How To Fix 1F606 - Account &1 / &2 is reference acct for balancing; use not possible

SAP Error Message - Details

• Message type: E = Error

• Message class: 1F - BKK: Beziehungen

• Message number: 606

• Message text: Account &1 / &2 is reference acct for balancing; use not possible

What causes this issue?

Account &v1& / &v2& is a reference account for balancing and can
therefore neither be used as root account nor as subordinate account
for interest compensation.

System Response

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

How to fix this error?

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 1F606 - Account &1 / &2 is reference acct for balancing; use not possible ?

  The SAP error message 1F606 indicates that the account specified (denoted as &1 for the account number and &2 for the company code) is a reference account for balancing, and therefore, the use of this account is not possible in the current context. This typically occurs in financial transactions where the system is trying to post to an account that is designated as a reference account for balancing purposes.
  Cause:
  
  Reference Account Configuration: The account in question is configured as a reference account for balancing entries in the system. This means that it is not intended to be used directly for postings.
  Transaction Type: The type of transaction being attempted may not be compatible with the account's configuration.
  Account Type Restrictions: The account may be restricted from direct postings due to its nature (e.g., it may be a control account or a clearing account).
  
  Solution:
  
  Check Account Configuration: Review the configuration of the account in the SAP system. Ensure that it is set up correctly for the intended use. You can do this by navigating to the account in the chart of accounts and checking its settings.
  Use Alternative Accounts: If the account is indeed a reference account, you will need to use a different account for the transaction. Identify an appropriate account that can be used for the posting.
  Adjust Transaction Type: If applicable, modify the transaction type or the way the transaction is being processed to ensure it aligns with the account's configuration.
  Consult Documentation: Refer to SAP documentation or consult with your SAP FI (Financial Accounting) consultant to understand the implications of using reference accounts and how to handle them properly.
  
  Related Information:
  
  Transaction Codes: You may need to use transaction codes like FS00 (to display/change G/L account master data) or OB52 (to manage posting periods) to check the account settings.
  SAP Notes: Check for any relevant SAP Notes that may provide additional insights or updates regarding this error message.
  User Authorization: Ensure that you have the necessary authorizations to perform the actions required to resolve this issue.
  
  If the problem persists after following these steps, it may be beneficial to engage with your SAP support team or a consultant who specializes in SAP Financial Accounting for further assistance.