The Account Journal tool enables Xero cashbook users to pull forward accounts that operate on an accrual basis in Figured
It is for users who Cash code their Milk Income or who are on a Cash Book version of Xero. It is also for users who want to add comparative Milk Income into their Milk Trading Statement.
CASH CODING MILK INCOME IN XERO AND FIGURED’S MILK TRADING STATEMENT
Cash coding is an awesome way to get work done in Xero however Figured’s Milk Income Statement is run on an Accrual Basis which means that your cash coded Milk Income in Xero will show up a month out from your Milk Production in Figured.
The Account Journal tool uses allows you to quickly create and post these journals to Xero which in turn updates your Milk Trading Statement so it looks perfect again. It only takes a few clicks and is easier then creating all those journals manually in Xero.
To Access the Account Journals head in the Advisor Tab > “Account Journals”
Select the Financial year, Account type and what farm (if you have multi-farm) you wish to journal for in predefined drop down boxes and then click "Next"
Once the journal settings are confirmed the page below will appear to update the accrual balances for the account chosen.
Use the “Helpers” dropdown to update the accrual balances for each month. The accruals can shown as the:
- Same month as cash,
- One month before cash or
- Two months before cash.
Once chosen what period applies to the account it will update the Accruals to show in the month the invoice was created.
When happy click “Next”
The last step is to confirm the updates to the net accrual balances for the account and post these manual journals to Xero.
Firstly assign a contra account to assign the income being journaled, so in the case of Milk Income there will need to be a Current Asset account such as “Milk Income Receivable” in your chart of accounts.
Check the allocation of the accruals and then click “Post Manual Journals”
This will send the information to Xero which will sync back into Figured, update the accruals and pull them back to the correct dates to be reflected correctly in the Production Reports.
ADDING COMPARATIVE DATA INTO YOUR MILK TRADING STATEMENT
If you have just started on Xero this season and you don’t have the prior years financial information you can still add comparative data through Figured’s Account Journaling tool.
In the Account Journals tool window simply do the following:
- Select the prior year in the “Financial Year” dropdown. Then in “Account” dropdown select your Milk Income code and click “Next”.
- Enter all the comparative amounts in the “Accrual” column. Then click “Next”.
- In the “Contra Account” dropdown select an appropriate account e.g. “Milk Income Receivable” and click “Post Manual Journals”.
These journals will then be posted across to Xero which will then in turn update Figured’s Milk Trading Statement with Comparative data.