How To Fix FMCE004 - Annual budget of &2 exhausted for document item &1

SAP Error Message - Details

• Message type: E = Error

• Message class: FMCE - Cover Eligibility Messages

• Message number: 004

• Message text: Annual budget of &2 exhausted for document item &1

What causes this issue?

The annual budget of the availability control ledger &V2& has been
consumed for the document item &V1&. Budget control on outgoing amounts
(
<DS:DE.BUAVC_CEILTYPE>ceiling type</> <ZK>Expenditures</>) raised this
message for the budget address <ZH>&V3&</> (= <ZK>first-level control
object</>) without considering the cover eligibility rule that exists
for this budget address.
Although at this point the system checks availability on the level of
the budget address, an automatic cover eligibility rule was found. This
rule ultimately decides whether sufficient budget is available for
posting, if the present message has not been raised as an <SE><LS>Error
</></>.
The corresponding cover eligibility rule is determined by the following
combination of availability control ledger, fiscal year (and if
applicable, <DS:DE.FM_CEFFYEAR_BCS>year of cash effectivity</>) and
<ZK>second-level control object</> (<DS:DE.FMCE_CVRGRP>cover group</>
and if applicable, the <DS:DE.GM_GRANT_NBR>grant</>):
<ZH>&V4&</>
DEFINE &N& = '004'
INCLUDE FMCE_ANNUAL_MESSAGE_EXT

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?

Procedure for System Administrators

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message FMCE004 - Annual budget of &2 exhausted for document item &1 ?

  The SAP error message FMCE004 indicates that the annual budget for a specific budget item has been exhausted. This typically occurs in the context of budgetary control within the Funds Management (FM) module of SAP. Here’s a breakdown of the cause, potential solutions, and related information:
  Cause:
  
  Exhausted Budget: The primary cause of this error is that the total expenditures for the specified budget item have reached or exceeded the allocated budget for the fiscal year.
  Incorrect Budget Allocation: There may be an issue with how the budget was allocated or planned, leading to insufficient funds for the document item in question.
  Posting Errors: There could be errors in the posting of transactions that incorrectly consume budget amounts.
  Budget Release Issues: The budget may not have been properly released or may have been reduced after initial allocations.
  
  Solution:
  
  Review Budget Status: Check the budget status for the relevant budget item to confirm whether it has indeed been exhausted. This can be done using transaction codes like FMBB (Budgeting) or FMAVCR01 (Budget Availability Control).
  Adjust Budget: If the budget is exhausted, consider adjusting the budget by increasing the allocation for the relevant budget item. This can be done through budget transfer or budget carryforward processes.
  Check Document Item: Review the specific document item mentioned in the error message to ensure that it is valid and that the amounts being posted are correct.
  Reassess Budget Planning: If this is a recurring issue, it may be necessary to reassess the budget planning process to ensure that future budgets are more accurately aligned with expected expenditures.
  Consult with Finance Team: Engage with the finance or budgeting team to understand the implications of the budget exhaustion and to explore options for reallocation or additional funding.
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as:
  
  FMBB: Budgeting
  FMAVCR01: Budget Availability Control
  FMX1: Create Budget
  FMX2: Change Budget
  FMX3: Display Budget
  
  
  Budget Control Settings: Review the configuration settings for budget control in the Funds Management module to ensure they align with organizational policies.
  Documentation: Refer to SAP documentation or help files for detailed guidance on managing budgets and understanding error messages in the FM module.
  
  By following these steps, you should be able to address the FMCE004 error and ensure that your budget management processes are functioning effectively.