What is SAP reconciliation account?

Reconciliation accounts are G/L accounts to which postings are made automatically whenever a business transaction is entered on a subledger account (such as accounts receivable, accounts payable, or fixed assets).

How do I create a reconciliation account in SAP MM?

How to Create Reconciliation Account in SAP

1. First, you should go to the menu path on the SAP.
2. After you enter the window box, you should create your G/L account.
3. You also need to choose the account group inside the new window box.
4. Then, you need to choose the account currency that is applicable to your business needs.

What is reconciliation account in vendor master?

Reconciliation account in SAP is a general ledger account assigned to the business partner master record to record all transactions in the sub ledger. It ensures that the total of all General Ledger account balances is always zero. This is a prerequisite for creating a balance sheet at any time.

How do you maintain reconciliation accounts in SAP?

Posting a Vendor Invoice In order to maintain a clean reconciliation with the sub ledger, SAP reconciliation account can only be updated by the system through the sub ledger. Direct posting to SAP reconciliation account is prohibited by the system.

Where to find reconciliation account type in SAP?

When you define Special GL indicators for Down Payments, you need to enter reconciliation Account for Vendors i.e., Reconciliation Accounts with Recon Account Type ‘K’. You can get list of all such GL Accounts in the Table SKB1. You can access the table using Transaction SE16. You already have an active moderator alert for this content.

How is reconciliation account reported on financial statements?

Instead, every asset, customer or vendor account is linked to a certain SAP reconciliation account, also known as a control account. Each SAP reconciliation account is used to reconcile the sub ledgers with the general ledger. SAP reconciliation accounts are reported on the financial statements, while the individual sub ledger accounts are not.

How is mm-FI account determination used in SAP?

This blog is an attempt to clarify the fundamentals of MM-FI account determination. Configuration transaction OBYC forms the core of SAP’s integration between the MM, FI, and Controlling (CO) modules in a traditional SAP ERP system Transaction keys (1) are used to determine general ledger accounts used by the system.

How to recon an A / C code in SAP?

Goto the above Tcode and Select the Dynamic Selection icon on left top and select double click reconciliation accont for a/c type and u will see recon a/c on right side, enter a/c type in that enter co code and execute. You will get the GL a/cs which was assigned to particular a/c type.