How To Fix MN259 - Settlement indicator not set for item &1 of document &2

SAP Error Message - Details

• Message type: E = Error

• Message class: MN - Message class for subsequent settlement (Purchasing)

• Message number: 259

• Message text: Settlement indicator not set for item &1 of document &2

What causes this issue?

The indicator "Settlement" exists for each item in a document. This
indicates whether the item is relevant for subsequent settlement
(end-of-period rebate settlement accounting).
Provided that a corresponding requirement (standard system: 026) has
been maintained for the condition type, conditions for "subsequent
settlement" are only set in the price determination process if the above
indicator has been set.
This indicator has not been set for item &V1& of document &V2&.
Nevertheless, business volumes were still updated for an incoming
invoice relating to rebate arrangement &V3&, i.e. the condition record
was used in the price determination process.

System Response

The function "Determination of settlement-relevant business volume data"
was performed despite the fact that the indicator had not been set. This
message is primarily intended to inform you of this.
The business volumes represented by the incoming invoice in question are
relevant to "subsequent settlement".

How to fix this error?

Check that the above item really is relevant to "subsequent settlement"
even though the "Settlement" indicator has not been set. If you intened
this, no error has occurred.
Where applicable, you will find the relevant update transaction
(document number) in the list output for rebate arrangement &V3&.

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

It is likely that no relevant requirement has been maintained in the
calculation schema. Check whether this is intended.
In other cases, the indicator has subsequently been deleted even though
the business volume data had been updated.
If a condition record was used in the price determination process, the
item (including any follow-on documents) is relevant to subsequent
settlement (including in the case of recompilation of business volumes).
Checks hat the business volumes relating to rebate arrangement &V3& are
correct. You can determine the relevant data with the aid of the list
report "Display business volume data" (current status) and "Display
detailed statement" (business volume data direct from documents).
The affected condition record has the (internal) number &V4&.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message MN259 - Settlement indicator not set for item &1 of document &2 ?

  The SAP error message MN259, which states "Settlement indicator not set for item &1 of document &2," typically occurs in the context of settlement processes in SAP, particularly when dealing with internal orders, projects, or other cost objects that require settlement to a different cost object or account.
  Cause:
  The error indicates that the specific item in the document does not have a settlement indicator set. This can happen for several reasons:
  
  Missing Configuration: The item may not be configured to allow settlement. This could be due to missing settings in the order type or the associated master data.
  Incorrect Document Type: The document type may not support settlement, or the item may not be eligible for settlement based on its characteristics.
  Manual Entry Error: The user may have inadvertently left the settlement indicator blank when creating or modifying the document.
  Status of the Document: The document may be in a status that does not allow for settlement, such as being incomplete or not fully posted.
  
  Solution:
  To resolve the error, you can take the following steps:
  
  
  Check the Document: Review the document in question (using transaction codes like KO03 for internal orders or CJ03 for projects) to ensure that the settlement indicator is set correctly for the item.
  
  
  Set the Settlement Indicator:
  
  If the settlement indicator is missing, you can set it manually in the document or through the relevant transaction.
  For internal orders, you can do this in the order master data (transaction code KO02) or during the posting process.
  
  
  
  Review Configuration:
  
  Check the configuration settings for the order type or project type in the SAP Customizing Implementation Guide (SPRO). Ensure that the settlement parameters are correctly defined.
  Ensure that the relevant master data (like cost centers, internal orders, or projects) is set up to allow for settlement.
  
  
  
  Check Document Type: Ensure that the document type being used supports settlement. If not, you may need to use a different document type or adjust the settings.
  
  
  Consult Documentation: If you are unsure about the settings or how to proceed, refer to SAP documentation or consult with your SAP support team for guidance.
  
  
  Related Information:
  
  Transaction Codes: Familiarize yourself with relevant transaction codes such as KO03 (Display Order), KO02 (Change Order), CJ03 (Display Project), and CJ02 (Change Project).
  SAP Notes: Check for any SAP Notes related to this error message for additional insights or patches that may address known issues.
  User Authorization: Ensure that you have the necessary authorizations to make changes to the document or master data.
  
  By following these steps, you should be able to identify the cause of the error and implement the necessary changes to resolve it.