SAP Cost Allocation

Cost Center Reposting, Allocation, Assessment

Cost Center Manual Reposting

This is used to move actual amount and quantity from one cost center to another cost center. It is used to correct incorrect actual postings to cost centers

Controlling Business Transaction for Manual reposting is RKU1. Add to number range group in transaction code KANK

Cost Center Report# S_ALR_87013611

Run for Cost Center#3301002

Repost the Rent amount from Cost Center3301002 to Cost Center#3301001

Transaction code : KB11N

Run the cost center report again# S_ALR_87013611

Now Cost center Rent cost is 2000 and USD 1000 transferred to cost center 3301001

Display Manual Reposting : KB13N

Manual Cost reposting for both Primary and Secondary CE

Controlling Business Transaction for Manual reposting is KAMV. Add to number range group in transaction code KANK

Transaction : KB15N

Reposting of Cost Center line Items by taking FI documents as reference

Post a FI document to CCTR# 3301001 in transaction code# FB50

Line Item Reposting using transaction code# KB61

New Cost Center for reposting

Manually enter Actual Activity Price / Hour

Transaction : KBK6

Activity Price Report

Transaction Code : KSBT

Post Actual SKF

Transaction : KB31N

Display SKF Report

Transaction: S_ALR_87013611

Allocation Methods

There are three methods to do allocation in SAP

• Distribution
• Assessment
• Periodic Reposting

Distribution Allocation is done using Primary Cost Element

• Source Cost Element is credited in Sender cost center
• Source Cost Element is debited in Receiver Cost Center
• Distribution cycle can have one or more Segments
• Assign business transaction #RKIV (Actual OH distribution) to Group primary posting in transaction code #KANK
• Transaction code to define Distribution Cycle : KSV1

• Sender Values:
  • Posted Amount : Full amount of Sender Cost Center
  • Fixed Amount : Fixed amount of sender Cost Center
  • Share in % : 100% of posted amount. Can be less also
  • Select Actual values
• Receiver Tracing Factor
  • Receiver Rule : Fixed %. Give % share of receiving cost center in Receiving Tracing Factor tab
  • Fixed Portion : Receiving tracing factor is ratio instead of %
  • Fixed Amount : Enter fixed amount in Receiving Tracing factor
  • Receiver rule is Variable : Plan SKF is the receiving Tracing factor

Sender / Receiver Tab

Sender Value Tab

Receiving Tracing Factor

Check Cost Center Report : S_ALR_87013611

Execute Actual Distribution Cycle

Transaction : KSV5

Cost Center Report before execution : S_ALR_87013611

Report after execution of distribution

When Segment Header Receiver Rule is Fixed Portions

Receiving Tracing Factor will be ratio, instead of %

Execute Actual Distribution Cycle

Transaction : KSV5

When Segment Header Receiver rule has fixed amount. Enter fixed amount in the receiving tracing factor tab

Execute Actual Distribution Cycle

Transaction : KSV5

Assessment

Assessment is created to transfer primary and secondary costs from a sender cost center to receiving cost objects. An assessment receiver can be a cost center, WBS element, internal order or a cost object. You can only repost primary costs.

During assessment, the original cost elements are summarized into assessment cost elements (secondary cost element category = 42). The system does not display the original cost elements on the receivers. Therefore, assessment is useful if the cost drilldown for the receiver is not important

Assessment Cost Element, category is 42. Assessment is done using Secondary Cost Element

Create Assessment Cost Element : KA06

• Define Allocation Structure

Transaction : KSES

Select allocation structure 01 and click Assignments

Select Assignment -1 and click source. Here assign the Primary CE from which cost will flow out

Repeat for Admin Cost, Misc. Expenses

Misc. Expenses

Go to folder Assignment, select assignment-1 (EMP Cost). Click Assessment Cost Element

• Create Assessment Cycle

We will use secondary Cost Element (Employee) to send cost from Canteen department to RD-1 and R&D-2 departments. This cost will be divided between these two departments based on actual SKF. Actual SKF will be actual number of employees in the R&D departments

Create actual SKF : KB31N

Create Actual Assessment Cycle : KSU1 / KSU2

Receiving weight factor, both cost centers should be 100 each

• Execute Actual Assessment Cycle

Transaction Code : KSU5

Maintain number range for business transaction RKIU in transaction code# KANK

Display Cost Center Report: S_ALR_87013611

Before Assessment Cycle

After Assessment Cycle

Summary

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