Use financial classifications to label department costs with values such as Fund, Cost center, and Account. In FTE Tree these are called general ledger segments. Create the allowed codes first, then choose which values each department uses and when they start. This setup is part of Workforce Budgeting.

The department structure determines where a department belongs. Financial classification determines which financial codes it uses. Changing a classification does not move the department or grant access.

Before you begin

You need the Manage departments permission to configure segments and department values. Viewing financial reports requires the matching financial permission. See Roles and permissions.

Configure segments

  1. Open the general ledger segment list from organization settings.
  2. Create one segment for each part of the classification, using a recognizable Segment name.
  3. Enter the Separator used between this segment and the next. Leave it blank when codes join without punctuation.
  4. Select Required when departments must have a value for this segment.
  5. Select Position account segment for the one account part chosen with job classifications and adjustments, such as Account. Only one segment can use this setting. Choose its value with the relevant job classification or adjustment, not on the department form.
  6. Save, then arrange the segments in the order used by your financial reporting.
  7. Open each segment and add its allowed values.

For example, Fund 100, Cost center 420, and Account 5100 can appear as 100-420-5100 when the separators are hyphens. Agree on names, order, and required parts before entering many department values.

Review affected departments and reports before changing segment order or availability. Make an obsolete segment unavailable to prevent new assignments while keeping its history.

Maintain segment values

Open the segment’s value list and add a Code with an optional Description. Use the code expected by your financial process and a description people can recognize.

A code is fixed after creation. If the financial code changes, create a new value and assign it from the correct effective date. Do not rename an old code to mean something else.

Use Make unavailable when a value should no longer be chosen for new assignments. Earlier department assignments remain in history. Review the departments using the value before changing its availability.

Assign values to a department

  1. Open the department’s Details, choose GL string, then choose Add change to open the entry form.
  2. Choose the Effective date on which the classification should begin.
  3. Choose one available value for each department segment.
  4. Review any value inherited from a higher-level department.
  5. Enter an action note when requested and save.
  6. Confirm the resulting general ledger account and dated timeline.

If no segments appear, configure them first. The Position account segment is maintained through job classification or adjustment account choices, so it is not an additional department choice on this form.

Review dates and inherited values

Department financial values have an Effective date and no end date. The latest effective date on or before the selected day applies. If two values share that date, the most recently saved one applies. Earlier values and future scheduled changes remain in history.

None uses the value inherited from a higher-level department on the selected effective date. This also applies when clearing a department’s own value. The choice shows the department and code being inherited.

An available Required segment needs a direct or inherited value. If nothing is inherited, choose a value before saving. An optional segment may remain blank. Unavailable segments keep their history without requiring new assignments.

For example, Operations uses Fund 100. A lower-level department that selects None for Fund uses 100. Choosing Fund 200 on that lower-level department gives it its own value from the selected effective date.

Review lower-level departments when changing a higher-level value or moving a department: inherited values can change with the hierarchy and effective date. Record a later change for a new financial assignment; correct an earlier entry only when that entry was wrong.

Check the result

Review the department immediately before the change and on its effective date. Confirm segment order, separators, required values, and the complete classification. Check a lower-level department that inherits values and one that has its own value.

Open the timeline and Activity history to confirm what was saved. Run the relevant financial report when you need a saved result for review. A completed earlier report does not change when department setup changes.

Form choices

Use this reference to choose form values. Available choices depend on the task, selected date, and your access.

Account value

Select a value for this department or leave None to inherit the parent department’s value.

A required account segment must be supplied directly or through a parent. An optional segment can remain blank when there is no inherited value. After saving, review the complete department account on the effective date; the selected value alone may not show the final inherited account.

Required account segment

Require this part of the department account when a complete account must include it.

A department can satisfy a required segment with its own value or an inherited parent value. Making a segment required can expose missing classifications in departments without either. Review representative parent and child departments before changing the requirement.

Optional practice: give a department the right financial classification

For exercises that change records, use a separate practice organization and complete the preparation below.

Practice steps and checks

Use a separate practice department.

  1. Create the needed classification value.
  2. Assign it to the parent department and open the child to see the inherited value.
  3. Give the child its own value beginning July 1, 2027.
  4. Compare June 30 with July 1.
  5. Run a new financial report and check the classification shown.

The child’s own value takes the place of the inherited choice where the settings allow that. To return to inheritance, select None and an effective date. This records an inherited-value choice; it does not delete the direct value or bring back an older direct choice. Check the inherited code on that date.

These values help organize financial results. They do not enter an employee’s pay or create another assignment. See comparing report totals if the report differs.