Solution Briefs

Tracking (Project) Expenses With Internal Orders In Sap


Companies are looking for an easy and simple process to track expenses by project or other collector in addition to Cost Center. The cost center has to remain the primary cost assignment for any purchases. To facilitate the tracking of the cost for a project, a statistical internal order can be used. The statistical order is entered as a secondary account assignment on the purchase requisition and order. If the appropriate planning and budget values are maintained for the internal order, the internal order can be used for funds availability control in requisition and purchase order.

Process Outline

The following outline provide a walk-through of how an internal order can be used to collect expenses for a certain task, activity, or project.

Create an internal order

The first step is to set up an internal order. Create the order using the appropriate order type e.g. 0400 = Marketing. Assign a company code and the responsible cost center.


Set the order to be “Statistical”and release the order:


No further maintenance required. Save

Enter budget or plan values for internal order

Enter overall and annual values


Enter budget to activate Availability Control

Enter some budget amounts


Enter standard purchase requisition

Enter account assignment “X” on the purchase requisition. This will allow to assign more than one cost object.

Enter remaining requisition data
Enter account assignments as needed


For multiple account assignments, make the appropriate selections for the distribution of the costs (e.g. percentage distribution & distribute proportionally)

Convert requisition to purchase order

Create a PO and add the requisition to the PO


Verify all data has been copied correctly
Make any necessary adjustments (e.g. Tax codes, texts,…)

Post goods receipt to confirm receipt of services

Just use the regular Receiving process to confirm the goods or services have been received.

Enter vendor invoice

Use the regular supplier invoice entry to record the invoice against the PO.

Review project expenses

Now let’s explore how we can see the cumulated expenses for our project in SAP

Track assignments in budget view


Track actual spend (invoice posted) in order cost analysis


View budget and commitments


View commitment detail

As we can see, by using the standard instrument of Internal Order in SAP, we have a variety of reports availabe that can help us track and monitor expenses for a project.

Learn more about Tracking Expenses with Internal Orders in SAP:

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