Concept of Extension Ledger in SAP S4 HANA Extension ledgers are one of the options that can be used for CO reporting. These ledgers staple on top of an Underlying Ledger ( Standard Ledgers – can be leading or Non-Leading Ledger ) As a result, there are no data duplications.

A ledger group is a combination of standard ledgers for the purpose of applying the functions and processes of General Ledger Accounting to the group as a whole.

SPRO->Financial Accounting (New)->Financial Accounting Global Settings (New)->Ledgers->Ledger->Define Ledger Group.

To create a ledger, navigate to Financial Accounting (New) → Financial Accounting Global Settings (New) → Ledgers → Ledger. When a ledger is created, the system automatically creates a ledger group with the same name.

Group is head category or it is base of ledger creation . So , Main group is commerce and and all other are called ledger accounts but under this commerce group . Same will apply in accounting in tally , We can create several groups under single ledger .

There are now 4 types of Ledgers in S4 Finance: Leading Ledger: 0L is the “standard” Leading Ledger in a standard SAP system. When non-Ledger specific financial documents are posted, this Ledger is always updated, for all company codes.

2 types
There are 2 types of ledgers – leading ledger which is integrated with all subsidiary ledgers and controlling. Then you have parallel ledgers which are called non-leading ledgers. These parallel ledgers are always managed as complete ledgers.

Use G/L Groups to create a collection of similar G/L Accounts with similar properties. Each G/L Account must belong to a G/L Group to correctly balance your books. …

In some General Ledger Accounting functions, you can only specify a ledger group and not individual ledgers. This has the following consequences for the creation of your ledger groups: Each ledger is also created automatically as a ledger group of the same name.

A ledger template is linked to multiple ledgers that you can then add to a ledger group. This template relationship ensures that all ledgers within a ledger group share the same physical layout. General Ledger uses these templates to identify all of the records and fields required to update and to report on their associated ledgers.

Postings are made to Ledger Groups and not to individual Ledgers. Hence, if you want to post manually to multiple Non-Leading Ledgers you can create a Ledger group, comprising all these Ledgers, to post simultaneously to all of them. Reports can be obtained from Ledgers as depicted below:

Ledgers are stored in tables within a database. The key fields in a ledger table are Business Unit, Ledger, ChartFields, Fiscal Year, and Accounting Period; Net Period Activity is not a key field. Before posting, General Ledger validates data posted to the ledger table against other tables in the system.