Understanding Journal Summarization Rules

You set up journal summarization rules to define how the Payroll system summarizes pro forma journal entries before it creates actual journal entries in the general ledger. Summarizing journal entries reduces the number of transactions in the general ledger.

Note: If you use the JD Edwards EnterpriseOne Time and Labor system to generate journal entries, you can set a processing option in the Generate Timecard Journals program (R052901) to override the journal summarization rules that you set up in this task.

Defining journal summarization rules enables you to:

• Summarize journal entries for specific companies and for Company 00000.

• Create both summarized and detail journals.

• Define up to six different summarization rules for a specific range of object accounts and for a specific business unit.

If the system does not find summarization rules for a specific company, it uses those that are set up for Company 00000. If it finds no summarization rules for an account, it assumes full summarization.

Each additional variable (company, business unit, or summarization code) that you define requires additional computer resources, which increases processing time. Therefore, we recommend that you:

• Set up summarization rules for Company 00000.

• Avoid setting up summarization rules at the business unit level.

• Whenever possible, define the same summarization code for each object account range.