What is 'exempt cost element' in SAP PS - Project System?

exempt cost element - Overview

• Component: PS

• Component Name: Project System

• Description: A cost element for which no availability check is performed.

exempt cost element - Details

• 
  Key Concepts: 
  Exempt cost elements are used in the Project System (PS) component of SAP to identify costs that are not to be included in the project budget. These costs are typically related to overhead expenses, such as administrative costs, that are not directly related to the project. 
  
  How to use it: 
  Exempt cost elements can be created in the PS component of SAP by navigating to the “Cost Elements” tab and selecting “Create Exempt Cost Element”. Once created, these cost elements can be assigned to a project and will be excluded from the project budget. 
  
  Tips & Tricks: 
  When creating exempt cost elements, it is important to ensure that they are properly assigned to the correct project. This will ensure that the correct costs are excluded from the project budget. 
  
  Related Information: 
  For more information on exempt cost elements in SAP, please refer to the official SAP documentation at https://help.sap.com/viewer/product/SAP_PROJECT_SYSTEM/731/en-US.