Performing Year-End Encumbrance Processing
Perform year-end processing to identify outstanding purchase order and requisition encumbrances, to cancel some or all of these encumbrances, and to carry forward encumbrance, budget, and funds available balances into the new fiscal year.
You can carry forward encumbrances into the next fiscal year. If you do not carry forward encumbrances, you might want to cancel existing requisitions and purchase orders behind the encumbrances. You can easily identify purchase orders and requisitions behind encumbrances.
Run receipt accruals in Purchasing if installed.
To perform year-end encumbrance processing:
1. Identify outstanding encumbrances in Oracle Purchasing to determine which encumbrances to cancel or to carry forward.
2. Review purchase order and requisition encumbrances by requesting the following reports:
- Encumbrance Details Report in Oracle Purchasing
Suggestion: In addition to using these reports to identify outstanding encumbrances, request these reports before year-end carry-forward to create an audit trail of encumbrance balances.
3. Define the MassCancel criteria in Oracle Purchasing to select the encumbrances you want to cancel.
4. Run MassCancel in Oracle Purchasing to cancel selected outstanding purchase order and requisition encumbrances.
6. Request the Encumbrance Trial Balance Report in General Ledger to review in detail encumbrance balances and activity for the general ledger accounts before year-end carry forward. See: Encumbrance Trial Balance Report
Note: Requesting the Encumbrance Trial Balance report before and after year-end carry-forward creates an audit trail of encumbrance balances.
Run MassCancel (Oracle Purchasing Reference Manual)
Define MassCancel (Oracle Purchasing Reference Manual)