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General Information about Accrual Accounting

What Does This Procedure Do?

In this procedure you can create accrual accountings, i. e. distribute an amount over a certain number of months. See the Accrual Accounting Window.

It is common with advance payments or different credit periods of entries in the accounting. Such entries should be distributed to charge the correct accounting period. Prepaid monthly rents and insurances are examples of such costs, which shall be cost accounted each month.

In this procedure you can register each accrual with information of how the prepaid costs are to be recorded. In practice, this means that a prepaid rent is coded each month with a credit entry for prepaid rents (1710), with an account for rent (5010) as an offset account. When coding per cost center, cost unit or project is requested, this can be performed in this procedure.

The accrual accounting must be released before any transactions are recorded. This is done in the Release Accrual Accounting procedure. When switching to a new accounting period, a warning appears if the accrual accounting has not been released. In connection with the release, an accounting order is printed.

You can register accrual accounting running across year-end. You can make accrual accounting for maximum 8 year ahead. To be able to register accrual accounting running across year-end, the next accounting year must be defined in the procedure Register Accounting Year in the Global Settings module. The maximum number of future years that can be defined is 8.

There is an option to reactivate accrual accounting. The purpose with this is that an accrual accounting performed in one accounting year, can be re-used the following accounting year. This is made by loading the current accrual accounting and clicking on the Reactivate button.

Link Directly from Register Supplier Invoice

To simplify new registrations in accrual accounting there is a direct link between this procedure and the Register Supplier Invoice. Certain information needed for accrual accounting (e.g. consecutive number, supplier code, coding) is automatically loaded from the supplier invoice. To automate this further, the accounts related to accrual accounting can be marked in the Chart of Accounts. This is registered in the Chart of Accounts procedure. The Accrual Accounting procedure is then automatically opened when coding is made on a marked account. The voucher text will automatically be the supplier invoice's consecutive number together with the supplier name.

All registered accrual accounting can be printed in the Print Accrual Accounting procedure. There you can choose if; all, remaining or performed accrual accounting shall be listed.

Window Functions

Read more about the Window functions under Window Functions in the MONITOR Basics guide.