How To Fix WS281 - Settlement document type &1 is not defined for settlement of expenses

SAP Error Message - Details

• Message type: E = Error

• Message class: WS - Supplier Billing Document

• Message number: 281

• Message text: Settlement document type &1 is not defined for settlement of expenses

What causes this issue?

Settlement document type &V1& has not been defined for the settlement of
expenses. Use a settlement document type with settlement category &V2&.

System Response

The system does not allow the expenses to be settled.

How to fix this error?

Choose a different settlement document type.

Alternatively, change the Customizing settings for settlement document
type &V1&.

Procedure for System Administrators

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

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message WS281 - Settlement document type &1 is not defined for settlement of expenses ?

  SAP Error Message:
  
  WS281: Settlement document type &1 is not defined for settlement of expenses
  
  Cause:
  This error occurs when you try to settle expenses using a settlement document type that is not configured or allowed for expense settlement in the system. In SAP, settlement document types control how settlement documents are posted and processed. If the document type you are using is not assigned or defined for expense settlement, the system throws this error.
  
  Explanation:
  
  Settlement document types are defined in SAP to categorize and control the posting of settlement documents.
  Each settlement document type must be configured to allow settlement of expenses.
  If the document type used in the settlement rule or during the settlement run is not maintained for expense settlement, the system cannot process the settlement and raises this error.
  
  
  Solution:
  
  
  Check the Settlement Document Type Configuration:
  
  Go to transaction code SPRO ?
  
  Controlling ? Internal Orders ? Settlement ? Define Settlement Document Types
  
  (Path may vary slightly depending on SAP version)
  Verify if the document type mentioned in the error (&1) is defined here.
  
  
  
  Assign the Document Type for Expense Settlement:
  
  If the document type is missing or not assigned for expense settlement, you need to define or adjust it.
  Ensure that the settlement document type is configured to allow settlement of expenses.
  You may need to create a new settlement document type or modify an existing one to include expense settlement.
  
  
  
  Check Settlement Profile:
  
  Settlement profiles control how settlement is processed.
  Verify the settlement profile assigned to the order or cost object.
  Ensure that the settlement document type used is compatible with the settlement profile.
  
  
  
  Adjust the Settlement Rule:
  
  Check the settlement rule assigned to the order or cost object.
  Make sure the settlement rule uses a valid settlement document type for expenses.
  
  
  
  Testing:
  
  After making the necessary configuration changes, test the settlement process again.
  
  
  
  
  Related Information:
  
  Transaction Codes:
  
  KO88 - Order Settlement
  KSU5 - Execute Settlement
  SPRO - Customizing (for configuration)
  
  
  Tables:
  
  T880 - Settlement Document Types
  T880T - Texts for Settlement Document Types
  
  
  Notes:
  
  Always ensure that the settlement document type aligns with the business process and posting requirements.
  Changes in configuration should be tested in a development or quality system before moving to production.
  
  
  
  
  Summary:
  The error WS281 indicates that the settlement document type used is not defined or allowed for expense settlement. To fix this, verify and configure the settlement document type in SAP customizing to enable expense settlement, and ensure that the settlement profile and rules are consistent with this configuration.