Understanding the Burdening Process
This chapter provides an overview of the burdening process and discusses how to create burdening transactions.
Understanding the Burdening Process
Burdening is the process of applying loaded costs to the direct costs of doing business. Applied burdens can include costs such as:
Fringe
Overhead
Materials and handling
General and administrative (G & A)
Using transactions in the General Ledger table (F0911), such as payroll records, vouchers, sales orders, and so on, the Create Burdening Transactions program (R52G11) takes the amounts, which are considered the raw costs, from these transactions, applies the burdening rates to them, and creates records in the Burdening Detail Ledger table (F52G11) and the Burdening Summarized Ledger table (F52G02). You can then use the advanced variable numerator allocations feature to create a burdening-based allocation. The programs for burden-based allocations base the source and basis amounts for allocations on data in the F52G02 table.
See Understanding Burdening-Based Allocations.
If you are using the JD Edwards EnterpriseOne Contract Billing system, the Workfile Generation program (R48120) adds applicable burdening transactions to the Billing Workfile table (F4812), using the records in the F52G11 table. The R48120 program adds the burdening transactions to the F4812 table so that you can include the burdening amounts in invoice processing and revenue recognition.
The Invoice Burden/Component Rules program (P52G86) within the JD Edwards EnterpriseOne Project and Government Contract Accounting (PGCA) system enables you to specify how the system prints burdening transactions on an invoice. For example, you can print burdening transactions after each base record, or in separate sections by burden category.
See Setting Up Invoice Print Styles for PGCA Contracts.
Note. To use the P52G86 program and all other programs on the Project and Government Invoice Printing Setup menu (G5223), you must select the Project and Gov Contract Accounting Used check box in the Billing Constants program (P48091).
See Setting Up Service Billing Constants for JD Edwards EnterpriseOne PGCA.
Prerequisites
Before you process burdening transactions:
Set up the burdening constants in the Billing Constants program (P48091).
Set up PLxx automatic accounting instructions (AAIs) for burdening.
See Understanding AAIs.
Set up user-defined code (UDC) table 52G/BL to include the ledger types that you want to include in the burdening process.
Set up segment information, pool information, and burdening rates.
See Setting Up Burdening.
Creating Burdening Transactions
This section provides an overview of the Create Burdening Transactions program (R52G11) and discusses how to:
Set processing options for Create Burdening Transactions (R52G11).
Run the Create Burdening Transactions program.
Understanding the Create Burdening Transactions Program
When you run the R52G11 program, the system:
Uses the accounts that are set up in the PLxx AAIs and the ledger types that are set up in UDC table 52G/BL to determine which transactions to include for processing.
Retrieves the segment source, burden-effective date basis, and burden rate type for cost, alternate cost, invoice, and revenue from the billing constants.
Determines the pool grouping code based on the segment source from the Billing Constants program (P48091), and uses the pool grouping code to determine the segment from the Pool Grouping Codes table (F48S84).
If the base record does not contain a pool grouping code from either the job or home business of the employee, burdening is not performed.
Using the segment retrieved from the Pool Grouping Codes table (F48S84), retrieves the burden categories and burden source from the Segment Definition table (F48S80).
Note. If the FCCM (facilities capital cost of money) check box is not selected for a contract, but the FCCM check box for the burden category is selected, the system does not include the burden category for processing.
If the FCCM check box is selected for a contract, the system includes the burden category for processing regardless of whether the FCCM check box is selected for the burden category.
Accesses the Burden Base Rules table (F48S82) to determine whether the burden category applies to the transaction.
If the burden category applies to the transaction, the system retrieves the burden computation method. If the burden category does not apply to the transaction, burdening transactions are not created.
Uses the burden source associated with the burden category from the segment to retrieve the pool ID from the Pool Grouping Codes table (F48S84).
Uses the Burden Computation Method table (F48S81) to determine the basis for burden category calculations.
Retrieves the burden rates from the Burden Rates table (F48S85) for each burden rate type that matches the effective date, burden category, and pool ID.
Reviews the contract to determine whether contract-specific rate types and ceilings exist.
If ceilings exist, the system uses the lower of either the rates for the types on the contract or the rates for the types in the Billing Constants program (P48091).
Calculates burdening transactions.
Creates the burdening transactions in the Burdening Detail Ledger table (F52G11).
Creates summary records in the Burdening Summarized Ledger table (F52G02).
Running the Create Burdening Transactions Program During the General Ledger Post
You can run the R52G11 program from the Burdening / Re-burdening menu, but you typically run the program as part of the General Ledger Post program (R09801). The R09801 program includes a processing option for entering a version of the R52G11 program.
When launched from the R09801 program, the R52G11 program verifies that the Burdening Used constant is selected in the Service Billing Constants program (P48091) and that the batch contains no errors. After posting a batch of transactions to the Account Balances table (F0902), the post calls the R52G11 program. The system calls the R52G11 program after it posts each batch, and not at the end of the post.
When the Create Burdening Transactions program writes a record to the F52G11 table, it updates the Burdening Posted Code (BUPC) with 1 (posted) in the F0911 table.
Note. When you post reversing journal entries, the R09801 program removes the 1 from the BUPC field so that you can post the reversing journal entries to the F52G11 and F52G02 tables.
See Setting Processing Options for General Ledger Post (R09801).
Setting Processing Options for Create Burdening Transactions (R52G11)
Processing options enable you to specify the default processing for programs.
Process
|
1. Document Type |
Select the document type to assign to the total applied burden entries. If you leave this processing option blank, the system assigns document type JE. Select a value from UDC table 00/DT. |
|
2. Journal Entry Batch Processor Version |
Specify a version of the Journal Entry Batch Processor program (R09110Z) to use for creating and posting batches of total applied burden entries. If you leave this processing option blank, the system uses version ZJDE0001. Note. You should set up a new version of the R09110Z program to use for this processing option and leave the Post Version processing option blank in this version. Because the R09110Z program includes a processing option for you to enter a version
of the General Ledger Post program (R09801) and the R09801 program includes a processing option for you to enter a version
of the R52G11 program, you could potentially cause the R52G11 program to run in an infinite loop. The infinite loop occurs
if the R09110Z program contains a version of the R09801 program that contains a version of the R52G11 program. |
Running the Create Burdening Transactions Program
Use one of the following navigations:
Select Journal Entry, Reports & Inquiries (G0911), General Ledger Post.
Select Burdening / Re-burdening (G5), Create Burdening Transactions.
See Setting Processing Options for General Ledger Post (R09801).