How To Fix RE127 - FM area currency and controlling area currency do not agree

SAP Error Message - Details

• Message type: E = Error

• Message class: RE - Earmarked funds

• Message number: 127

• Message text: FM area currency and controlling area currency do not agree

What causes this issue?

You have chosing a company code which is assigned to both an FM area
and a controlling area. The currency in the FM area is &V1&, but that
in the controlling area is &V2&. This cannot be reconciled.

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?

Check the local currencies in your FM area and controlling area.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message RE127 - FM area currency and controlling area currency do not agree ?

  The SAP error message RE127 indicates that there is a mismatch between the currency used in the Financial Management (FM) area and the currency used in the Controlling (CO) area. This can occur in various scenarios, particularly when dealing with budget management, cost planning, or financial reporting.
  Cause:
  
  Currency Configuration: The FM area and CO area may be configured to use different currencies. For example, the FM area might be set to use a local currency (like USD), while the CO area is set to use a different currency (like EUR).
  Master Data Issues: The master data for the FM area or CO area may not be correctly set up, leading to inconsistencies in currency settings.
  Transaction Data: When posting transactions, if the currency of the transaction does not match the expected currency of the FM area or CO area, this error can occur.
  
  Solution:
  
  
  Check Configuration:
  
  Go to the configuration settings for both the FM area and CO area in SAP.
  Ensure that both areas are set to use the same currency. This can typically be found in the configuration settings under Financial Management and Controlling.
  
  
  
  Review Master Data:
  
  Check the master data for both the FM area and CO area. Ensure that the currency settings are consistent and correct.
  If there are discrepancies, update the master data to align the currency settings.
  
  
  
  Transaction Review:
  
  Review the transactions that are causing the error. Ensure that they are being posted with the correct currency.
  If necessary, reverse or adjust the transactions to match the expected currency.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help resources for specific guidance on handling currency issues in FM and CO areas.
  
  
  
  Testing:
  
  After making changes, perform test transactions to ensure that the error does not reoccur.
  
  
  
  Related Information:
  
  Transaction Codes: You may need to use transaction codes like OB08 (for currency settings) or OKB9 (for controlling area settings) to check and adjust currency configurations.
  SAP Notes: Check SAP Notes for any known issues or patches related to this error message. SAP frequently updates its knowledge base with solutions for common problems.
  User Roles: Ensure that you have the necessary authorizations to make changes to the configuration and master data.
  
  If the issue persists after following these steps, it may be beneficial to consult with your SAP support team or a functional consultant who specializes in Financial Management and Controlling.