Banks

Setup Banks

Purpose:

This form allows you to setup all the General Ledger Bank Defaults. In addition to that, you can also add, modify and delete all the bank accounts your company will use. You can adjust the balance of those accounts as well as the numbers for Checks and Deposit Slips. The Information entered in here is used in the AR Cash Receipts and the AP Pay One Vendor or Pay Many Vendors. You should complete this setup before doing any transactions in the system.

Usage:

General Ledger Bank Setup

1- Interest Account- This account reflects all the Interest Income that you have received from your banks. This accounts usually carries a Credit Balance and at year’s end its balance goes to the Retained Earnings.

2- Miscellaneous Deposit- This should be an asset account and it should carry a debit balance

3- Miscellaneous Withdrawal- This is an expense account and it should carry a debit balance

4- Other Charges- This is an expense account and it should carry a debit balance

5- Service Charges- This is an expense account and it should carry a debit balance

6- Finance Charge- This is an expense account and it should carry a debit balance

7- Bank Annual. Enter in here the APR for the current account if applicable

8- Bank Minimum Balance. Enter in here the Minimum Balance required on the current account. This is very common for accounts that carry an interest rate

9- Bank Monthly Charge. Enter in here the Monthly charge that your bank debits to your account for any concept

10- Finance Charge. Check this True if this is a credit account and finance charges are assessed

11- Interest. Check this true if this is a Savings account and the interest is credited every month

Bank Particulars

1- COA Number. Select the GL Account that will be tied up to this bank account. You can only assign one GL Account to One Bank Account

2- Account. Enter in here the Account number that was assigned by your bank

3- Bank Name, Address and Phone. Enter a meaningful Bank Name and try to enter as much extra information as you can about the Address, Phone and contact information of your bank. This will later be used in the bank reconciliation tasks.

4- Next Check/Deposit. Enter in here the next check number that you have. The system won’t allow you to repeat check numbers. Therefore, you have to be careful to enter in here the appropriate number. The information entered in here will be reflected when you are printing the AP checks in the Pay Many Vendors, Pay One Vendor, Receiving and Voucher

5- Bank Balance. This text box will reflect the balance of this bank account taking into consideration all posted transactions. In order to make this number agree with your bank statement, we recommend to do bank reconciliation every month

6- Un-posted. This Text box will show all of the unposted transactions that will eventually affect the balance of the Bank Account.

7- Notes. Enter in here any internal notes relating to this bank.