Accounting Setup

Overview 

Accounting Setups include all the modules and settings that require your accounting to work correctly. 

Menu Navigation: Main Menu > Setup > Accounting.

User Settings

Setup > Setup Accounting - Access Allowed (Y/N)

Account Categories

Menu Navigation: Main Menu > Setup > Accounting > Categories tab.

The Account Categories are linked to the sections of the primary Accounting Reports (Income Statement and Balance Sheet).

Accounts

Menu Navigation: Main Menu > Setup > Accounting > Accounts tab.

Also known as the Chart of Accounts, your Accounts are linked to the Account Categories.

Bank Accounts need to be linked to a Currency. When the Currency on a Bank Account is cleared, it will be set to the local currency by default. 

If multiple Entities exist in the database, link each Bank Account to the relevant Entity.

Adding Accounts

It is essential to do a thorough search of the accounts before adding new accounts as they may exist already. Use the Search filter.

1. Click on Add Account (button)

2. Enter a Name (Account Name)

3. Enter an Account Code (if applicable)

4. Link the Account to a Category

5. Link the Account to an Entity (if applicable)

6. Select a Default. See more information below on Defaults.

7. Link the Bank Accounts to a Currency. If the Bank Account is to be imported into the Bank module, select an Import option from the dropdown.

8. Once complete, click Rebuild (button). See more information below on Rebuilding.

Removing Accounts

An Account can only be deleted if it is not in use. 

To delete, right-click on the Account > Delete.

Grouping Accounts

Accounts can be grouped by right-clicking on an Account and selecting the Nesting function. The Groups may not be transacted on, they are for summary purposes only.

Order Accounts

You are able to order the Accounts explicitly by checking the Order Accounts checkbox and using the right-click menu to Move Up or Move Down. When Order Accounts is checked, you are forced to filter on a Category, and the grid Sorting functionality is disabled. The order will be replicated to the Income Statement, Balance Sheet and Trial Balance.

Click Actions (button) > Order Accounts alphabetically to order all the Accounts alphabetically inside Categories.

Warnings

• A Bank Account is not linked to a Currency

• A Bank Account is not linked to an Entity (In a multi-entity environment)

• An Accounting Group is used in one or more Transactions

• A grouped Account is linked to a different Category than the Parent Category

• Duplicate Account name or Account No.

When changes are saved, a red Warning icon appears on the Rebuild button.  The Rebuild button is used to rebuild all the accounting transactions after Accounting changes have been made.

Default

• Bank - Identifies the Bank accounts.

• Accrual - Identifies the Accrual Accounts - used in Financial Reporting module.

• VAT Control - Identifies the VAT Control account. Only one account can be linked to this default.

• Retained Income - Identifies the Retained Income account. Only one account can be linked to this default.

Rebuild 

Transactions form the basis of your accounting. When a Transaction is saved, a cascading record is updated to a very light table (TRIALITEMS) which is, in turn, used to generate the accounting reports. This ensures that your reports run quickly, even when you have many years of accounting data in your database. 

It also provides you with the freedom to update Accounting Settings without 'breaking' anything. All you have to do after making changes is to run the Rebuild function which will re-create all the cascading transactions based on your updated settings - this only takes a few minutes, even in a large database.