Cashflow Tutorials

What to Include on a Cashflow Transaction

• All payments for running costs (e.g. rent, utilities, stationery, insurance, bank charges).

• All salaries, wages, and related costs (e.g. UIF, pension and medical aids).

• All directors' remuneration and reimbursements.

• All income receive that is not from customers (e.g. interest received).

• All loan and lease repayments.

• Company credit card and fleet card payments. However, be careful that you do not duplicate expenses. In your accounting records you might divide credit card payments into expenses such as entertainment, travel, and refreshments. For cash flow purposes you should just capture the credit card payment. 

• Any purchases that you pay directly (e.g. if you outsource work and you do not first capture a supplier invoice).

• Any income received that is not invoiced (e.g. cash sales).

• Any unusual transactions (e.g. the proceeds from the sale of an asset).

What to Exclude from a Cashflow Transaction

ℹ️ These transactions are automatically included. You should not capture them as cashflow transactions because they will be counted twice.

• Transactions that appear on the Customer Age Analysis. 

• Transactions that appear on the Supplier Age Analysis.

• Customer transactions that are in the pipeline (e.g. sales orders). 

• Supplier transactions that are in the pipeline (e.g. purchase orders).

• VAT Payments or Refunds because they are included as per the VAT Reconciliations (even the pending ones).

How to Select a Category

Choose an Item Category based on the type of expense or income:

• Ad Hoc: The expense or income is only going to be shown once, on the selected date.

• Monthly: The expense is automatically repeated every month (e.g. rent, salaries).

• Overdraft: The agreed overdraft facility, which only needs to be entered once.

• Weekly: The expense is repeated every week (e.g. petrol, wages).

How to Create a Cashflow Transaction

ℹ️ You may create only one transaction and edit it as needed. Alternatively, you could enter detailed References and create a separate transaction for every type of income or expense. For example, you could create separate transactions for:

* Weekly Running Costs

* Overdraft Facilities

* Asset and Loan Repayments

* Monthly Running Costs

1. Navigate to Cashflow Transactions.

2. Click New (button).

3. Status = Select a status from the dropdown list (e.g. Active) on the Status Bar.

4. Reference = Type a reference for the transaction.

5. Category = Select a category for the transaction from the dropdown list

   1. • Note: Only select a category here if the entire transaction is for the same category. Else select a category per line item.

6. Click Custom (button).

7. Fill in the details for the custom entry as follows:

   1. Category = Select a category from the dropdown list.

   2. Group = Type the name of a group. This name appears on the reports; therefore, it should be descriptive.

   3. Forecast Date = Select a date on which the transaction is usually paid on the calendar. You only need to select a date for the current month. 

   4. Description = Type the description for the transaction.

   5. Unit Price = Type the amount. 

      • Payments must be entered as negative amounts. 

      • Income must be entered as positive amounts.

8. Repeat Steps 6 and 7 to add more entries to the transaction.

9. Click Save (button).

10. Use the arrow to navigate back to the list of Cashflow Transactions.

How to Capture an Overdraft Facility

1. Navigate to Cashflow Transactions.

2. Click New (button).

3. Status = Select a status from the dropdown list (e.g. Active) on the Status Bar.

4. Reference = Type a reference for the transaction (e.g. Overdraft Facility).

5. Category = Select Overdraft from the dropdown list.

6. Click Custom (button).

7. Fill in the details for the custom entry as follows:

   1. Group = Type Overdraft.

   2. Description = Type the name of the bank account.

   3. Unit Price = Type the amount of the overdraft as a positive amount.

8. Repeat Steps 6 and 7 to add another overdraft facility.

9. Click Save (button).

10. Use the arrow to navigate back to the list of Cashflow Transactions.

Related Topics

• Reference: Cashflow Reports and Settings

• Reference: Cashflow Transactions

• Reference: Technical Information

• Tutorials: Cashflow Setup Tutorial