Bank sub accounts concept

Question

Hi All,
Where do we define Bank Sub accounts in img and what is the use of it.
I would appreciate if somebody could explain me in detail.
Thanks in advance.

Answer 1

Hi,
Bank Subaccounts are used for Bank Reconciliation through EBS or Manual Bank statement. Hope you can understand with the following explanation.
Configuring the Electronic Bank Statement and Manual Bank Statement
Electronic bank statement – It is an electronic document sent by the bank which gives details of the transactions done by the account holder in electronic form. The electronic document can be remitted by the bank in the following formats SWIFT, Multicash BAI etc., (http://www.bai.org/operations/reportingcodes.asp)This statement is used in SAP to do an automatic reconciliation. The statement is uploaded in SAP and it clears the various Bank clearing accounts such as the Chk out, Chk in account to the main bank account.
In our scenario we have following bank GL codes (Sub accounts) for our Bank:-
111410     ICICI Bank – Main Account
111411     ICICI – Check Issued Out
111412     ICICI – Outgoing w/tfr
111415     ICICI – Other interim posting
111419     ICICI – Check Received
Checks issued out to vendors will be credited to G/L code 111411 - ICICI Check Issued out Which is a clearing account.
Similarly Checks received from customers are debited to GL Code 111419 – ICICI Check received which is a clearing account.
When the bank statement is uploaded in SAP the following will happen:-
For Checks issued out – based on checks cleared in the bank account the following entry will be passed automatically.
GL Code          Account Description               Debit/Credit
111411          ICICI – Check Issued Out          Debit
111410          ICICI Bank – Main Account          Credit
For checks received in – based on checks cleared in the bank account the following entry will be passed automatically.
GL Code          Account Description               Debit/Credit
111419          ICICI – Check Received          Credit
111410          ICICI Bank – Main Account           Debit
Thus after uploading the bank statement in the system, the main bank account i.e. GL code 111410 - ICICI Bank – Main Account will exactly match with the balance shown in the bank. All the clearing accounts having open line items will be the reconciliation items.
Manual bank statement – In case the bank is not able to give an electronic statement then the statement can be manually entered in the manual bank statement and uploaded.
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Regards
Raghu Ram