Inventory Write-Off Troubleshooting Checklist

Problem: During inventory write-off, the system does not allow the document to be posted.

Use this checklist to investigate issues when an Inventory Write-Off document cannot be posted or when inventory quantities in the document do not match the expected available inventory.

The checklist helps identify possible causes related to inventory balances, inventory dimensions, system settings, inventory registers, document processing, and warehouse processes.

Follow the steps below to identify the source of the discrepancy and apply the appropriate correction.

1. Check Stock Balance (by Warehouse) report

Run the Stock Balance (by Warehouse) report for the same date, company, and warehouse as the Inventory Write-Off document.

Review the item balance in the report and verify:

• whether the item has a quantity balance;
• whether the balance is recorded for the correct warehouse;
• whether the balance is available under the required inventory dimensions.

If the source of the discrepancy is not identified, continue with the following checks.

      2. Check inventory dimensions

Verify that the item balance is recorded under the same inventory dimensions as the Inventory Write-Off document.

Check the following dimensions:

• warehouse;
• entity;
• batch;

      3. Check Control Balances setting

Verify that Control Balances is enabled.

When Control Balances is enabled, the system prevents posting documents if there is insufficient inventory balance.

If Control Balances is disabled, documents can be posted even when sufficient inventory quantity is not available. This may lead to inventory discrepancies that can affect further operations, including Inventory Write-Off.

        4. Check Separate Inventory and Financial Documents setting

Verify whether the Separate Inventory and Financial Documents option is enabled.

If the option is disabled:

Inventory Write-Off updates both financial and warehouse inventory registers. When the document is posted, the warehouse quantity is reduced.

If the option is enabled:

Financial inventory movements and warehouse inventory movements are processed separately.

Inventory Write-Off updates financial registers but does not reduce warehouse stock.

For sales transactions, verify that the required warehouse document (Material Dispatch Note) was created and posted.

If the Material Dispatch Note is missing, the warehouse inventory register is not updated. As a result, the item may still appear in the warehouse balance and may be included in Inventory Write-Off when using Fill by balance.

Create and post the required Material Dispatch Note to update the warehouse stock.

         5. Check financial inventory availability

If the warehouse report shows available quantity, but Inventory Write-Off cannot be completed due to insufficient inventory availability, check the financial inventory register.

The Stock Balance (by Warehouse) report shows warehouse quantities based on the Inventory on hand accumulation register (warehouse quantity register).

However, Inventory Write-Off checks inventory availability based on the Inventory and expenses accumulation register (financial inventory register).

A discrepancy may occur when:

• warehouse quantity exists, but financial inventory availability is missing;
• documents affect only one of the registers;
• documents were posted in an incorrect sequence;
• documents were not reposted after corrections.

Common documents that may cause register discrepancies:

• Invoice Received;
• Inventory Transfer;
• Inventory Write-Off.

How to investigate

1. Open Stock Balance (by Warehouse) and review item movements in the Inventory on hand accumulation register.
2. Open Statement of Inventory (by Warehouse) and review item movements in the Inventory and expenses accumulation register.
3. Compare:
   • document postings;
   • posting sequence;
   • document status.

Identify the document that caused the difference between warehouse and financial inventory data.

        6. Check Goods in Transit

Review the Goods in Transit section in the Stock Balance (by Warehouse) report.

If the item quantity is shown in this section, verify whether the related inventory transfer or dispatch processes have been completed.

Check whether:

• required warehouse documents exist;
• transfer or dispatch documents are posted correctly;
• inventory movements are completed.

Incomplete inventory processes may cause quantities to remain in Goods in Transit instead of being reflected as available warehouse stock.

In some cases, if an Inventory Write-Off was posted but the corresponding warehouse document (Material Dispatch Note) was not created, the quantity may remain in the Quantity to Disposal section.

After the required warehouse document is created and posted, the outstanding quantity should be cleared.

Summary

• Stock Balance (by Warehouse) shows warehouse inventory quantities.
• Inventory Write-Off uses inventory availability from financial inventory registers.
• Differences between warehouse and financial registers may cause unexpected results during write-off operations.

Check inventory dimensions, settings, document processing, inventory registers, and other possible causes to identify the source of the discrepancy

When the Separate Inventory and Financial Documents option is enabled, the system does not write off items from the warehouse (stock) registers.

To ensure that the item is properly written off from inventory registers and does not appear in the Inventory Write-Off document, an additional Material Dispatch Note must be created.

Go to Warehouse module - Warehouse Documents - Material Dispatch Note, and create a new document.

Fill in the Company field and select the required Warehouse on the main tab.

On the Inventory tab, specify the item and the quantity of goods sold. Save and post the document.

Then proceed with the Inventory Write-Off. The sold items will no longer appear in the Inventory Write-Off document.

Opposite scenario: no stock is available for operations because the financial register shows zero, while the warehouse report still shows a balance

In such cases, the system may block operations (e.g., Write-Off) due to lack of financial availability.

This type may be found with Stock Balance (by Warehouse) report

Navigate Warehouse - Reports - Stock Balance (by Warehouse)

Top Section (Stock Balance)

Data source:

• Inventory on hand  accumulation register (warehouse quantity register)

This report reflects physical stock in the warehouse (e.g., 100 units).

However:

• Write-Off checks the Inventory and expenses accumulation register (financial accounting).

If no stock exists in the financial register, the operation cannot be completed.

Why discrepancies occur

Typical reasons:

• Different posting sequences
• Documents affecting only one register

Common document types:

• Invoice Received
• Inventory Transfer
• Inventory Write-Off

How to investigate

1. Open Stock Balance and drill down into movements for Inventory on hand accumulation register
2. Open Statement of Inventory (by Warehouse) and review Inventory and expenses accumulation register data
3. Compare:
   • document postings
   • sequence
   • status

This helps identify which document caused the discrepancy.

Goods in Transit (Bottom Section)

This section is based on two registers:

• Inventory to Receive → Quantity to receive accumulation register
• Inventory to Transfer → Quantity to Disposal accumulation register

In the current example, the user can verify that a financial write-off was performed (Inventory Write-Off for 100 units), while no corresponding warehouse document (Material Dispatch Note) was created. As a result, the quantity of 100 is reflected in the Quantity to Disposal column.

And if Material Dispatch Note will be correctly generated, report will not show any outstanding balances:

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