Importing Accounts Receivable so Aging and Balance Sheet Match

Eddie Davis -

When you start a new FINSYNC business account, you must choose an accounting start date.  Generally, you should use opening balances for most general ledger accounts.  However, Accounts Receivable and Accounts Payable need special attention.

Note: this article assumes you have already finished updating your Chart of Accounts and created necessary Service and/or Inventory items in the Catalog.

If you had an accounts receivable balance on your accounting start date, follow these steps:

1.  Sum all of your invoices with a due date prior to your accounting start date.

2.  Create a new entry to your Opening Balances (Reports-->General Ledger (expand)-->Opening Balance) for "Receivable" putting the sum in the "Debit" cell. Click "Set" to save the change.

aropening.png

Once you complete this step, your Balance Sheet will show the correct amount for Accounts Receivable on your accounting start date.

3.  Click the "Income" tab and create a new invoice for each of your invoices dated before your accounting start date.

If you did this correctly, these invoices will populate your Accounts Receivable Aging report, but have no impact on your Balance Sheet, which should already be correct from successful completion of steps 1 and 2 above.


Going forward, you'll want to be sure your AR Aging and Balance Sheet continue to match.  In order to do this, you'll want to ALWAYS manage Accounts Receivable through Invoices.

If you categorize a bank transaction to "Receivable" and don't match it to an invoice, your AR Aging and Balance Sheet will no longer match.

If you create a journal entry that touches your Receivable account, your AR Aging and Balance Sheet will no longer match.

 

Have more questions? Submit a request

0 Comments

Please sign in to leave a comment.