The rule: we need to know the POC from the banker.
Need to setup a call with Banker and understand the terminology of the
incoming file.
In general the banker provides a PDF File, which gives a clear clarification about
each and every field ( this file also contains Header, trail record and footer)
We need detailed understanding the input file name. How each and every field is
separated either it is ( , : ; > () ] { [ ] )
How frequency: we need to do EBRS: Depends: Hours, Daily, weekly, monthly,
quarterly
Bank reconciliation statement is a report or statement reported by the business to
match the bank transactions recorded in books of accounts with bank statement.
The bank reconciliation statement helps to check correctness of the entries
recorded in the books accounts and thereby, ensures the accuracy of bank
balances.
Why bank reconciliation statements are prepared.
Cheques issued but not cleared in bank book
Difference in Cheque deposited and Cheque credited date
Date of Cheque issued towards payment and date on which it is debited is
different
Cheques issued or received is not presented to the bank for clearing
Bank interests, charges etc., are not accounted for. Reason being is not
known till you reconcile.
Just like banks, you too can make mistake in accounting the bank
transactions in books of accounts and so on.
There are 2 types of BRS is there one is manual, and secondary is electronic bank
reconciliations available in BRS:
1. MBRS: Manual Bank reconciliation
We are receiving a file from Banker, that file need to be upload into SAP
(FF67)
2. EBRS: Everything is automation. (FF_5, To verify the entries FEBAN)
Electronic Bank Reconciliation statement
EBS File formats: MT940, BAI2, CAMT
Purchase process:
Purchase goods/Services from vendor. Through this transaction either
MIRO/FB60 – We are generating an outstanding to the vendor
Purchase A/c Dr
To Vendor
Payment to vendor by cheque/Bank transfer (F-53 or F110)
Vendor A/c Dr
To Outgoing Payment Bank A/c
While reconciliation Process: (FF67 or FF_5)
Out going Payment Bank A/c Dr
To Main Bank A/c
SALES Process:
Sold Goods/services to Customer (F-22, VF01)
Customer A/c Dr
To Sales A/c
Receive Payment from Customer to Cheque ( F-28/F110)
Incoming Bank A/c
To Customer A/c
While reconciliation Process (FF67 or FF_5)
Main Bank A/c
To Incoming Bank A/c
If direct deposit while reconciliation process (FF67 or FF_5)
Main Bank A/c
To Customer
In addition to this Bank Charges & Other Expenses
Bank Charges & Other Expenses Dr
TO Main Bank cr
Interest & Other receipts:
Main Bank A/c
To Interest & Other receipts
OT83: Here we will do EBRS in SAP System
In this transaction you will see 6 steps
Based on the above entries. We need to create that
many GL Accounts: FS00
Under OT83 Config the 1st step is Creation of Account Symbol:
To identify each and every transaction, we need to create a symbol for each and
every transaction. How many Accounts we are creating that many account
sysmbols need to be created . Ex: A100,A200,A300,A400,
Assignment of Accounts to Accont symbols:
Based the number of account symbols each and every Account symbols we need to
assign a GL Account.
GL masking: +++++0,
Create keys for Posting Rule:
How many different transactions we are posting for our reconciliation that many
posting rules need to be created.
Define posting rules:
In this single step, we are linking Account symbols, GL Accounts, {posting rules. It
is a combination of the above steps
If the transactions are related to G.L. In posting area. We need to select 1. If the
trasnactions are related to AP,AR(Sub ledgers) you need to choose 2
Based on the accounting transaction we need to select the appropriate document
type.
If The transactions belongs to GL, We have to select SA. ( Interest paid or Interest
received, bank charges), Based on sub ledger transactions we have to select either
KR, KZ,KA or DR, DZ,DA
Creation of Transaction type:
This transactions types are provided the bank.
External Transactions Types are those which is mentioned in the bank statement
for each & every transaction.
i.e. NCHK, NTRF, NSTO, NCHG, etc. as bank mentioned their MT940 bank
statement format as below
his Transaction types require to assign to the posting rule which we have created
in point No.3 as below with Debit/Credit indicator & Algorithm
7) Assign Bank Accounts to Transaction Types
Assign External trasnaction types to Posting Rule: In this step, there is a connection
between your SAP System with the banker file
You need very carefule in this step….. if we give small mistake the reconcilaiton will be
wrong.
If you are maintaining Cheque Number in Assignment than use Algorithm 15
against transaction type of Cheque. With this system will clear the entries by
matching the Cheque number from the statement.
Other cases you can give simple logic as No Interpretation.i.e.system will clear
based on the amount.
Sign + means incoming entry’s & Sign – means outgoing entry’s
Here you require to give Bank Key, Bank Account Number of all the banks where
you want to activate this process & give Transaction Type against all the bank
(i.e. EB01) which created as per point no.5
Beacaz of automation assignment where we need assign AL11 PATH: Through this
step the input file will be stored
FF_5----- System reads the file and execute because of this process system upload
the input file
FEBAN---- The entries we can see In this step.
