Enhanced interface

Clear MEA allocations—Contracts

You can clear MEA allocations to reset the applicable revenue schedules to the amounts that existed prior to the MEA allocation. Clearing an MEA allocation unposts previously posted revenue, so the applicable reporting periods must be open in order to perform the procedure.

Subscription	Contracts Contract Advanced Revenue Recognition
Regional availability	Australia Canada South Africa United Kingdom United States
User type	Business
Permissions	Contract: List, Edit, Delete
Restrictions	You can only clear an individual MEA allocation if the included contract lines use the Straight line, Daily rate, Quantity-based, or Predefined percentages recognition methods.

About clearing MEA allocations

Suppose you just created a new MEA allocation to include an add-on to the contract, but then you realize you used the wrong effective date. Or say you forgot to include a contract line in the original MEA allocation and now you have several subsequent MEA allocations for the contract. In these scenarios, you can clear one or all MEA allocations.

When you clear an MEA allocation, Intacct rolls back all data to the state it was in before the MEA allocation and sets the MEA allocation scheme to "Inactive.

Clearing an MEA allocation unposts previously posted revenue, so you will not be able to clear an MEA allocation if the reporting period in which the MEA allocation falls is closed. In this scenario, open the reporting period and then clear the MEA allocation.

Example

Let's say we have a contract that has three MEA allocations effective January 1, March 1, and May 1. A Daily rate contract line was included in all MEA allocations, and its revenue schedule looks like this in June:

	Status	Scheduled posting date	Actual posting date	Amount	GL batch	Computation memo
1	Posted	01/31/2023	01/31/2023	196.15	215	Daily rate is 6.32765027322404.
2	Posted	02/28/2023	02/28/2023	183.49	226	--
3	Posted	03/31/2023	03/31/2023	180.43	237	MEA amount 190.79, adjustment amount -10.36. Prorated amount before effective date 03/01/2023 is 0.
4	Posted	04/30/2023	04/30/2023	184.64	267	--
5	Posted	05/31/2023	05/31/2023	159.89	295	MEA amount 184.48, adjustment amount -24.59. Prorated amount before effective date 05/01/2023 is 0.
6	Open	06/30/2023	--	199.19		--
7	Open	07/31/2023	--	199.19		--

If we clear the last active MEA allocation, which is the May 1 allocation, Intacct unposts the May 31 revenue and resets the revenue schedule to the March 1 MEA allocation:

	Status	Scheduled posting date	Actual posting date	Amount	GL batch	Computation memo
1	Posted	01/31/2023	01/31/2023	196.15	215	Daily rate is 6.32765027322404.
2	Posted	02/28/2023	02/28/2023	183.49	226	--
3	Posted	03/31/2023	03/31/2023	180.43	237	MEA amount 190.79, adjustment amount -10.36. Prorated amount before effective date 03/01/2023 is 0.
4	Posted	04/30/2023	04/30/2023	184.64	267	--
5	Open	05/31/2023	--	190.79	--	Between 05/01/2023 and 05/31/2023, daily rate is 6.15457142857142 for 31 days
6	Open	06/30/2023	--	184.64	--	--
7	Open	07/31/2023	--	190.79	--	--

If we clear all MEA allocations, Intacct unposts all revenue and sets the total revenue schedule to equal the billing schedule:

	Status	Scheduled posting date	Actual posting date	Amount	GL batch	Computation memo
1	Open	01/31/2023	--	165.17	--	Daily rate is 5.32786885245901.
2	Open	02/28/2023	--	154.51	--	--
3	Open	03/31/2023	--	165.16	--	--
4	Open	04/30/2023	--	159.84	--	--
5	Open	05/31/2023	--	165.16	--	--
6	Open	06/30/2023	--	159.84	--	--
7	Open	07/31/2023	--	165.16	--	--

Clear an individual MEA allocation

This procedure is only applicable to MEA allocations with contract lines that use either the Straight line, Daily rate, Quantity-based, or Predefined percentages recognition method. If your MEA allocation includes a contract line that uses a different recognition method, see Clear all MEA allocations.

You can clear individual MEA allocations starting with the current MEA allocation. If the contract has multiple MEA allocations, you need to clear each subsequent MEA allocation to get to the point where the MEA allocations need correction. For example, if there are five MEA allocations and the third one is the one with the issue, first clear #5, then clear #4, and then you can clear #3.

The reporting periods must be open. If the reporting periods are closed, open the applicable reporting periods before performing this procedure.

To clear an individual MEA allocation:

Open the applicable contract in Edit mode.
Select the MEA allocations tab.
Select Clear MEA Allocations.
The Clear MEA Allocations dialog box appears.
Select Last active MEA allocation.
The journal name, contract ID, scheme name, and effective date of the MEA allocation that will be cleared appears with a grayed-out selected checkbox.
Select Clear MEA allocation.
The message, "<Scheme name> was set to Inactive" appears.

Clear all MEA allocations

This procedure clears all MEA allocations associated with the contract. For example, if you have five MEA allocations, this procedure will clear all five MEA allocations.

The reporting periods must be open. If the reporting periods are closed, open the applicable reporting periods before performing this procedure.

To clear all MEA allocations in a contract:

Open the applicable contract in Edit mode.
Select the MEA allocations tab.
Select Clear MEA Allocation.
The Clear MEA Allocations dialog box appears.
Select All MEA allocations.
Select Clear MEA allocation.
The message, "All MEA allocations cleared" appears.

Reset revenue when you can't clear MEA allocations

In order to maintain data integrity, there are a few scenarios where you can't use the Clear MEA allocation function, including the following:

The MEA allocation is not the first MEA allocation for a contract and it also includes a contract line that uses a percent complete recognition method.
You revalued a Project time contract line that is participating in the MEA allocation.

In these scenarios, use the following procedure.

To reset the revenue schedules for contract lines in an MEA allocation:

In the applicable contract, create a new MEA allocation that excludes the applicable contract lines. For example, exclude the Project time contract line.
Manually edit the MEA amount for each contract line in the new MEA allocation to equal its Ext txn value and save the MEA allocation.

Troubleshoot clearing MEA allocations

Problem	Possible solution
The <MEA allocation scheme> cannot be cleared. The revenue schedule for one or more contract lines has one or more scheduled entries occurring before the MEA effective date <date> that have been manually edited. Edit the revenue schedules to change the scheduled entries back to the default values and then try clearing the MEA allocation.	Intacct lets you edit revenue schedules so that you can customize the scheduled amounts and posting dates as desired. If a contract line is participating in an MEA allocation effective a certain date and you've edited its revenue schedule to change the scheduled entries to post prior to the effective date, you can't clear the MEA allocation. In this scenario, edit the applicable revenue schedule to set the scheduled dates and amounts back to their default values and then try clearing the MEA allocation.
The <MEA allocation scheme> cannot be cleared. A discount was distributed to other contract lines between MEA allocation <scheme name1> and <scheme name2>. To correct the MEA allocation in this situation, create a new MEA allocation dated <scheme name2 date> that only includes the contract lines that were included in MEA allocation <scheme name1>.	Say you have an MEA allocation named 1st MEA that's effective June 15. Later, you create a subsequent MEA allocation named 2nd MEA effective August 1. In July, you distribute a discount contract line to contract lines that participate in 2nd MEA but not 1st MEA. Then you try to clear 2nd MEA and get this error. In this scenario, create a new MEA allocation effective August 1 that only includes the contract lines that were included in 1st MEA. Excluding the other lines resets the total revenue schedules to equal their billing schedules.
I can't clear MEA allocations for a contract. The last active MEA allocation includes one or more contract lines that use project-based recognition methods. Clear MEA was not successful. Clear MEA one by one was not successful.	You can only execute the Clear last MEA allocation function on MEA allocation schemes that include contract lines with Straight line, Daily rate, Quantity-based, or Predefined percentages recognition methods. You can't Clear all MEA allocations when: The MEA allocation is not the first MEA allocation for a contract and it also includes a contract line that uses a percent complete recognition method. You revalued a Project time contract line that's participating in the MEA allocation. In any of these scenarios, see Reset revenue schedules when you can't clear MEA allocations.
The revenue posted on <date> is tied to the adjustment resulting from the MEA allocation effective<date>. To clear this amount, clear the MEA allocation.	This occurs when you are trying to clear an adjustment entry that's associated with a contract line with a Completed revenue schedule that was included in an MEA allocation effective after the completion date. The adjustment entry can't be cleared. If you want to clear the entry, clear the applicable MEA allocation. If the contract line is using a percent complete recognition method or if the MEA includes a Project time contract line that was revalued, you can't clear the MEA allocation.