There are three methods of creating a GL master record in SAP:
- Creating GL master record under Chart of Accounts
- Extending GL master records into Company Code/s
- Creating GL master record centrally
A. Chart of account/COA (TC: FSP0)
A Company can have many Company Codes and each Company Code can have different COAs. If a ledger account is created under a COA of one Company Code no other company codes can use this ledger. However, one or more Company Codes can use the same COA in which case this GL info can be extended.
While creating GL a/c in this level you will notice 3 tabs. VIZ (1) Type description, (2) Key word/translation and (3) information.
Type description tab: This tab is important. Here we specify under which ‘Account Group’ this GL a/c falls. We define whether the GL a/c is a Profit & loss or Balance Sheet item; we give a name/description to the GL a/c.
Key word/translation tab: This is used for language translation if required by foreign companies.
Information tab: Displays Info on who created this record and when.
B. Company code (FSS0)
Here the basic info that is defined under ‘Type description tab’ in the above (COA) level of GL creation is extended to a specific Company Code.
While defining GL a/c under this level you will notice 3 tabs VIZ (1) Control data, (2) create/bank/interest and (3) information
Control data tab: Here we specify the currency, reconciliation type, exchange rate, tax category, sort type and other fields for the GL account that is already created under COA level (above).
Create/Bank/interest tab: Here we specify field status group and few other fields.
Information tab: Displays info on who created this GL and when.
This level (COA level and Company Code level)of GL creation is better for Companies that use one COA and its subsidiary Company Codes use different currencies, different tax categories etc.
C. Centrally (TC: FS00)
This level (Centrally) combines both of the above levels (COA level and Company Code level). Here all the tabs are put together VIZ, (1) Type/Discription tab (2) Keyword/Translation tab (3) Control data tab (4) Create/bank/interest tab and (5) Information
In this level GL master records are created centrally for all Company codes that use the same Chart of Accounts. Here, GL master record holds a standard configuration and every Company Code sharing the same Chart of Accounts uses a uniform GL master (same currency, same tax code etc).