Bank Configuration in Simple Finance

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TABLE OF CONTENTS
INTRODUCTION ............................................................................................. 4
1 Bank Accounting ........................................................................................... 5
1.1 Define House Banks ............................................................................... 5
1.2 Electronic Bank Statement and Manual Bank Statement ..................... 21
1.2.1 Make Global Settings for Electronic Bank Statement .................... 22
1.2.2 Create and Assign Business Transactions .................................... 35
1.2.3 Define Variants for Manual Bank Statement .................................. 37
1.3 Check Deposit ...................................................................................... 47
1.3.1 Define Posting Keys and Posting Rules for Check Deposit ........... 47
1.3.2 Create and Assign Business Transactions .................................... 55
1.3.3 Define Variants for Check Deposit ................................................. 57
1.4 Cash Journal ........................................................................................ 65
1.4.1 Create G/L Account for Cash Journal ............................................ 65
1.4.2 Define Document Types for Cash Journal Documents .................. 69
1.4.3 Define Number Range Intervals for Cash Journal Documents ...... 76
1.4.4 Define Numbering Groups ............................................................. 78
1.4.4 Define Number Ranges for Numbering Groups ............................. 79
1.4.4 Set Up Cash Journal ...................................................................... 84
1.4.4 Create, Change, Delete Business Transactions ............................ 87
1.4.5 Set Up Print Parameters for Cash Journal ..................................... 90

INTRODUCTION
Bank Accounting is used to handle accounting transactions that a business

processes with their bank. Thus it enables business to process automatic
outgoing and incoming payments from these banks. It enables to generate
different payment medium outputs to be provided to bank in the form of
checks or country specific electronic payment media files. It enables the
business to do automatic bank reconciliation. For all this to be possible, the
bank needs to be defined as a House Bank in the SAP system.
We will configure a house bank for our company code 6600 (Universal Ltd.).
We will also cover the configuration of Manual/Electronic bank statement,
Check deposit and Cash journal.
In Simple Finance (S/4 HANA) the bank account number for House bank can
no longer be maintained directly in SAP but has to be maintained in
Netweaver business client.

1 Bank Accounting
1.1 Define House Banks
This Customizing activity has been replaced by transaction code

FI12_HBANK.
You can also access this transaction code in the SAP menu under
SAP Menu  Accounting  Financial Accounting  Banks  Master

DataHouse Banks  FI12_HBANK - Create / Change
Each house bank of a company code is represented by a bank ID in the SAP

system. The House bank is used for automatic payment program, check
deposit, bank reconciliation. Thus you will only need to create a house bank
for a bank account if you want to use the aforesaid functionality.
Let us configure a house bank.
Enter Company code 6600

Click

Click on
Update the following fields:-
House bank: This is the code for house bank. Give an alpha numeric key.
Numeric is also possible.
Bank key: Bank key can be the routing number (9 digits center number on
check) or in some countries it can be the swift code as well.

Click on the to create the Bank key and update the following
fields

Click on and update the following fields

Click
Again click on the next screen.
Click on

The address was already updated in the earlier step.
Click on
Here you need to attach the EDI partner after you create EDI partner. This
field is used in case you want to enable E-banking.

Click on
Update the company number (in case of US) for ACH payment set up
Click on to save your entry.

The Bank Account number can no longer be directly maintained in SAP.
It has to be maintained in SAP Netweaver Business Client
You need to login to the SAP Netweaver business client using an internet
browser such as internet explorer or the google chrome browser and then
sign in with your sap user id and password.
Thereafter you get the following screen
Click on

Click on Bank Accounts

Click on New Bank Account as shown below

Here we link the Company code, bank key to the Bank account number as
shown below. Bank account number is maintained in the SAP Netweaver
business client
Click on
We also need to update the opening date of the Bank account.

The bank account is now created
Click on Account list
Click on

Click on the bank account which we created just now.
Click on Connectivity Path

Click on
Click on Add

Here we update the GL code for the House Bank.
Click on

1.2 Electronic Bank Statement and Manual Bank Statement
Electronic bank statement – It is an electronic document sent by the bank

which gives details of the transactions done by the account holder. The
electronic document can be remitted by the bank in the following formats
SWIFT MT940, Multicash, BAI etc. This statement is used in SAP to do an
automatic reconciliation. The statement is uploaded in SAP and it clears the
various Bank clearing accounts such as the Chk payable, Chk in account to
the main bank account.
In our scenario we have the following bank GL codes (Sub accounts) for our
Main Bank (113120 Citibank – Main account a/c):-
113121 Citibank checks payable

113122 Citibank outgoing domestic wire transfer
113123 Citibank outgoing foreign wire transfer
113125 Citibank interim postings reconciliation
113129 Citibank Customer incoming payment
Checks issued out to vendors will be credited to GL code 113121 Citibank

checks payable, which is a clearing account.
Similarly checks received from customer are debited to GL code 113129

Citibank customer incoming payment, which is a clearing account.
When the bank statement is uploaded in SAP the following will happen:-
For checks issued out – based on checks cleared in the bank account the
following entry will be passed automatically.
GL code account description Debit /Credit

113121 Citibank checks payable Debit
113120 Citibank– Main account a/c Credit
For checks received in – based on checks cleared in the bank account the
following entry will be passed automatically.
GL code account description Debit /Credit

113129 Citibank customer incoming payment Credit
113120 Citibank – Main account a/c Debit
Thus after uploading the bank statement in the system, the Main bank
account i.e. GL code 113120 Citibank – Main account a/c will exactly match
with the balance shown in the bank. All the clearing accounts having balances
will be the reconciliation items.

Manual bank statement – In case the bank is not able to give an electronic
statement then the statement can be manually entered in the manual bank
statement and uploaded.
The common configuration for both type of statement is as follows:-
1.2.1 Make Global Settings for Electronic Bank Statement
SAP Customizing Implementation Guide  Financial Accounting (New) 

Bank Accounting  Business Transactions  Payment Transactions 
Electronic Bank Statement  Make Global Settings for Electronic Bank
Statement
Update the following:-
1. Create account symbol
Specify G/L accounts (such as bank, cash receipt, outgoing checks) to which
postings are to be made from account statement.
You assign account symbols to the G/L account numbers. These are required
for the posting rules in step 2.

Click on and type in the following:-
Prefix the Account symbol with Y or Z for easy identification of our

account symbol amongst the SAP standard account symbol.

Click on to save entries.
2. Assign accounts to account symbols
Here we assign accounts to account symbols.
Double click on
Click on and update the following:-

To avoid having to define a separate account symbol for every single
house bank account (with a different G/L account in each case), the
G/L account field can contain a masked output. The masking is done
using ++++++ for the main bank account. For the sub accounts all the
other digits are masked except the last one.
Depending upon the chart of account definition of GL code length we

need to update the +++ masking.
For bank charges account there is no masking required, therefore the

GL code can be updated directly.
Click on to save entries.
3. Create keys for posting rules
Double click and click on and
Update the following information:-

Click on
4. Define posting rules
Here you will assign the posting rules to the account symbols created.
Double click

Click on
Update the following: -
Posting Type 4 (Clear Debit G/L account)
Click on Save
Click
Click on

Select Posting type 1 (Post to G/L acct)
Click on
Click
Click on

Click on Save
Click
Click on

Select Posting type 1 (Post to G/L account)
Click on Save
Click

Click on
Click on
3 additional configuration steps required for electronic bank statement.
5. Create Transaction type
Double click
Click on
Update the following: -

Click on Save
6. Assign external transaction type to posting rules
Bank provides bank statement data in various formats such as BAI, Swift
MT940 and Multicash format which contains various transactions type (Called
external transactions type) to designate what is the nature of transaction in
the bank statement.
These external transaction type are assigned to our posting rules(which we
defined earlier).
External transaction types may differ based on the various bank formats
Example of external transaction type for MT940 format are:-
• NCHG = Charges and other expenses

• NCHK = Cheques
• NCOL = Collections
• NCOM = Commisions
• NINT = Interest
• NBOE = Bill of exchange
• NMSC = Miscellaneous
• NTRF = Transfer
There are many more like this, generally the ones which are often used by the
bank and relevant for the business are mapped in our system.

Let us configure the MT940 external transaction types and link it our posting
rules.
Select
Double Click
Click on

In NCHK(-) outgoing check we select clearing transaction selection

using assignment field - as the clearing criteria. The check number must
be copied in the assignment field using the transaction code FCHU.
Click on Save
7. Assign Bank Accounts to Transaction types
Assign bank details, for which the account statements are to be imported, to
a transaction type.
All the house bank accounts at a particular bank are usually assigned to the
same transaction type.
Double Click
Click on

The exact Bank Key and Bank account updated in the House bank
definition of CITIBANK (CITIB) must be update above.
Click on Save
2 Additional steps required for Manual Bank statement
1.2.2 Create and Assign Business Transactions
SAP Customizing Implementation Guide Financial Accounting (New)

Manual Bank Statement  Create and Assign Business Transactions
Herein this step you store an indicator for each business transaction and
allocate a posting rule to each business transaction.

Click on

Select this algorithm (011:Outgoing check: check no.different from pymt

doc.no.) for clearing the outgoing checks based on check reference.
Click on
1.2.3 Define Variants for Manual Bank Statement
SAP Customizing Implementation Guide  Financial Accounting (New)

Manual Bank Statement  Define Variants for Manual Bank Statement
Here you can create separate account assignment variants for the manual
bank statement in order to adapt the arrangement and/or the selection of
account assignment fields to your company-specific requirements.
Standard Variant SAP01 is available which is generally not suitable for

customer’s need. It is not modifiable. Therefore we need to create a new
variant.
Let us see the standard variant SAP01

Double click on .

Click to continue.
These are the fields available. The last 4 fields are not suitable for us.

Click
Let us create a new variant.
Click on and update the following:-

Click
Click
Position the cursor on and click on to delete the field.

Similarly delete Customer matchcode, foreign currency, and foreign currency
amt

Now the variant will look like this:-
Double Click on
Click to confirm

The allocation number now moves in the current field.
Double click on
In Bank reference you will capture the check number (the check number for
outgoing check cleared). For incoming payment (check inward) you will
capture the check number in the allocation number (assignment field).

Reduce the output length from 13 to 6
Click to confirm.
Finally the screen variant will look like this:-

Click to check the variant.

Click on
Change the variant name for Z6600 from Standard to Universal bank
statement
Click on
Click on to activate variant Z6600

1.3 Check Deposit
1.3.1 Define Posting Keys and Posting Rules for Check Deposit

Bank Accounting  Business Transactions  Check Deposit  Define
Posting Keys and Posting Rules for Check Deposit

Update the following
Click

Click on new entries to create account symbol

Click on
Double click
Click on
Select existing account symbol bank and the one configured by us.

Click on
Double click

Click on

Click on
Double click
Click on

Update the following;-
Posting area dropdown -

Posting type dropdown -
Click
Click on
1.3.2 Create and Assign Business Transactions

Bank Accounting  Business Transactions  Check Deposit  Create and
Assign Business Transactions
Here you store transaction indicators for check deposit and allocate these
indicators to a posting rule. We have created posting rule ZCHK in the earlier
step. We need to allocate this to the transaction indicator. You specify this
indicator in the "Transaction" field on the initial screen of check deposit.

Click on

Click on
1.3.3 Define Variants for Check Deposit

Bank Accounting  Business Transactions  Check Deposit  Define
Variants for Check Deposit
Here you can create your own account assignment variants for check deposit
in order to modify the arrangement and/or selection of account assignment
fields according to your company-specific requirements.
One variant SAP01 is delivered as a default. It cannot be changed.
We will create a new variant.

Position the cursor on variant SAP01 and click
Click

Click
Delete 3 digit check number by clicking on 3 digit number and click

Similarly Delete 8 –digit bank key and Invoiced amount

Double click 10-digit check number
Click to confirm

Click on
Change the description of the variant from the first screen

Position the cursor on Z6600 and click to activate

Click on
1.4 Cash Journal
1.4.1 Create G/L Account for Cash Journal

Bank Accounting  Business Transactions  Cash Journal  Create G/L
Account for Cash Journal
Here you create a G/L account for the cash journal in the company code
9101. The GL code must be switched on post automatically.

If you want to run several cash journals with different currencies in this
account, make sure that
 The indicator Balances in local currency only is not set
 The account currency corresponds to the company code currency
Click

Click

Click

Click on
1.4.2 Define Document Types for Cash Journal Documents

Bank Accounting  Business Transactions  Cash Journal  Define
Document Types for Cash Journal Documents
Here you can use the standard accounting document type AB or you can
create a new document type.
Let us create a new document type ZC – Cash documents.
We will create this by copying AB.
Select

Click

Change the document type from AB to ZE as follows:-

Click
Click on

Change the description of document type ZE to Cash Journal
Click on
Double click
Click

Click
Click
Click on

Click twice
Now update the reversal document type ZE and number range 52

Click on
Click twice
1.4.3 Define Number Range Intervals for Cash Journal Documents

Number Range Intervals for Cash Journal Documents
You have to define a number range interval for cash journal documents. Each
document then receives a unique number that does not clash with the G/L
document number.

Click

Click on
Click
1.4.4 Define Numbering Groups

Numbering Groups
Here we define numbering groups for the cash vouchers in a cash journal.
This is essential, because if we do not do this configuration, then the incoming and outgoing cash
documents are part of the same numbering sequence.
To have separate number ranges for incoming and outgoing cash payments we have to set up
separate numbering groups.

Click on
Click on
1.4.4 Define Number Ranges for Numbering Groups

Number Ranges for Numbering Groups
Here we define number ranges for the cash document numbering groups that
we have created.
We must use 01 as the number range interval for the number range objects.

Update 01 for the Cash document group
Click

Click on

Update 02 as the Cash Document group

Click

Click on
1.4.4 Set Up Cash Journal

Bank Accounting  Business Transactions  Cash Journal  Set up Cash
Journal
If you want to run a cash journal whose currency does not correspond
to that of the company code, you have to consider the following details
in the corresponding cash journal G/L account master data:
 The indicator Balances in local currency only should not be set
 The account currency must correspond to the company code

currency
You can run several cash journals with different currencies in one cash
journal G/L account. Several cash journals with the same currency in
one G/L account is however not possible.
If you want to run several cash journals in the same currency in one
company code, you have to select different cash journal G/L accounts.
Click on

Click on to scroll to the right
01 number range group is assigned to Cash receipt and

02 number range group is assigned to Cash payment
Check Split (Split Indicator for Totals Document during Check Deposit)
This Indicator specifies whether the line items of the totals posting are split for a check deposit.
If the indicator is set to "All Items of Totals Document Are Split", this means that, when several
checks are deposited in the cash journal, the posting item with the cash journal account and the
offsetting item of the totals posting are split.
If the indicator is set to "Offsetting Item of Totals Document Is Split", only the offsetting item of the
totals posting is split.
If the indicator is set to "No Split of Line Items of Totals Document", the items of the totals posting
are not split.

If items need to be split, either one posting item ("Offsetting Item of Totals Document Is Split") or
two posting items ("All Items of Totals Document Are Split") are created in the totals document for
each check deposited. The reference document number (REBZG) field is filled with the FI
document number of the relevant check. The field for the type of follow-on document (REBZT) is
filled with the value C.
Set the "Offsetting Item of Totals Document Is Split" option for this indicator if you want to be
informed by bank statement whether the value of the check deposited has been posted at the bank
and if you want to assign the check and clear the open item.
Set the "All Items of Totals Document Are Split" option for this indicator if you use the split
processor and want to determine which account assignments on the deposited check are
considered.
Indicator: Substitution in Cash Journal
Indicates whether substitution is active in the cash journal.
If this indicator is selected, FI substitutions are carried out when entries are made in the cash
journal. However, only those fields that are already known here and for which changes are not
critical are changed in the cash journal.
Simultaneous Cash Journal Access Allowed
This indicator is used to specify whether simultaneous access to the cash journal is permitted.

When this indicator is set, it is possible for changes to be made to the cash journal in different
processing modes:
• If a cash journal is already in use and this indicator is set, the user has the option of
opening the same cash journal in "Save Only" mode.
In the "Save Only" mode, users can save entries in the cash journal but they cannot
delete, post, or reverse documents.
• If a cash journal is already in use and this indicator is not set, the user has the option of
opening the same cash journal in "Display Only" mode.
Click on
1.4.4 Create, Change, Delete Business Transactions

Bank Accounting  Business Transactions  Cash Journal  Create,
Change, Delete Business Transactions
Here you can create, change, and delete accounting transactions for the cash
journal.
Alternatively, you can create the accounting transactions online using the
cash journal document entry. From the SAP Easy Access screen, select
Accounting Financial accounting  Banks Outgoings Cash journal.
Click on

Update using the following drop down values :-
You can block the business transaction for any postings that you
do not want to use any longer.

You can change the account during document entry if you set this is indicator
for the business transaction
You can change the tax code during document entry if you set this is indicator
for the business transaction
Click on
1.4.5 Set Up Print Parameters for Cash Journal

Bank Accounting  Business Transactions  Cash Journal  Set Up Print
Parameters for Cash Journal
In order to print the cash journal and the cash journal receipts, you have to set
up the corresponding print program parameters per company code.
Use transaction code SE38 and update the following program:-

Click on

Click
Click on
That brings us to an end of the Bank configuration steps.

Bank Configuration in Simple Finance

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© 2016 sapficoconsultant.com. All rights reserved.

No part of this material should

“SAP” is a trademark of SAP AG, Neurottstrasse 16, 69190 Walldorf, Germany.

Warning and Disclaimer

www.sapficoconsultant.com Page 2 SAP Bank Configuration

www.sapficoconsultant.com Page 3 SAP Bank Configuration

Bank Accounting is used to handle accounting transactions that a business

www.sapficoconsultant.com Page 4 SAP Bank Configuration

1.1 Define House Banks

This Customizing activity has been replaced by transaction code

SAP Menu  Accounting  Financial Accounting  Banks  Master

Each house bank of a company code is represented by a bank ID in the SAP

Let us configure a house bank.

Enter Company code 6600

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Update the following fields:-

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Again click on the next screen.

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Click on to save your entry.

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It has to be maintained in SAP Netweaver Business Client

Thereafter you get the following screen

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We also need to update the opening date of the Bank account.

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Click on Account list

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Click on Connectivity Path

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Electronic bank statement – It is an electronic document sent by the bank

113121 Citibank checks payable

Checks issued out to vendors will be credited to GL code 113121 Citibank

Similarly checks received from customer are debited to GL code 113129

GL code account description Debit /Credit

GL code account description Debit /Credit

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The common configuration for both type of statement is as follows:-

1.2.1 Make Global Settings for Electronic Bank Statement

SAP Customizing Implementation Guide  Financial Accounting (New) 

Update the following:-

1. Create account symbol

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Prefix the Account symbol with Y or Z for easy identification of our

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2. Assign accounts to account symbols

Here we assign accounts to account symbols.

Click on and update the following:-

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Depending upon the chart of account definition of GL code length we

For bank charges account there is no masking required, therefore the

Click on to save entries.

3. Create keys for posting rules

Double click and click on and

Update the following information:-

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