How To Fix BQ003 - Annual budget & less than distributed budget

BQ003 - Overview

• Message type: E = Error

• Message class: BQ - Messages for Budgeting and Planning

• Message number: 003

• Message text: Annual budget & less than distributed budget

What causes this issue?

Annual budget &V1& for one or more WBS elements is less than the
distributed budget.

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.

BQ003 - Details

• The SAP error message BQ003, which states "Annual budget & less than distributed budget," typically occurs in the context of budget management within SAP's Controlling (CO) or Financial Accounting (FI) modules. This error indicates that the system has detected a situation where the annual budget allocated for a particular cost center, internal order, or project is less than the amount that has already been distributed or committed against that budget.
  
  Cause:
  
  Budget Overcommitment: The most common cause of this error is that the total commitments or actual expenditures against a budget exceed the annual budget limit.
  Incorrect Budget Settings: There may be an error in the budget settings, such as incorrect budget amounts being entered or budget periods not being defined correctly.
  Changes in Budget: If the budget was reduced after commitments were made, this could lead to the error.
  Data Entry Errors: Manual entry errors in budget amounts or distribution amounts can also lead