Hierarchy of Control Budget Attributes

Among the attributes that you apply when you define control budgets are:

Term	Definition
Control Options	Control: Strictly control transactions against budgeted amounts. Error exceptions are logged when transactions exceed the budgeted amount. Tracking with Budget: Track transaction amounts against a budget, but do not issue error exceptions unless no corresponding budget row exists. Pass if budget row exists, even for a zero amount, but issue warnings when transactions exceed the budgeted amount. Track without Budget: Track transactions even if no budget setup exists. If a budget row does exist, warnings will be logged when transactions exceed the budgeted amount. If no budget row exists, no warning is issued. No warning is issued for commitment control detail tracking ledger groups with the control option track without budget. Control Initial Document: Control expenditures against the initial document only. Transactions are stopped and error messages issued only if budget constraints are exceeded when the initial document is processed. Transactions that pass budget checking on the initial document, such as a purchase requisition, are automatically passed on all subsequent documents, such as a purchase order or payment voucher, even if budget constraints are exceeded when they are processed.
Budget Status	Indicates whether the budget is open, closed, or on hold: Open: The budget can still accept transactions. Closed: The budget is closed to transactions. You cannot enter budget journals, and the Budget Processor fails all transactions that affect the budget. Hold: The budget is on hold. The Budget Processor fails any transaction that reduces the available balance, but you can enter and post budget journals.
Budget Tolerance	The percentage variance over budget that you allow for a transaction to pass budget checking.

You can apply these attributes at the control budget definition, the control ChartField, the budget attributes, and (in the case of control options only) the source transaction definition in the following way:

• The control budget definition defines processing rules for the entire control budget definition (ledger group).

• The control ChartField defines processing rules for individual values of the budgetary control ChartField.

• Budget attributes define processing rules by business unit and specific ChartField combination.

• The source transaction definition enables you to define one processing rule—control option—by source transaction type.

You can also apply the following budget date-related rules at more than one level in the hierarchy.

Term	Definition
Begin Date and End Date	Begin and end dates prevent source transaction and budget lines for which the budget date does not fall within these dates from passing the budget checking process.
Cumulative Calendar	Cumulative budgeting enables the application of unused funds from prior and future budget periods if funds are insufficient in the present period.

You can apply these date-related rules at the Ruleset definition, the control ChartField, and the budget attributes. The sections on Budget Period Calendars and Cumulative Budgeting provide instructions about applying these rules at each level in the hierarchy.

Processing rules defined at the control ChartField override those defined at the Budget Period, Ruleset, and control budget definition levels. Those defined at the budget attributes override the control ChartField, Budget Period, Ruleset, and budget definition rules, and those defined at the source transaction level override all of the other levels.

In the following table, note that rules, or attributes, that are set at the various levels are provided by default down through the list and override up through the list.

Rules Are Provided Down and Override Up
Budget Definition
Ruleset
Budget Period
Control ChartField
Budget Attributes
Source Transaction Definition

That is, rules defined for a control budget definition apply to the entire budget definition and to any rows not overridden at one of the lower levels. Here are some examples:

• Control Budget Definition: Budget tolerance is set at 3 percent for all budgets in the ledger group.

• Control ChartField: The control ChartField is defined as DeptID.

  Tolerance could be set at 5 percent for DeptID 14000 and 12 percent for DeptID 42000. All other DeptIDs keep the 3 percent tolerance that you set at the budget definition level.

• Budget Attributes: Set tolerance at 10 percent for business unit US005, Account 540000, and DeptID 14000.

  All other ChartField combinations with DeptID 14000 have their tolerance set at 5 percent, as defined for the control ChartField. The remaining DeptIDs keep the 3 percent tolerance that you define at the budget definition.

• Source Transaction Definition: Because you can set the control option only at this level, the tolerance rules for all source transaction types are provided by default from the budget attributes and above.