Understanding Rounding Tolerance Rules for Voucher Match Automation

The voucher match automation process enables you to automatically match invoices to receipts and purchase orders. You can assign one of five automation rules to each supplier, or you can elect to not assign an automation rule to a supplier that is excluded from this process.

When you assign automation rule 05 to a supplier, the system applies a rounding tolerance rule while processing the voucher match, if you set a processing option in the Voucher Match Automation UBE for Automation Rule 02, 03, 04, 05 program (R4304020) to do so. You use the Rounding Tolerance Rules (P43221) program to set up rounding tolerance rules.

You can set up rounding tolerance by company only, or by a combination of a company and supplier. When you run the voucher match automation process for records for which rounding tolerance is enabled, the system applies the rounding tolerance rule set up for a combination of a company and supplier if one exists. If a rounding tolerance rule does not exist for the combination of company and supplier, then the process applies the rounding tolerance rule that exists for the company. If no record exists for the company, then the system does not apply any rounding tolerance.

You can set up rounding tolerance to enable negative tolerance, positive tolerance, or both negative and positive tolerance. The tolerance amount that you enter must be less than 1.00. For example, you can enter .99 or .375, but you cannot enter 1.50. If you want to enable only negative or only positive tolerance, you can set up one type and either select the Zero Tolerance option or leave the other type blank.

The currency setup for a company defines how many decimal places the system saves to the Rounding Tolerance Rules table (F43221). If you enter a value with more decimal places than allowed by the company's currency setup, the system rounds the amount to the closest decimal amount allowed. For example, if your company's currency enables two decimal places and you enter .375, the system saves the value in the F43221 table as .38. The system applies the saved value when you run the voucher match automation process with rounding tolerance enabled. Note that the system does not create journal entries for the variance that results from the rounding difference between the voucher and the receipt amounts.

To use rounding tolerance rules, the currency code assigned to the company must have decimals enabled. You enable decimals for a currency in the Designate Currency Codes program (P0013). If you attempt to set up a rounding tolerance rule for a company whose currency does not allow decimals, then the Rounding Tolerance program issues an error message and does not allow you to create the rounding tolerance rule.