Automatic Budget Transfer from Parent to Child

This guide explains how the Automatic Budget Transfer from Parent to Child feature works in CapEx Plan.
This functionality allows you to transfer funds from a parent entity directly into a child entity while creating a CAPEX request, making the entire process a single-step operation instead of two separate approvals.

Overview

When creating CAPEX or OPEX requests at the business unit level, sometimes the unit does not have enough available budget. Traditionally, users must:

1. Transfer funds from another business unit
   
2. Get that transfer approved
   
3. Then create the CAPEX request
   
4. And get that request approved separately
   

With this feature, both actions (budget transfer + request creation) are completed in one operation, greatly speeding up the process.

Note: Both parent and child entities must be in the same currency for this feature to work.

Next, specify which business units can use this feature.

Step 2 —  Enable at the Child Business Unit

1. Go to the Org Chart

2. Select the child business unit (e.g., Building C)

3. Enable the checkbox: Automatic Budget Transfer from Parent Entity

4. Click Update This Unit to save the changes

This allows Building C to request funds directly from its parent during CAPEX creation.

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Step 2 — Verify Parent Budget Availability

Before creating a request:

1. Open the parent entity (e.g., Group 1)

2. Confirm that it has sufficient budget
   

For example:

• 2025 Budget: $700/month → $8,400 total
  
• 2026 Budget: $500/month → $6,000 total
  
• Total available: $14,400
  

This is the amount available for transfer to child units.

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Step 3 — Create the CAPEX Request With Auto-Transfer

Now create a request at the child level (e.g., Building C).

New Fields During Creation

Upon selecting the child entity:

• A new field will appear: Parent Entity
  
• You will see all valid parents in the hierarchy, such as:

• Group 1
  
• Aurora
  
• Almiranta 1
  

Select the parent you want to transfer budget from.

Budget Transfer Process

1. Select Is It Budgeted? → Yes

2. The system will show the available budget rows from the parent

3. Enter the amount you need (e.g., $10,000)

CapEx Plan automatically allocates budget from available years:

• Takes full $8,400 from 2025
  
• Remaining $1,600 from 2026
  
  • $500 from Jan
    
  • $500 from Feb
    
  • $500 from Mar
    
  • $100 from Apr
    

The system will show a confirmation message → Click Yes

A preview of all transfer rows will appear.

Select the row and click Continue Transfer

The request now becomes budgeted, and you can proceed normally.

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Step 4 — Finalizing the Request

On the next page:

1. Name your request (e.g., New Machine)

2. Add a description

3. Verify that Amount Requested = $10,000

4. Complete remaining fields
   
5. Submit the request for approval
   

Once approved:

• Funds are officially transferred from Group 1 to Building C
  
• The CAPEX request is approved as a budgeted item
  
• Both processes (transfer + request) are completed together
  

Verifying the Budget Transfer

You can review the impact of the transfer:

On the Parent (Group 1)

• 2025 budget is now fully used

• 2026 still has remaining funds because only $1,600 was taken

For example:

• Original 2026 budget: $6,000
  
• After taking $1,600 → $4,400 remains
  

This remaining amount can be used for future CAPEX requests.

Summary

The Automatic Budget Transfer from Parent to Child feature:

• Eliminates the need for a separate budget transfer approval
  
• Merges two processes into one seamless operation
  
• Ensures money is only transferred when required
  
• Greatly simplifies budgeting for multi-level business units
  
• Provides full visibility into how funds are allocated across years
  

This is especially practical when parent-level units hold the majority of budget and child units only request funds as needed.