ANS-0260 · ACCOUNTING & FINANCIAL CONFIGURATION
How NetSuite Allocation Schedules Distribute Source Account Balances
Understand how NetSuite's allocation schedule feature calculates and distributes expenses across destination accounts based on weighted values.
Short answer
NetSuite allocation schedules distribute the *total* balance of source accounts to destination accounts based on weighted values. Although the core design allocates the full balance, NetSuite allows for 'adding the amount to the destination account and leave the balance in the source account' for reporting, enabling partial allocation without transferring the original balance.
Scenario
Users configuring NetSuite allocation schedules may observe that the system distributes the entire balance from the source account(s), rather than only a portion, even when specific weighted amounts are defined for destination accounts. This behavior can lead to questions regarding how the allocation calculation is performed and if partial allocations are supported.
Solution
NetSuite's allocation schedule feature is designed to take the total balance of the source account(s) and distribute it across the destination accounts. While the core functionality primarily distributes the total source balance, NetSuite's current interface includes an option to 'add the amount to the destination account and leave the balance in the source account' by selecting a credit account on the Source subtab. This allows for allocating 'portions' for reporting purposes without transferring the amount out of the source account.The calculation for distributing the total balance is performed as follows, using the provided example:Weighted values specified are 10,000 + 5,000 + 3,000 = 18,000Weights are calculated as:
10,000/18,0005,000/18,0003,000/18,000Given a total balance of the source account(s) of 20,000$, the amount allocated to each destination account is:
20,000*(10,000/18,000)20,000*(5,000/18,000)20,000*(3,000/18,000)An enhancement request, # 296127 - Create Allocation Schedules > ability to source only part of the Expense amounts during allocation, has been opened to address the ability to source only a portion of expense amounts during allocation.
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