Hello. I have just run my first year end on Quickfile for a client. It seems the main current account is opening balance is wrong on Quickfile. When my client first started using this system they didn’t put in an opening balance so I have tried to put the balance in from when they started using the system but it now says I can’t enter an amount for that date as it’s in a locked accounting period. It won’t let me do it from 1st April 2014 as it says there are transaction before this date.
Please can you advise how I get the opening balance for 01/04/2014 correct on Quickfile?
You have a couple of options here…
You could just enter it as a journal, this will then allow you to set it for 1st April.
If you want to enter as an opening balance you would need to roll back the previous year end, or any account lock that the client has entered. The account lock will be visible (and in some cases editable) from the account settings screen.
For simplicity I would go with option 1.
Hi Glenn. Thanks very much for your reply. Do I debit the bank account by the amount that’s different (amount on system - amount on bank statement) and then credit the Debtors Account as this is what the accountant has suggested? He doesn’t like anything in the suspense account. If you could advise that would be appreciated.
Debits and credits are reversed for banks, so if you enter a journal and the bank was overdrawn you would enter the journal as a credit on the bank side and then debit on the opposing entry. And yes typically this would equal the difference on your paper statement vs QuickFile.
Where the corresponding entry is posted to really depends on the origins of the balance, there’s no single answer to that question. But if it’s something you want to worry about later post it to suspense (9998).
Hello. Many thanks for this. It still shows incorrect amount.
The balance on the systems bank account now shows the correct amount as the bank statement but when I reconcile it is short by the amount I had to amend for the opening balance. I am now very confussed as to what I need to do to rectify this on your system. Can you help please?
When you attempt to reconcile, what date range are you entering in the boxes? You don’t need to mention the balances… just the dates. I’m not seeing any discrepancy when I view for the month of January.
Hi. I am looking at 1st April 2014 to 29 April 2014. It comes up with a large shortage which i’m guessing is to do with the opening balance journal entry. If i don’;t put the journal entry in then it reconciles but the balance n the system doesn’t match the bank statement. I am very confused as I didn’t set this up from the start.
Any help is greatly received as the accountant doesn’t know this system and I can’t get it all to balance no matter what I put into the system.
OK the problem is your opening balance is also keyed in for 1st April 2014 so it does not get pulled into the balance brought forward. This will only be a problem if you’re setting the reconciliation start date to anything upto and including 1st April.
I think given the difference is equal to the OB then you can assume that period is reconciling fine.