for any of the other deduction type entries |
|
The total volume that has been produced and sold for the well. This value must be an integer if the product is either gas or NGLs (natural gas liquids) |
|
The volume of natural gas liquid that is lost when processing gas through a plant is called the plant volume reduction, or PVR |
|
Shows the total value of the sale of the product before any taxes and/or deductions. All applicable tax and marketing reimbursements must be included in this value |
|
Indicates the deduction from the lease gross value that the owner can take for transportation costs |
|
The amount that the owner can deduct from the lease gross value for all other marketing costs associated with the selected product |
|
The amount of tax that will be withheld from the lease gross value for the current product |
|
The percentage of interest the owner holds for a specific contract. The values range from -1.00000000 to 1.00000000 |
|
The percentage of interest the owner holds in the current property/ DOI. The valid values range from –1.00000000 to 1.00000000 |
|
The owner’s share of the sale of the product at an individual owner level, before taxes and deductions. All applicable owner-level tax and marketing reimbursements must be included in this value |
|
The owner’s share of the total lease-level transportation deduction |
|
The owner’s share of the total lease-level marketing cost deduction for the selected product |
|
The owner’s share of the total lease-level tax that will be withheld on the product |
To enter additional deductions, select
Other Deductions
. A dialog box is displayed, from which you can select from a number of deduction types (such as “excess royalty reimbursement“, “legal expense“, “crude oil excise tax“, as well as various state taxes, such as Colorado state tax, and Utah state tax).
Enter your check data.
Save your data by choosing
Save
.