Retroactive Accounting in Several Company Codes with Summary Clearing 

Use

If an employee is retrospectively assigned to another company code, retroactive accounting is triggered. Posting of this retroactive accounting run happens in the following way:

Reversal in the old company code and the posting in the new company code also affect the accounts for the outgoing accounts. As the payment can no longer be cancelled, the balances of the outgoing accounts are subsequently no longer balanced.

The graphic shows an example for the case of an employee who has retrospectively changed company code. To simplify matters, the assumption is made that the company code has changed retrospectively for the whole period 01.

Originally, an amount of 5,000 was posted from the Remuneration account to the Outgoing payment account in period 01 in company code 0001. After making the payment, the Payment account was cleared to the amount of 5,000 by the manual posting Payment to company code clearing account.

The backdated change of company code for the employee from company code 0001 to company code 0003 causes the Remuneration to outgoing posting to the amount of 5,000 to be reversed in company code 0001 and posted in company code 0003. As the payment to the employee has, however, already been made and was made by company code 0001, a receivable of 5,000 from company code 0001 incurs against company code 0003.

After making the payment in period 02, the outgoing accounts in both company codes are not cleared.

If you code the symbolic account to which the wage type /559 Bank transfer is assigned with the account assignment type FO Balance sheet account in original period only (in Customizing for Payroll under Reporting for Posting Payroll Results to Accounting -> Employee Grouping and Symbolic Accounts -> Define symbolic accounts), the balances do not arise in the outgoing accounts but in the document split accounts.

Activities

The balances of the outgoing accounts correspond to the receivables and payables between the company codes.

You must manually clear the receivables and payables between the company codes. When doing so, you also clear the balances of the outgoing accounts.