Accounting

Balance Sheet

Go to Accounting > Reporting > Balance Sheet. Shows the company's financial position at a specific date.

Sections

• Assets: Current (Cash, AR, Inventory) and Non-Current (Fixed Assets, Intangibles).
• Liabilities: Current (AP, Accrued Expenses, Short-term Loans) and Non-Current (Long-term Debt, Deferred Revenue).
• Equity: Capital, Retained Earnings, Current Year Profit/Loss.
• Total Assets = Total Liabilities + Equity - Must balance.

Customisation

• All customisations from P&L apply (date range, compare, group by, export).
• The Balance Sheet is typically run on the last day of the reporting period.
• Use Comparison Mode to see period-over-period changes in assets/liabilities.

Payment Terms

Payment terms define when and how invoices should be paid. Go to Accounting > Configuration > Payment Terms.

Common Payment Term Types

Customer Payment Process

1. Invoice posted → customer is sent invoice.
2. Customer pays (bank transfer, check, card, portal payment).
3. Go to Accounting > Customers > Payments → Create.
4. Select customer, payment amount, payment method, bank journal.
5. Click Validate - payment is posted.
6. Reconcile the payment with the invoice(s) it covers.

Follow-up & Collections

Quickenerp can send automated follow-up emails for overdue invoices:

• Configure Follow-up Levels in Accounting → Configuration → Follow-up Levels.
• Each level defines: days overdue, email template, and action (e.g. add interest, send final notice).
• Quickenerp auto-sends emails based on the schedule.
• View overdue invoices in Reporting → Aged Receivables.

Period-End Closing

Monthly Closing Checklist

1. Reconcile All Bank Accounts - Match every bank statement line. Book balance should equal bank balance.
2. Reconcile AR/AP - Match all payments to invoices. Unreconciled items should be investigated.
3. Verify Tax Report - Ensure tax amounts match invoices/bills posted this period.
4. Review Trial Balance - Check for unbalanced entries, suspense accounts, or unusual balances.
5. Depreciation - Run depreciation entries for fixed assets.
6. Deferred Revenue/Expenses - Post deferral entries if using this feature.
7. Adjusting Entries - Post accruals, prepayments, and corrections in the Miscellaneous journal.
8. Generate Financial Reports - P&L, Balance Sheet, Cash Flow. Review with management.
9. Lock the Period - Set lock dates to prevent changes (see below).

Lock Dates

Lock dates prevent posting entries in closed periods. Set in Accounting > Configuration > Settings → "Lock Dates" section.

• Fiscal Year Lock Date - No changes allowed before this date for any user.
• Period Lock Date - No changes allowed before this date for non-accountant users. Accountants still have access.
• Journal-Specific Lock Dates - Set different dates per journal.

Fiscal Year-End Closing

1. After the year-end P&L is finalised, post closing entries:

• Zero out temporary accounts (revenue, expenses).
• Transfer net profit/loss to Retained Earnings.

Audit Trail

Accounting > Reporting > Audit Trail shows every posted entry with:

• Entry number (sequential).
• Date and time posted.
• User who posted.
• IP address.
• Journal and reference.

Regularly review the audit trail to ensure data integrity. Export for external auditors.

Best Practices

• Close each month within 10 business days of month-end.
• Lock periods promptly to prevent accidental changes.
• Run the Trial Balance before and after closing to verify accuracy.
• Maintain a closing checklist document and track completion.
• Use the chatter on journal entries to document adjustments for future reference.