What is preclosing in SAP PSM - Public Sector Management?

SAP Term: preclosing

• Component: PSM

• Component Name: Public Sector Management

• Description: A function that enables users to satisfy legal requirements for certain accounts or commitments, such as those arising from purchase requisitions, purchase orders, or earmarked funds. These must be closed or rolled up before the fiscal year itself can be closed. For this, budget may need to be transferred out of some accounts, so that the accounts can be closed before the year-end closing run.

Smart SAP Assistant

• Key Concepts: 
  Preclosing is a process in SAP Public Sector Management (PSM) that allows users to close out the current fiscal year and begin the new fiscal year. This process is used to ensure that all financial transactions are properly accounted for and that the new fiscal year is ready to begin. Preclosing also helps to ensure that all financial data is accurate and up-to-date. 
  
  How to use it: 
  To preclose in SAP PSM, users must first complete all necessary financial transactions for the current fiscal year. Once this is done, users can then begin the preclosing process. This involves running a series of reports and checks to ensure that all financial data is accurate and up-to-date. Once this is done, users can then close out the current fiscal year and begin the new one. 
  
  Tips & Tricks: 
  It is important to ensure that all financial transactions are completed before beginning the preclosing process. This will help to ensure that all financial data is accurate and up-to-date. Additionally, it is important to run all necessary reports and checks before closing out the current fiscal year. This will help to ensure that all financial data is properly accounted for and that the new fiscal year is ready to begin. 
  
  Related Information: 
  For more information on preclosing in SAP PSM, please refer to the official SAP documentation or contact your local SAP support team. Additionally, there are many online resources available that provide detailed instructions on how to preclose in SAP PSM.