How To Fix KD240 - Settlement of incoming order data only allowed with receiver cat. PSG

SAP Error Message - Details

• Message type: E = Error

• Message class: KD - CO Settlement

• Message number: 240

• Message text: Settlement of incoming order data only allowed with receiver cat. PSG

What causes this issue?

You can only settle incoming order data to a profitability segment.
During settlement of the incoming order data, the system considers the
manually created distribution rules for incoming orders. If no
distribution rules have been maintained for the incoming orders, the
system copies the actual rule to the profitability segment.
You have either:
Created a distribution rule for the incoming orders with a receiver
that is not a profitability segment or
No distribution rule exists for the incoming orders
And there is no actual rule for the receiver "Profitability segment".

How to fix this error?

Maintain the settlement rules for the sender. Create a distribution
rule with receiver "Profitability segment" for settlement of the
incoming orders.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message KD240 - Settlement of incoming order data only allowed with receiver cat. PSG ?

  The SAP error message KD240, which states "Settlement of incoming order data only allowed with receiver category PSG," typically occurs in the context of controlling and settlement processes in SAP, particularly when dealing with internal orders or projects. This error indicates that the system is expecting a specific type of receiver category (in this case, PSG - Project Settlement Group) for the settlement of the incoming order data.
  
  Cause:
  
  Incorrect Receiver Category: The error usually arises when the receiver category for the settlement is not set to PSG. This can happen if the configuration for the order or project is not aligned with the expected receiver category.
  Order Type Configuration: The order type being used may not be configured to allow settlement to the intended receiver category.
  Settlement Profile: The settlement profile assigned to the order may not be set up correctly to handle the incoming order data.
  
  
  Solution:
  
  Check Receiver Category: Ensure that the receiver