How To Fix 1I038 - Compensation restricted when limiting to bank areas

SAP Error Message - Details

• Message type: E = Error

• Message class: 1I - BCA: General Ledger Integration

• Message number: 038

• Message text: Compensation restricted when limiting to bank areas

What causes this issue?

A selection for bank areas was specified. Compensation of account
balances only takes place within the selected data. This means that
compensation of accounts in selected bank areas with accounts in
unselected bank areas is not possible.

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?

Check if a selection for bank areas is required.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message 1I038 - Compensation restricted when limiting to bank areas ?

  The SAP error message 1I038 ("Compensation restricted when limiting to bank areas") typically occurs in the context of payroll processing, particularly when dealing with compensation and bank area assignments. This error indicates that there is a restriction on compensation calculations due to the limitations set by bank areas.
  Cause:
  The error is usually caused by one of the following reasons:
  
  Bank Area Configuration: The bank area settings in the system may not be properly configured, leading to restrictions on how compensation is processed.
  Employee Master Data: The employee's master data may not have the correct bank area assigned, or there may be inconsistencies in the data.
  Compensation Type Settings: The compensation type being used may have restrictions that prevent it from being processed in certain bank areas.
  Payroll Area Settings: The payroll area configuration may limit the processing of compensation based on bank areas.
  
  Solution:
  To resolve the error, you can take the following steps:
  
  
  Check Bank Area Configuration:
  
  Go to the configuration settings for bank areas in your SAP system (transaction code: SPRO).
  Ensure that the bank areas are correctly defined and that there are no restrictions that would prevent compensation from being processed.
  
  
  
  Review Employee Master Data:
  
  Use transaction code PA20 or PA30 to check the employee's master data.
  Verify that the correct bank area is assigned to the employee and that there are no discrepancies.
  
  
  
  Examine Compensation Type Settings:
  
  Check the configuration of the compensation type being used (transaction code: SPRO).
  Ensure that the compensation type is allowed for the bank areas in question.
  
  
  
  Inspect Payroll Area Settings:
  
  Review the payroll area settings to ensure that they are not restricting compensation processing based on bank areas.
  Make adjustments as necessary to allow for the required compensation processing.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help resources for specific details on the error message and related configurations.
  
  
  
  Testing:
  
  After making the necessary changes, run a test payroll to see if the error persists.
  
  
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as SPRO (Customizing), PA20 (Display HR Master Data), PA30 (Maintain HR Master Data), and PC00_MXX_CALC (Payroll Calculation).
  SAP Notes: Check for any SAP Notes related to this error message for additional guidance or patches that may address the issue.
  User Forums: Consider visiting SAP community forums or user groups for insights from other users who may have encountered and resolved similar issues.
  
  If the problem persists after following these steps, it may be beneficial to consult with your SAP support team or a consultant who specializes in SAP HR and payroll configurations.