SAP B1 blog

The correct management of posting periods in SAP Business One is crucial for adhering to business processes and avoiding posting errors. This guide provides a detailed explanation of how to set up, configure and manage posting periods, including tips for optimisation and error prevention.

1. creation of new posting periods

Step 1: Navigation to the booking period option

1. Go to SAP Business One:
   administration ? system initialization ? posting periods
   
2. The window for booking periods opens.

Step 2: Setting the due date

1. In the 'Due date to' section, enter a date that ensures that postings with due dates in the next financial year are also possible.
   
   • Example: For an invoice dated 15.12.2024 with a net due date of 60 days, the due date should extend beyond 31.12.2024.

Step 3: Create new period

1. Click on the bottom right on New period?.
2. Another window opens to define the period.

You now have several options in this window. 

As in the red box you can set a 'due date to' for new periods. Before creating the new posting periods, please be sure to specify a date / month here so that a posting is possible at the end of the financial year whose due date is already in the next financial year due to the stored payment term 

Example: 
You create an invoice on 15.12.2024 with a net due date of 60 days. If the December 2024 posting period in the settings only supports the due date up to 31 December 2024, you receive the message 'Date deviates from the permitted range' and you cannot add the invoice.  

To create a new posting period, click on the button labelled 'New period' at the bottom right.

The following window will now open 

• periodic code 
  In the period code, enter a code for the posting period. This code can be up to 20 characters long. 
• period name 
  Enter a name for the posting period in the period name field. This name can be up to 20 characters long. 
• Subperiods 
  You can set different intervals for the partial periods, which in turn affect the field Number of periods have an impact. 
• Partial period = year would then be number of periods = 1 
  Subperiod = quarters would be number of periods = 4 
  Subperiod = month then again number of periods = 12 
• As an example on the image on the previous page, you can see that the period code 2008-01 to 2008-12 has been set to 'Months' for the partial periods option.   
• period indicators 
  The period indicator refers to each document series (line) that can be linked to one or more posting periods. Each voucher series must be linked to a period indicator so that voucher numbering is activated for each financial year, starting at 1. Select the period indicator to link it to the posting period. The period indicator can also be linked to several periods in the same company. 
• Booking date from? to?  
  For the posting date, you must enter the posting period of the new period. The day after the end date of the last existing posting period is displayed in the Posting date from? field and the same day one year later in the To? field.  
• Due date from... to? 
  In the due date, you must enter the due period of the new period. The due date period can be longer than the posting period.  
• Document date from? to? 
  Enter the voucher period for the new period here. The voucher period can be longer than the posting period. 
• beginning of the financial year 
  As the name of the field suggests, you must enter the start date of the financial year to which this newly created period belongs. 
• fiscal year 
  Here you only need to enter the year of the financial year to which the period belongs. For example, this would be '2025' for next year. 

2. Locking posting periods in SAP B1 

There is no month-end closing run in SAP Business One, as you may be familiar with from your previous system. Instead, the system offers period-end closing, which is only carried out at the end of the financial year. The P&L accounts are set to zero. If you would like to find out more about period-end closing, we will be happy to provide you with the relevant SAP documentation.

However, the lack of a month-end closing run does not prevent you from making adjusting entries at the end of the month, such as for inventory value adjustments. Such adjustments are made via regular journal entries with a corresponding posting date.

As soon as the monthlyProfit and Loss Account you should lock the system for this period to prevent subsequent changes being made without your knowledge. SAP Business One offers the option of closing posting periods and reopening them as required - flexibly and securely.

The image below shows you how and where you can make this setting.

Assign the Posting periods in SAP Business One in order to control the booking authorisations in a targeted manner:

• Unlocked
  This status allows all users, depending on their authorisations, to post all types of transactions and vouchers in the period. It is set by default for new posting periods.
• Unlocked except for sale
  All transactions and receipts can be posted, with the exception of sales receipts. This status is suitable for closed periods in which, for example, delayed incoming invoices or other transactions still need to be entered.
• Closing period
  Only users with authorisation for period-end closing can post vouchers and transactions. Use this status when the period is largely complete, all late transactions have been entered and only the annual accounts outstanding.
• Locked
  No more postings are possible in this status. Select it as soon as all adjustments have been entered and the annual financial statements for the period have been finalised.

By specifically assigning these statuses, you retain control over the booking activities in the various periods at all times