Scribd
Upload
80 views9 pages

Sap S - 4hana Year End Activities

The document outlines the Year-End Closing process in SAP S/4HANA, detailing activities across various modules including Financial Accounting, Asset Accounting, Controlling, and others. Key tasks include closing financial periods, reconciling accounts, running payroll, and generating tax reports to ensure compliance and accuracy. Following these module-specific activities helps organizations achieve a smooth and efficient year-end closing process.

Uploaded by

venkat krishna
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
80 views9 pages

Sap S - 4hana Year End Activities

The document outlines the Year-End Closing process in SAP S/4HANA, detailing activities across various modules including Financial Accounting, Asset Accounting, Controlling, and others. Key tasks include closing financial periods, reconciling accounts, running payroll, and generating tax reports to ensure compliance and accuracy. Following these module-specific activities helps organizations achieve a smooth and efficient year-end closing process.

Uploaded by

venkat krishna
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 9

In SAP S/4HANA, the Year-End Closing process involves various

modules that each play a role in ensuring that financial,


accounting, and operational data are closed out properly for the
fiscal year. Below are the module-wise year-end closing
activities:

1. Financial Accounting (FI)


Activities:

●​ Close Financial Periods:


○​ Lock periods using transaction code OB52.
○​ Ensure no further postings can be made for the closed
periods.
●​ Reconcile General Ledger (GL) Accounts:
○​ Perform reconciliations for balance sheet and income
statement accounts.
●​ Post Accruals & Adjustments:
○​ Post necessary accruals and adjustments to close the
year.
●​ Close Fiscal Year:
○​ Execute program F.19 to close the financial year and
carry forward balances to the new year.
●​ Balance Carryforward:
○​ Ensure the balance of open items is carried forward to
the new fiscal year.
●​ Financial Statement Preparation:
○​ Generate financial statements such as the Balance
Sheet, Profit and Loss Statement, and Cash Flow
Statements.
●​ Year-End Reporting:
○​ Ensure that all tax, legal, and statutory reports are run
and compliant with local regulations (e.g., VAT returns,
financial statement reports).

2. Asset Accounting (AA)


Activities:

●​ Asset Depreciation Run:


○​ Run depreciation for all assets using transaction AFAB.
●​ Post Asset Transactions:
○​ Ensure all asset acquisitions, retirements, and transfers
are posted.
●​ Year-End Closing:
○​ Execute the year-end closing for Asset Accounting
using transaction AJAB.
●​ Asset Reconciliation:
○​ Reconcile asset balances with the general ledger.
●​ Depreciation Simulation:
○​ Simulate depreciation for the upcoming fiscal year to
ensure accurate postings.

3. Controlling (CO)
Activities:
●​ Cost Center Accounting (CCA):
○​ Ensure that all cost centers are correctly allocated and
post any necessary period-end adjustments.
●​ Internal Order Closure:
○​ Settle internal orders and close them for the year.
●​ Profit Center Accounting (PCA):
○​ Ensure that profit centers are properly closed, and
transfer balances to the appropriate accounts.
●​ Run Period-End Allocations:
○​ Perform allocation cycles (e.g., distribution,
assessment, and reposting) for cost centers, internal
orders, and other cost objects.
●​ Variance Analysis:
○​ Review and analyze variances in costs and revenues
for the period.

4. Materials Management (MM)


Activities:

●​ Inventory Close:
○​ Complete goods receipts and goods issues for
inventory.
○​ Perform an inventory valuation run.
●​ Stock Reconciliation:
○​ Ensure stock and financial inventory balances match
and make any necessary adjustments.
●​ Post Material Movements:
○​ Make sure all material movements, including goods
receipts, goods issues, and stock transfers, are posted
before closing.
●​ Run Material Ledger:
○​ Execute the closing of the Material Ledger for the year,
if using actual costing.

5. Sales and Distribution (SD)


Activities:

●​ Revenue Recognition:
○​ Ensure all billing documents are posted and revenue is
properly recognized in the correct period.
●​ Close Sales Periods:
○​ Ensure that sales periods are properly closed to avoid
further postings.
●​ Run Sales Reports:
○​ Generate year-end sales reports for revenue analysis
and tax compliance.
●​ Clear Open Items:
○​ Clear open items for customer accounts, including
outstanding receivables and payments.

6. Production Planning (PP)


Activities:

●​ Inventory Valuation:
○​ Ensure that finished goods and work-in-progress
inventories are accurately valued.
●​ Close Production Orders:
○​ Complete any open production orders and settle them
to the appropriate cost objects.
●​ Work Center and Routing Updates:
○​ Review work centers and routing data for accuracy and
update them for the new fiscal year.

7. Bank Accounting (FI-BL)


Activities:

●​ Bank Statement Reconciliation:


○​ Reconcile all bank statements and ensure all entries
are posted.
●​ Clear Open Items in Bank Accounts:
○​ Clear any open items in the bank accounts to ensure
accurate bank balance reporting.

8. Tax Management (FI-TAX)


Activities:

●​ Tax Returns:
○​ Generate and review tax reports, including VAT, GST, or
other applicable tax reporting.
●​ Year-End Tax Adjustments:
○​ Post any required year-end tax adjustments or
provisions.
●​ Tax Reconciliation:
○​ Reconcile tax accounts with financial statements and
ensure proper posting for the closing year.

9. Human Resources (HR) / Payroll (PY)


Activities:

●​ Year-End Payroll Run:


○​ Process the final payroll run for the year, including
bonuses, leave balances, and tax withholdings.
●​ Tax Reporting for Employees:
○​ Generate employee tax reports (e.g., W-2 forms, P60
forms) and ensure compliance with local tax
regulations.
●​ Accruals and Adjustments:
○​ Post any accruals or adjustments to the payroll or
employee-related liabilities for the year.

10. Project System (PS)


Activities:

●​ Project Settlement:
○​ Settle all projects to the relevant cost objects.
●​ Close Projects:
○​ Ensure that all open items for projects are cleared, and
close completed projects for the year.
●​ Run WIP (Work In Progress) Closing:
○​ Ensure that work in progress for projects is correctly
adjusted and closed for the year.

11. SAP S/4HANA Analytics and Reporting


Activities:

●​ Generate Year-End Reports:


○​ Run SAP Fiori apps or embedded reports to generate
year-end reports, such as financial statements, tax
reports, and compliance reports.
●​ Data Archiving:
○​ Archive older year data to improve system performance
and compliance.
●​ Performance Review:
○​ Review and ensure that the reporting system is set up
to provide accurate, up-to-date information for the new
fiscal year.

12. Closing & System Maintenance


Activities:

●​ System Backup:
○​ Ensure that all data is backed up before starting the
new fiscal year.
●​ Unlock New Periods:
○​ Open periods in the new fiscal year (transaction OB52),
so new transactions can be posted.
●​ Data Archiving:
○​ Archive closed year data and ensure compliance with
local data retention policies.
●​ Run System Checks:
○​ Perform necessary system checks to ensure data
integrity for the new year.

Summary of Key Activities by Module:


●​ FI: Close financial periods, reconcile accounts, generate
financial reports.
●​ AA: Depreciation run, asset reconciliation, year-end closing.
●​ CO: Close cost centers, internal orders, profit centers, and
run allocation cycles.
●​ MM: Inventory valuation, stock reconciliation, close material
movements.
●​ SD: Close sales periods, clear open items, recognize
revenue.
●​ PP: Close production orders, settle costs, update work
centers.
●​ HR: Year-end payroll, tax reporting, accruals.
●​ PS: Settle projects, close projects, run WIP closing.
●​ Bank: Reconcile bank accounts, clear open items.
●​ Tax: Generate tax reports, perform year-end adjustments.
By following these module-specific activities, organizations can
ensure a smooth, compliant, and efficient year-end closing
process in SAP S/4HANA.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy