Enter and update encumbrance entries, as well as review and update encumbrance entries imported to General Ledger from feeder systems such as Purchasing and Payables.
Entering encumbrances is similar to entering actual journals. Before entering encumbrances manually, organize them into batches. For example, group your encumbrances by encumbrance type, date, and preparer.
You can enter encumbrances only in your ledger currency. The batch can only have journals for only one primary or secondary ledger.
Data Access Sets
You can select a ledger for your encumbrance journal if your data access set provides read and write access to the ledger, or read and write access to one or more of the balancing segment values or management segment values in the ledger. You will not be able to select a ledger if your data access set provides read access to the ledger, balancing segment values or management segment values.
You can enter encumbrance journal lines if your data access set provides read and write access to the ledger, balancing segment values or management segment values. You will not be able to enter encumbrance journal lines if you only have read access to the ledger, balancing segment values or management segment values. See Data Access Sets.
Note: If you use Reporting Currencies (Journal or Subledger Transaction Level), General Ledger automatically creates and posts a converted encumbrance entry in your journal or subledger transaction level reporting currency when you post the associated encumbrance entry in your primary ledger. The reporting currencies journals are contained in the same encumbrance batch.
Note: You can modify the Enter Encumbrances folder form to customize your query capabilities on encumbrance information. Refer to the Oracle E-Business Suite User's Guide for more information on modifying and saving folder forms.
Prerequisites
Define your ledger using Accounting Setup Manager.
Define your encumbrance types.
Open an encumbrance year.
Navigate to the Enter Encumbrances window.
Choose New Batch.
Enter a batch Name, an appropriate Accounting Period, and an optional Control Total. You can enter encumbrances up to the last period of your latest open encumbrance year.
Choose Journals to enter your encumbrance journals.
Create your encumbrance journal by entering a name, ledger, category, encumbrance type, and optional description, reference and control total.
Enter encumbrance lines, specifying an account and debit or credit amount for each. General Ledger automatically validates each segment value as well as the combination of segments you enter.
If the debit amounts do not equal the credit amounts in either your manual or imported encumbrance entries, General Ledger automatically enters a balancing amount to the Reserve for Encumbrances account at posting. Your encumbrance entries always balance by balancing segment value.
Save your work.