The Budget Checking process processes only accounting entries that are created by the Load GL Interface process with a budget checking header status of N (not budget checked). It determines the fiscal year and period from the budget date of the accounting line entry and checks the accounting entry against the recognized revenue budget for that fiscal year and period.

In This Article

  • Real-Time Budget Checking Process Options
  • Immediate Budget Checking: Sufficient Funds
  • Immediate Budget Checking: Insufficient Funds

Understanding Budget Checking & Automation

You can configure some or all departments for real-time budget checking. Use real-time budget checking to do online budget checks with PeopleSoft Financials Commitment Control and reserve the funding immediately. You still need to use batch processing to create and post your baseline encumbrance and pre-encumbrance data for the fiscal year.

You can automate all budget checking processes, but also manually check them as needed.

Real-Time Budget Checking Process Options

There are two ways that the system performs real-time budget checking:

  1. Immediate budget checking from the Job Data and Position Data components.  
    • Immediate budget checking enables the system to inform users if there are insufficient funds (prior to saving their changes). This capability can prevent account overdrafts and helps you avoid the hassles and effort of making adjustments to handle those overdrafts
  2. Deferred budget checking using separate real-time budget checking components. 
    • There are separate components for checking budgets for job data and for position data.

These components are used to perform on-demand individual budget checks outside of the job and position data components. This allows the system to reassess the individual encumbrances and budget impacts.

Immediate Budget Checking: Sufficient Funds

When your settings result in immediate budget checking, the system immediately recalculates encumbrances when a user attempts to save a job data change or position data change that affects the encumbrance amount. The system then sends the encumbrance data to the Commitment Control Budget Processor in PeopleSoft Financials, which in turn verifies that there are sufficient funds available for the recalculated encumbrance amounts.

If there are sufficient funds, the PeopleSoft Financials system updates the Commitment Control ledger encumbrance amounts immediately.

Immediate Budget Checking: Insufficient Funds

If the system initiates immediate budget checking and there are insufficient funds, the Financials system provides an error message to assist the user in addressing the budget error. The user's options depend on whether the transaction is critical and, if so, whether you enforce real-time budget checking for critical transactions. Enforcing real-time budget checking means that not only does the system immediately check for funds, the system won't let you save critical changes unless sufficient funds are available.

If the transaction is not critical, or if it is critical but the system does not enforce budget compliance for critical changes, then when the budget check shows that there are insufficient funds, the user can choose whether to address the error message or ignore it and save anyway.

When the user does not ignore the budget check error, the system does not save the original transaction and the user can either cancel the changes or modify the changes and attempt another budget check.