There are a number of different journal routines within Sage 200.

Journal Entry

The standard Journal entry option (Nominal Ledger > Nominal Transactions > Journal entry) allows you to enter Single Entry, Reversing Entry, and Recurring Entry or use a Template.

Single Entry is a standard, one-off Journal used to transfer values between nominal accounts.

Reversing entry allows you to fill out a journal in the same way as the Single entry option, but also specify a date to reverse the entries back. When posted, you will have created two journal entries.

Recurring entry allows you to enter a journal in the same way as the Single entry option, but also specify how many times you want to post this journal and the dates for each posting. This is ideal if you post a regular Journal using the same entries.

It is possible to set up Journal Templates in Nominal Ledger > Enter Transactions > Journal Templates. This allows you to create a template of Nominal accounts, Nominal Accounts and Values to transfer or Nominal Accounts and Percentage Values to transfer.

Once a template is created it can be used via the Journal Entry screen, once selected the Journal entry screen is populated with the template Accounts and Values, which can then be used and/or amended as required.

Cashbook Journals

To enter a journal that updates the Cashbook module then a Nominal Receipt or Nominal Payment (Taxable or Non Taxable) should be used. These are in essence types of journal entry. These can be found in Nominal Ledger > Nominal Transactions. (Also in Cashbook).

Prepayments and Accruals

The Prepayments routine can be used to create journal entries that account for an expense which has already been paid, and spread it across several financial periods, rather than it only being accounted for in the period it is paid.

The routine creates a journal entry to transfer the expense from the Profit and Loss nominal account into the Prepayment nominal account on the Balance Sheet. While the expense is in the Prepayment nominal account on the Balance Sheet, it is an asset. This asset is gradually reduced by the periodic journal entries which transfer the value back to the Profit & Loss account over the specified periods.

When you create a Prepayment, any entries that are dated in future periods are held in the deferred waiting postings file. These posting will be transferred using the update waiting postings function, as the periods are opened.

Prepayments are found in Nominal Ledger > Nominal transactions.

Accruals are entered in a similar way to prepayments, but are used to budget for an expense that needs to be accounted for in a number of different periods, but is paid for in arrears. You would need to enter an estimate for the expense.

The routine creates a journal entry to account for the expense on the Profit and Loss and Balance Sheet over the given period. While the expense is shown in the Accruals account on the Balance Sheet it is a liability that is increased as the periodic journal entries are added to it.

The routine also creates a final journal entry which clears the expense from the Profit and Loss and Balance Sheet accounts. At this point you should receive the actual expense and it can be recorded on the ledger without it being accounted for twice.

When you create an accruals journal, any entries that are dated in future periods are held in the deferred waiting postings file. These posting will be transferred using the update waiting postings function, as the periods are opened.

Accruals are found in Nominal Ledger > Nominal transactions.

 

Previous Year Journal

The Previous Year Journal Entry allows you to enter a batch of nominal postings with respect to the previous year.  After the Year End routine has been completed, you can use this routine to adjust the previous year’s figures as well as the opening and closing balances on nominal accounts. It allows you to close the Nominal Ledger at the Year End, but make postings that affect the previous year’s balances such as adjustments received from auditors etc.

The Previous year journal is in Nominal Ledger > Enter Transactions. This option needs to be activated within the Ledger Settings and the previous year end date entered.

You are unable to post previous year journals dated earlier than the start date of the earliest period that already exists in your previous year data.

For Profit and Loss and Balance Sheet accounts, if the nominal code is not ‘retained profit’ (i.e. not the default Accumulated Profit in the Nominal Ledger), the journal entry:

–        Creates a nominal entry for the previous year period. This is linked to the relevant previous year period, according to the date of the transaction.

–        Makes a posting to the adjustments amount posted after the previous year end balance.

–        Adjusts the closing balance amount for the previous year.

–        Makes a change to the previous adjustment posting that was made to the Year End closing balance amount. If the nominal code is a Balance Sheet account:

–        An adjustment is made to the credit year-to-date or debit year-to-date value for the nominal code’s account.

–        If consolidation is enabled in your Sage 200 system, an adjustment is made to the consolidated amount balance for the nominal code’s account.

–        If the nominal code is retained profit, a further adjustment is made to the summary forward balance value for the nominal account.

If the nominal code is a Profit and Loss account:

–        An adjustment is made to the balance summary for the nominal code’s account.

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