3505874 - Budget check is not working

It's expected that after PO/PR is created, the budget check function should raise error/warning if the amount exceeds the limit.
However, it's not the case. There is no error/warning.

SAP S/4HANA Cloud Public Edition

There are several reasons for the issue.
Please check Resolution area for details.

General causes and solutions:

1. Scope Item 2I3 is not activated
 It's mandatory that non-default scope item 2I3 is active for the budget check to work. It's the pre-condition for PO/PR to generate the commitment value.

2. There are some restrictions on posting commitment value in the restriction Note 3450904 in the section "Predictive Accounting: Predictive Commitments Management".
 There are some most relevant items. Copy them here:
 - Only projects (WBS elements) and cost centers are supported as account assignment types.
 - Only purchase orders and purchase requisitions are supported.
 - Purchase orders or purchase requisitions using a G/L account of cost element category 90 (on tab/sub-screen “account assignment”) is not supported, because the G/L account type is "Balance Sheet Account". Therefore, the account assignment wbs-element in combination with asset is not supported.
 - Commitments from down payments are not supported.
 - Commitment overhead calculation is not supported.

3. If you are working with project as assignment, please make sure the posting accounts are assigned to the relevant semantic tag(by default it's ACT_COST). You can verify or change setting in SSCUI 102413 "Maintain Budget Availability Control Profile for Projects".

4. Budget check option need to be active on master data level:
 - For project assignment -> "Budget Availability Control Profile" needs to be assigned to the project master data, and "Budget Availability Control is Active" need to be "Yes".
 - For cost center assignment -> "Budget Availability Control Profile" needs to be assigned to the cost center master data, and "Budget Availability Control is Active" need to be "On".

5. Budget cannot be activated by receiving credit memo's (so-called negative cost). The credit memo is classified as not budget relevant. Hence, no budget availability check was performed during the creation of the credit memo. Usually, commitment, goods receipt and invoice (with positive cost) are budget relevant, and during their creation budget availability check would be performed.

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