How To Fix GC126 - Settings for currency translation are incorrect

GC126 - Overview

• Message type: E = Error

• Message class: GC - Error Messages for Consolidation/Extended General Ledger

• Message number: 126

• Message text: Settings for currency translation are incorrect

What causes this issue?

Domestic <DS:GLOS.company>companies</> cannot be managed in
<DS:GLOS.group_currency>group currency</>.
When data entry or a <DS:GLOS.standardizing_entry>standardizing
entry</> is made for a domestic company, the values are posted in both
local and group currency, so that a currency translation is not
required.

System Response

Error message.

How to fix this error?

The flag "Entry in RC" must not be set for a domestic company.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message GC126 - Settings for currency translation are incorrect ?

  The SAP error message GC126, which states "Settings for currency translation are incorrect," typically arises during the execution of currency translation processes in SAP, particularly in the context of Financial Accounting (FI) or Controlling (CO) modules. This error indicates that there is a misconfiguration in the settings related to currency translation.
  Causes of Error GC126
  
  
  Incorrect Configuration of Currency Translation: The settings for currency translation in the system may not be properly configured. This includes the translation methods, exchange rates, or the currency types being used.
  
  
  Missing or Incorrect Exchange Rates: The exchange rates required for the currency translation may be missing or incorrectly defined in the system.
  
  
  Inconsistent Currency Settings: There may be inconsistencies in the currency settings between different modules or within the same module.
  
  
  Incorrectly Defined Translation Types: The translation types used for currency conversion may not be set up correctly in the system.
  
  
  Missing Master Data: Required master data for the currencies