How To Fix H1503 - A previous financial year does not exist

H1503 - Overview

• Message type: E = Error

• Message class: H1 - Messages Used in HR Funds and Position Management

• Message number: 503

• Message text: A previous financial year does not exist

What causes this issue?

The system was unable to find a previous financial year for financial
year &v1&.

How to fix this error?

In Current Settings (<ls>Define Financial Year</>), check over the
financial years you have defined. Make sure that the financial years
run seamlessly into each other without any gaps.

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

<DS:TRAN.OOP1>Current Settings</>

Error message extract from SAP system. Copyright SAP SE.

H1503 - Details

• The SAP error message H1503, which states "A previous financial year does not exist," typically occurs when you are trying to perform a financial operation (like posting a journal entry or running a report) for a period that is not recognized as valid in the system. This usually happens when the financial year has not been properly set up or closed in the system.
  Causes:
  
  Financial Year Not Opened: The financial year you are trying to access has not been opened in the system.
  Incorrect Period Settings: The period you are trying to post to is not defined in the fiscal year variant.
  Year-End Closing Not Completed: The previous financial year has not been closed properly, leading to inconsistencies.
  
  Configuration Issues: There may be issues with the configuration of the fiscal year variant or the posting periods.
  
  Solutions:
  
  
  Check Fiscal Year Variant:
  
  Go to the configuration settings for the fiscal year variant (Transaction code: OB29).
  Ensure that the previous