Different allocation methods

The Allocations application has the flexibility to allocate in many different ways, depending on your business needs. This is a list of different ways to allocate and a brief summary of each.

Basic

Basic allocations allow you to allocate amounts from one or multiple accounting units, a range of accounts, or a range of subaccounts. Posting options you select during allocation entry will control the degree of detail posted to the General Ledger.

Percentage

Percentage allocations allow you to transfer a percentage of a source. The percentage can be less than 100% of the source. Which means you can allocate 50% of the source and leave the balance.

Step Value

Step Value allocations are used when a subsequent allocation is dependent on the posted results of a previous allocation step. You assign step values, on Line Detail (CA10.3) or Allocation Detail (CA10.7). The system will process allocation detail lines in step number order. For example, a step value of 1 is processed first. Step value 2 is processed second and includes the results of step 1. This diagram illustrates a step value allocation for 101 (Corporate) Account # 55250 which has a $100.00 balance.

Diagram: Step Value Allocation

Intercompany

Intercompany allocations allow you to allocate amounts between two companies. You must define intercompany relationships in Intercompany Relationships (GL25.1) before you create an intercompany allocation.

Budget

Budget allocations allow you to allocate amounts between budgets for the current year or next year budget. The budgets must exist in Budget (FB20.1).