# Infor LN Cost Peg Transfer: How It Works and How to Reconcile It > Source: https://netray.co/erp-help/infor-ln-cost-peg-transfer-project-cost-accounting > Publisher: Netray (netray.co), AI and integration engineering for ERP and manufacturing systems. > Section: ERP Help ## Short answer In Infor LN, pegging links supply and demand so cost incurred on a supply order (production, purchase, warehouse) can be charged to the project, element or activity it was created for. A cost peg transfer moves that pegged cost into project actuals, and it only works when the pegging, the project structure and the cost-component setup are correct before the run. ## Kind how-to ## System infor-ln ## Erp Infor LN ## Module Cost Accounting / Project / Pegging ## Query infor ln cost peg transfer ## Alternate Queries - infor ln peg cost transfer project - infor ln pegged cost reconciliation - infor ln transfer cost to project actuals ## Applies To Infor LN 10.x with Project and Cost Accounting; session names differ between feature packs, so search by description ## Steps ### How to run and verify a cost peg transfer **Items:** - Confirm the project is set up with the right structure: project, elements and activities, and that the pegging to the project is active for the items involved. Cost can only follow a peg that exists. - Check the item and order parameters that decide whether orders are project-pegged: the project-related item data and the order type or planning settings for the supply orders. - Verify that cost components and cost objects are defined so the transferred cost lands on the intended project cost lines rather than a default. - Release or complete the supply orders whose cost you want to move. Open orders carry cost, but transfer sessions normally act on finalized or posted transactions. - Run the cost peg or cost transfer session for the project range and period, first as a selection or simulation run if your version offers one, and review the log. - Compare the transferred amount to the supply order actuals for one sample order, line by line, before running for all projects. - Reconcile against the general ledger: project actuals, WIP and inventory balances should move by the same amount in the same period. Investigate differences by order, not by total. - Archive the log and note the run parameters so the next period run is repeatable. ## Sections ### What pegging does to cost **Body:** Pegging is the link between a demand (such as a project activity requirement or a sales order line) and the supply that satisfies it. When a manufacturing or purchase order is pegged to a project, its cost is attributable to that project. Cost peg transfer is the accounting expression of that link: the cost leaves the supply order and becomes project cost. That is why the pegging data has to be right at the time the order is created. If the order was created without the project peg and re-pegged later, cost recorded earlier does not automatically follow, and you end up with project cost that is understated while the same cost sits on the general stock account. ### Prerequisites that cause most failed transfers **Body:** Three setup areas cause most failures: the project structure (missing element or activity that the peg points to), the integration mapping to financials (the posting account for project cost does not exist for the cost component), and the status of the source transactions (not yet finalized, or posted to a closed period). A fourth is the currency and cost-price method. If supply orders are valued at standard cost and the project is valued at actual, the transfer carries a variance that has to land somewhere. Decide up front which variance accounts apply, otherwise the run posts but the ledger will not tie to the project report. ### Reconciliation issues and how to chase them **Body:** Reconcile at the smallest unit possible: one supply order, its transactions, the pegged project line and the ledger entries created by the transfer. A total difference between the project report and the ledger is a sum of small differences, and they usually fall into three groups: orders not yet transferred, orders transferred in a different period, and orders re-pegged after cost was booked. Keep a standing query that lists pegged supply orders with cost greater than zero and no corresponding project actual. Running it before period close turns a month-end surprise into a worklist. The same query after the transfer should return nothing for the closed period. **Code:** Reconciliation worklist (pseudo-SQL, adapt table names to your LN schema): SELECT order_no, project, element, activity, order_cost, transferred_cost FROM pegged_supply_orders WHERE order_cost <> transferred_cost AND period = :closing_period; ## Pitfalls - Running the transfer before the supply orders are finalized, which leaves cost behind that appears next period. - Re-pegging an order after cost has been booked and expecting history to move. - Missing financial integration mapping for a cost component, so the posting falls to a default or fails. - Mixing standard-cost supply orders with actual-cost projects with no variance account decision. - Reconciling on totals rather than order by order. ## Ai Angle The hard part is the order-by-order comparison. An assistant grounded in LN data can list pegged supply orders whose cost differs from transferred project cost and explain which of the three usual causes applies to each. ERPray does this read-only and shows the query; the corrections remain a controller's decision. ## Faq ### What is a cost peg transfer in Infor LN? **Answer:** It is the step that moves cost from a supply order, such as a production or purchase order pegged to a project, onto the project actuals it belongs to. It follows the pegging link, so it only works for orders that were pegged to the project. ### Why is my project cost lower than the supply order cost? **Answer:** Common reasons are orders not yet finalized, orders created without the project peg, a transfer posted to a different period, or missing cost component mapping. Compare one order at a time to find which applies. ### Can I rerun the transfer for the same period? **Answer:** That depends on your session and the status of the posted entries. Check the log of the earlier run and the financial status before rerunning, and test in a non-production company first if you are unsure. ### Do I need Project Control for cost pegging? **Answer:** Project cost pegging relies on the project structure. Whether you use the full project control module or a lighter project setup depends on your license and version, so confirm with your Infor partner. ## Search terms infor ln cost peg transfer, infor ln pegging, infor ln project cost accounting, infor ln project actuals, infor ln cost transfer, infor ln wip project, infor ln cost components, infor ln project reconciliation --- Talk to an engineer: https://netray.co/contact?intent=erp_ai | Machine catalog: https://netray.co/agent/catalog.json