Cash and Liquidity Management: Memo Records

Hello and welcome to the blog post for Memo Records for S4HANA Cash Management. This blog provides some basic understanding on the Memo Records with respect to Cash Management.

1. Memo Records: Brief Overview.

Memo Records can be understood as Incoming and Outgoing payments that are not transferred to the SAP Cash Management System via actual postings and can be entered manually in the planning. You differentiate between the payment advice that is relevant for the cash position and the planned items relevant for the liquidity forecast. for the cash position and the planned items relevant for the liquidity forecast.

The central Fiori app to handle memo records is Manage Memo Records (App ID – F2986). You can create, reactivate, archive, or delete memo records/intraday memo records via the app. You can refer the Fiori App Library – Memo Records to complete the configuration required for a user to access the app.

2. Basic Features of Fiori App Manage Memo Records

• Creation of Memo Records:

1. Open Manage Memo Records.
2. Select Create Memo Record (Refer below image)

Create Memo Record

3. Provide relevant Company Code, Planning Level, Amount, and Bank Account Information along with any additional data you might want to enter.
4. Click Create.

• Expiration date for Memo Records:

It’s the standard system design that the expiration date in Manage Memo Records is not mandatory. It is the same in the backend for FF63 transactions as well. This is done because sometimes businesses do not have a planned expiry date and prefer to manually expire the memo records, based on their needs.

For Intraday memo records, from On-Prem 1809, for intraday memo record archiving date will not get set. Intraday Memo records will only auto-expire when the next set of intraday day memo records for the same bank account gets uploaded again.

• Planning Levels in Manage Memo Records App

Manage Memo Records App will only allow planning levels with source symbols BNK or PSK which represent Bank Accounts and Sub Accounts respectively. The app would be used to create memo records only for active bank accounts which would be reflected on cash reports accordingly. If you want to load custom planning levels with different source symbols use FF63 transaction or report RFTS6510 for mass upload of memo records.

• How does the distribution/copy in Manage Memo Records work:

Let us take an example to understand this: We create a memo record with an amount of 100 EUR and distribute the memo record with 4 no. of copies. The recurrence pattern was set to “Everyday: 2”.

Copy / Distribute Memo Record

When you click on distribute, it will ask you to set the number of copies the original amount needs to be divided into i.e. If you set the number of copies as 4, 100 EUR will get divided into 4 memo records of 25 EUR each.

The recurrence pattern denotes the time duration between the memo records. Since I set the recurrence pattern to “Everyday: 2”, memo records will get created for every alternate day i.e., if the value date of the original memo record is 15.03.23, then the other 3 memo records will get created on 17.03.23, 19.03.23 and 21.03.23. If the recurrence pattern is set for n days, then on every nth day, a memo record will be created.

Since I have selected “Run on next working day”, the memo record for 19th March (Sunday), will be created on 20th March and the next memo record will be created on 22.03.23 (i.e., every 2nd day). The same goes for if we select “Run on previous working day”.

Another point to note here is, the original amount of the memo record will get distributed, which means the original amount of 100 EUR will no longer be present.

• How is the data viewed in FF7AN?

First, define the planning level for memo records in the Define Planning Levels Customizing activity. You can find this Customizing activity in Customizing under Financial Supply Chain Management Cash and Liquidity Management Cash Management Planning Levels and Planning Groups. We must make sure that the planning level defined for Memo Records, is not used for any other accounting document. The same planning level cannot represent two Certainty Levels in table FQM_FLOW (One Exposure).

Second, make sure to activate the Source Application for One Exposure (FI). If you wish to view data in FF7AN, you must maintain the planning level under a certain Summarization Term in ‘Maintain Structure’ under ‘Grouping’ in the SPRO transaction.

In FF7AN, the delta view will only show the amount on the transaction date. This is as per standard design. The same goes for, Delta view with balances too. The opening balance would show for all the dates until the memo record is active. If you want to see the cumulative total of balances, select Cumulative display. The balances will include the memo record amounts for all the dates, till the memo record is active. Once expired, it would not show the balance anymore. You can read SAP Note 24081, which explains the concept of the expiration date. Another point to add here is since the memo record is active, the balances in FF7AN will show for the rest of the dates (i.e., beyond the expiration date) as well. Once the memo record expires, the balances adjust accordingly.

3. More Information vis-à-vis Memo Records.

You can refer to Note 2781585, to read more about the functionality of Memo Records. You can also refer to KBA 2530138, Symptom 16, and the central KBA 3327122. Kindly make sure to have implemented the notes relevant to respective OP releases, so that the functionality works seamlessly.

I hope this blog provides some insight and understanding regarding Memo Records and their behavior in Cash Management. Please feel free to give your feedback, suggestions, and questions in the comments below.