How To Fix FH132 - Keep balance sheet accounts in local currency only

SAP Error Message - Details

• Message type: E = Error

• Message class: FH - General ledger module messages

• Message number: 132

• Message text: Keep balance sheet accounts in local currency only

What causes this issue?

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?

For normal balance sheet accounts that record neither items in foreign
currency nor open items, SAP recommends that you record the account
transaction figures in local currency only. You should select the
"Only balances in local curr." checkbox to do this.
Balances in balance sheet accounts are carried forward to the their own
account. Postings made in foreign currency will result in a balance
carried forward in foreign currency. This creates the possibility of
totals accumulating and always being carried forward in different
currencies.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FH132 - Keep balance sheet accounts in local currency only ?

  The SAP error message FH132, "Keep balance sheet accounts in local currency only," typically occurs when there is an attempt to post a transaction to a balance sheet account using a currency other than the local currency defined for that account. This is a common restriction in SAP to ensure that balance sheet accounts maintain consistency and accuracy in reporting.
  Cause:
  
  Currency Mismatch: The transaction is being posted in a currency that is not the local currency of the balance sheet account.
  Account Configuration: The balance sheet account is configured to only accept postings in the local currency.
  Transaction Type: The type of transaction being processed may not be compatible with the currency settings of the account.
  
  Solution:
  
  
  Check Account Settings: 
  
  Go to the account master data (transaction code FS00) and verify the currency settings for the balance sheet account in question. Ensure that it is set to the local currency.
  
  
  
  Post in Local Currency: 
  
  If you are trying to post a transaction in a foreign currency, convert the amount to the local currency and post the transaction again.
  
  
  
  Use Correct Transaction Codes: 
  
  Ensure that you are using the correct transaction codes that are compatible with the currency settings of the account.
  
  
  
  Review Configuration: 
  
  If necessary, review the configuration settings in the Financial Accounting (FI) module to ensure that the currency settings align with your business requirements.
  
  
  
  Consult Documentation: 
  
  Refer to SAP documentation or consult with your SAP support team for specific guidelines related to your version of SAP and the configuration of your financial accounts.
  
  
  
  Related Information:
  
  Local Currency: This is the currency in which the company’s financial statements are prepared. It is usually the currency of the country where the company is registered.
  Balance Sheet Accounts: These accounts include assets, liabilities, and equity accounts that are typically reported in the local currency to maintain consistency in financial reporting.
  Foreign Currency Transactions: If your organization deals with foreign currency transactions, consider using appropriate exchange rates and ensure that the accounts are set up to handle such transactions if necessary.
  
  If the issue 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.