The Project WBS Element may track the budget using Availability Control and gather expenses from other MM/PM objects like Purchase Orders, Maintenance Orders, Service Orders, etc. I want to describe how we can use the statistical WBS element to track the budget for employee payroll expenses. This blog’s sole purpose is to illustrate how the FI Substitution Rule may be used to limit budget availability.

The corporation wants to monitor the budget for employee payroll expenses in a project-based organisation. Other techniques, such as adopting internal order or funds management, can also be used to accomplish this. However, I’m presenting a typical scenario in which they want to use the Project System module even though there isn’t an FM module in place.

I used the “Canada Payroll” process as an example because my sandbox has the necessary PS/CO/FI configurations with the IDES business code 4500. I want to express my gratitude to the SAP developers and consultants who produced this data set. Otherwise, all other names stated in these screenshots are fictitious and have just been used to illustrate this example.

Cost Center Assignment in HR

Employees can be assigned a Cost Center in PA Infotype 0001, which HR professionals may already be aware of (Organizational Assignment). Org.unit / Position of the OM module can also be used to allocate this. Using Infotype 27, you can also assign this (Cost Distribution). The cost centre assignment using Org.unit/Position is seen in the following screenshot:

In infotype 27, we can also allocate an employee with a WBS element. However, if I assign here, that will result in a split in the cost, and SAP will attempt to assign the cost to that WBS rather than the allocated cost centre. As previously mentioned, SAP HR has a powerful facility for assigning employees to cost centres and regulating aspects.


Brief about SAP Integration of Payroll with FI/CO:

Employee payroll wage types are connected to symbolic accounts, which are connected to GL accounts for financial posting, as HR professionals may be aware. On these ideas, there are a tonne of sap assistance documents available. With these wage kinds, payroll results will be presented in cluster tables. Setting up the attributes for this posting involves a series of IMG configuration procedures. You can consult those blogs or resources to comprehend the combination of FICO and payroll.

Payroll Posting with FI Substitution:

During the “Payroll Posting to Accounting” Process, I’ll use the “FI” Substitution. Here, I’ll try to implement a statistical WBS element that has active budget availability control anytime an employee with cost centre ‘7150’ is identified. When a GL accounting record is prepared, this will verify the specific GL account and cost centre, and the expense line item will have the “WBS” attribute applied.

Employee Salary in this scenario will be having financial posting to expense accounts with following GL accounts with cost center 7150:

430000 – Salaries / Basge Wages

434000 – Holiday / Vacation Payment

444010 – Employment Insurance

445010 – CPP (Canada Pension Plan)

447000 – EE Benefits

465031 – ON (Ontario) Health Tax

465032 – ON (Ontario) Workers Compensation

The list above is not all-inclusive and is only a sample. In order to link Payroll Symbolic accounts and wage types, there are hundreds of GL accounts present. For the sake of illustration, I’ve only mentioned a small fraction of it.

As shown below, we will use FI substitution to link a statistical WBS element I/4008-1 to each of these expense posting GL line items:

Screenshot of Substitution using tcode ‘GGB1’:

With the above substitution, the cost centre 7150 and this WBS element will be attached to each line item in the GL account record. Analysis of the controlling document.

  1. Each line item will post with value type ’04’ (real cost) with cost center 7150.
  2. Each line item will post with value type ’11’ (statistical cost) with WBS element I/4008-1

If your scenario is more complicated, such as if you need to track numerous cost centres, you might need to employ substitution based on “user leave” or multiple steps. Or, you might need to use the “Fund Management” module if you want to handle the budget for the entire company. Here, I’m attempting to demonstrate how to track costs for a certain cost centre in accordance with a specific criteria.

Now let us see the details of this WBS element along with it’s properties:

Screenshot of Project Definition I/4008 (Tcode: CJ03):

Here ‘Statistical’ Checkbox is important, so that, the cost will not be “real”.

Screenshot of WBS Element:

Budget Profile (Tcode: OPS9):

The availability control will be compared to the annual budget amount because I have not checked “Overall” and “Releases” in this area (not the overall value).

Screenshot of Budget Availability Control:

In the aforementioned example, if 90% of the budget has been used, an error notice must be displayed. You can develop your own strategy in accordance with your company’s needs.

Screenshot of Budget Allocation (Tcode:CJ30):

Payroll Posting Run (PC00_M99_CIPE):

For illustration purposes, I’ve only used the payroll result for one employee. In practise, we frequently post for several employees and payroll locations to cut down on the quantity of FI documents. Due to the fact that I only want to illustrate the concept, I am also labelling this as “Simulation Posting.”

Output of Posting Run:

The status of this posting run is displayed as “Incorrect” on the screen below because there was a mistake with the posting run. We have a budget availability error on the allocated WBS element in this instance.

Posting Document Detail:

Posting Error:

If we look at the specifics of each problem notice, we can determine just how much money is needed to upload this document.

Since payroll posting will be completed automatically using “Payroll Posting to Accounting” using settings like OBYC in the MM module, substitution is required in this scenario (In HR we use OBYE for assigning expense accounts & OBYG for assigning balance sheet accounts). Therefore, we are unable to manually assign a WBS element during the automatic uploading of this GL document.


The FM module or Internal Order can be used to manage the employee salary budget. We can also use the WBS Element to control the payroll budget in project-based organizations, though. The chosen approach will solely be determined by the system components that are active and the needs of the company.