New validation was implemented (by hotfix ID 1025443) to ensure that no cross-year ledger settlements exist before enabling the "Partial ledger settlement" GL parameter. It should prevent problems with out-of-balance error during the year-end close.
This validation makes sense only when the "advanced awareness option" is enabled in the current - open - fiscal year, which may have transactions settled with transactions from previous years and the customer wants to enable "Partial ledger settlements" in the next step. In this scenario, validation should block enabling "Partial settlement" because once partial settlement is enabled, "Enable advanced awareness options" (GL parameter) will be permanently enabled. And cross-year ledger settlements are impossible to reverse when "Enable advanced awareness options" GL parameter is enabled. If cross-year ledger settlements are kept, they will cause an out-of-balance error during the year-end close. It will be hard for the customer to mitigate the issue in this situation.
However, if "advanced awareness options" was enabled before closing the previous year, the cross-year settlement reversal for that year was performed and year was closed correctly. According to documentation, ledger transactions that are settled across fiscal years could remain settled if they weren't settled against a transaction that was posted into year that's being closed.
Therefore, there should be no problem with the year-end closing process in the current year, which was open with enabled "advanced awareness options" and without any cross-year settlements, even if partial settlements were enabled.
Comments
Please, reconsider that idea again! According to the official documentation - before I enabled Advanced awareness I resettled cross-year settlements according to this information : Enable advanced awareness options parameter before year-end close using the inquiry page - Finance | Dynamics 365 | Microsoft Learn"Follow these steps if your organization wants to use the Enable advanced awareness options parameter before you run the year-end close for fiscal year 2022. NoteThe year-end close for 2021 and earlier fiscal years must be rerun only if new transactions are posted into fiscal year 2021 or earlier. When you complete the following procedure, no new transactions are posted into 2021. Therefore, the year-end close doesn't have to be rerun.Ledger transactions that are settled across fiscal years can remain ledger-settled if they aren't settled against a transaction that was posted into 2022 (the year that's being closed) or later. For example, if you've settled transactions in 2019 and 2020, they can remain settled."
Category: General Ledger
I agree too. Is it possible to reconsider the request ?
Category: General Ledger
I agree. This idea must be kept.
Category: General Ledger
The comment from Administrator does not make sense.We are not able to activate "Partial ledger settlement" due to cross-year settlements between already closed years. But the Advanced awarenes feature has been activated since close of 2024.
Category: General Ledger
Administrator on 8/26/2025 7:22:03 PM
The Advanced awareness feature needs to be enabled before the partial ledger settlements can be enabled. Any new ledger settlement features are only enabled with the Awareness feature turned on so it needs to be on before the partial ledger settlement is enabled.