Company: Accounting Tab

Use the Accounting tab to assign accounts to the company, specify payment and delivery terms for it as well as define other type-specific terms of cooperation. 
In case the company performs more than one role (for example, simultaneously acts as a customer and a vendor), you have to set up accounts and partnership terms for each role.
 
When you create a new record in the Company directory, accounts under the Accounting tab are auto-completed being retrieved from the My company settings. But, it is recommended to revise default accounts and change them to accounts that are more appropriate for a specific company. Terms of delivery are filled in manually if necessary.
 
Accounts and terms of delivery specified under this tab will be used in sales and purchase documents and other company-related transactions.
  
The tab pertains to all company types. However, accounts under the tab are company type-dependent. There are the following account groups:
 
Fields in Customer and Vendor sections are almost identical, except for some fields pertain only to Customers or Vendors.
 
Customer
 
Accounts that belong to this group are used to record customer details that are required for customer management after initiating the partnership with a customer and in the course of cooperation with him.

Account

Used to

Receivables from customers

An account for recording receivables from customers for sold goods or provided services. Trade receivables usually occur after a customer receives an invoice and debits the Transaction journal. Also, receivables from customers are added with a plus to a Customer register. Based on this register you will be able to generate reports and keep track of increase or decrease of receivables for each customer, in the main currency as well as in the currency of the invoice, along with keeping track of terms of its repayment. 

Choose the customer type of account for this Customer that will fit the type of his receivables the most, for example, Trade receivables from external customers or Trade receivables from a group of companies etc.  

  • Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.
  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.
  • The account is relevant for customers only.

Advances from customers

An account for recording advances from a customer, that have made prepayments for the ordered hence not invoiced goods or not provided services. Usually, such advance payment is made based on the proforma invoice and credits the Transaction journal. Also advances from customers are added with a minus to the Customer register. Based on this register you will be able to generate reports and keep track of increase or decrease of receivables for each customer, in the main currency as well as in the currency of the invoice, along with keeping track of terms of its repayment. 

Choose the customer type of account for this Customer that will fit the type of his advances the most, for example, Advances from customers external or Advances from a group of companies. This account will be copied to respective fields of all sales, banking and other documents when this customer will be chosen.

  • Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.
  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.
  • The account is relevant for customers only.

Sales income account

An account for recording revenue from the company's main business (sales of goods, own products, services or performed work). Sales income occurs when the income is accrued, usually based on the invoice for the customer and credits the Transaction journal. Also, the amount of income is recorded in the Profitability register. The report on received income, amount of provided discounts and the self-cost, grouped by customers or sold items, are formed based on this register.

Choose the Income type of account for this Customer that will fit the type of income the most, for example, Sales to external customers, Sales to a group of companies, Sales to EU, Sales export to non-EU etc. This account will be copied to respective fields of all sales and other documents when this customer will be chosen.

  • It is an optional field. If you will leave this field empty, when goods or services are sold, the income account set for the respective item will be added.
  • The account is relevant for customers only.
 
 
Vendor 
 
Accounts that belong to this group are used to record vendor details that are required for vendor management after initiating the partnership with a vendor and in the course of cooperation with him.
 

Account

Used to

Payables for vendors

An account for recording payables for the vendor.

An account for recording payables to vendors for purchase goods or provided services. Trade payables usually occur after your company receives a purchase invoice and credits the Transaction journal. Also, payables to vendors are added with a minus to a Vendor register. Based on this register you will be able to generate reports and keep track of increase or decrease of payables for each vendor, in the main currency as well as in the currency of the purchase invoice, along with keeping track of terms of its repayment. 

Choose the Vendor type of account for this Vendor that will fit the type of payables the most, for example, Trade payables for external vendors or Trade payables for a group of companies etc.  

  • Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.
  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.
  • The account is relevant for vendors only.

Advances for vendors

An account for recording advances for a vendor, when your company has made prepayments for the ordered hence not invoiced goods or not provided services. Usually, such advance payment is made based on the proforma invoice and debits the Transaction journal. Also advances for vendors are added with a plus to the Vendor register. Based on this register you will be able to generate reports and keep track of increase or decrease of payables for each vendor, in the main currency as well as in the currency of the purchase invoice, along with keeping track of terms of its repayment.

Choose the Vendor type of account for this Vendor that will fit the type of his advances the most, for example, Advances for vendors external or Advances from a group of companies. This account will be copied to respective fields of all purchase, banking and other documents when this vendor will be chosen.

  • Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.
  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.
  • The account is relevant for vendors only.

Services expenses

An account for recording expenses from the company's main business (purchase of goods, products, services or performed work). Services expenses occur when expenses are made, usually based on the purchase invoice from the vendor and debit the Transaction journal. Also, the amount of expenses is recorded in the Profitability register. The report on occurred expenses, amount of received discounts and the self-cost, grouped by vendors or purchased items, are formed based on this register.

Choose the Expenses type of account for this Vendor that will fit the type of expenses the most, for example, Purchases from external vendors, Purchases from a group of companies, Purchases from EU, Purchase import from non-EU etc. This account will be copied to respective fields of all purchase and other documents when this vendor will be chosen.

  • It is an optional field. If you will leave this field empty, when goods or services are purchased, the expense account set for the respective item will be added.
  • The account is relevant for customers only.
 

Except for account fields, Customer and Vendor group box also have the following fields:

Field

Used to

Payment terms

Select the default payment terms for customers and vendors that will be used for future sales and purchase documents respectively or creates new payment terms. In Codejig ERP, payment terms comprise the following components: net terms that indicate when the payment of entire sales or purchase document amount is required and discount terms that offer discounts for an early payment.

  • When you set up payment terms in the respective document, you will be able to track the amounts of payables that have to be paid or are already out of date in the Customer and Vendor reports.
  • Discounts for early payments will be accrued automatically by the Receive payment or Make payment document when such payment was received or made in short terms.
  • Payment terms specified for the given customer or vendor will be provided automatically once you select a customer or vendor in the respective field of a sales- or purchase- related document. You can change them if necessary.

Delay terms

Select the default delay terms for the customers and vendors that will be used for future sales and purchase documents or creates new delay terms. In Codejig ERP, delay terms comprise of the delay penalty interest that states the amount of penalty payment for a delayed payment.

  •  The amount in this field is dedicated for informational purposes only and might be represented in the *.pdf or printed invoice.
  • Delay terms specified for the given customer or vendor will be provided automatically once you select the customer in the respective field of a sales-related document. You can change them if necessary.

Incoterms

Select the Incoterms which will be a default for your customer.

  • Incoterms that are usually used for the given customer or vendor are provided automatically once you select the customer or vendor being retrieved from the customer or vendor record created in the Company directory. However, you can change the autocompleted Incoterms if necessary. 

Destination

Set the default city to which sold goods have to be transported for the customer or by the vendor.

  • Destination to which goods are usually delivered for the given customer or by the given vendor is provided automatically once you select the customer or vendor being retrieved from the customer or vendor record created in the Company directory. However, you can change the autocompleted destination if necessary.

Method of delivery

Select a method of transporting sold goods to your customer or from your vendor from the list of delivery methods added to the system or create a new method of delivery.

  • Method of delivery that is usually used for the given customer or vendor is provided automatically once you select the customer or vendor being retrieved from the customer or vendor record created in the Company directory. However, you can change it if necessary.

Sales channel

A means of selling to customers. Select the relevant sales channel from the list of created sales channels or add a new one.

  • Sales channel that is usually used for the given customer is provided automatically once you select the customer being retrieved from the customer record created in the Company directory. However, you can change it if necessary.
  • A field is provided to the companies with the type Customer only.

Discount %

Set the amount of discount in case your customer is eligible for one or if your vendor has given you the permanent discount.

The discount rate will be set automatically for all goods and services in all sales documents given to the current customer or purchase documents received from the current vendor. Afterward, the amount of discount for a cost of sale or purchase will be calculated automatically. However, you can change it if necessary.

Price includes VAT

If you want to specify the price for one item without VAT, keep the price includes VAT option turned off. As a result, in all sales documents given for a current customer or purchase documents received from a current vendor VAT amount will be charged on the net amount that, in its turn, will be calculated as price excluding VAT x quantity. The two added together will make up the total amount. However, you can change it if necessary.

If you want to include VAT at the chosen VAT rate in the stated price for one item, turn on the price includes VAT option. In this case, in all sales documents given for a current customer or purchase documents received from a current vendor the total amount will be determined by multiplying the price of one item that is VAT inclusive by the quantity.  However, you can change it if necessary.

  • This option will not be provided in sales documents if your company is not identified as a VAT payer and all prices will be calculated not including VAT respectively.

 

Institution

Accounts that belong to this group are used to record details for institutions, e.g. banks, tax agencies and customs agencies that are required for their management after initiating the partnership with them and in the course of cooperation.

Depending on the type of such company, the group box section may include the following fields:

Field

Used to

Cash in transit account

An account for recording cash on the way, that belong to a bank transaction.

Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.

The account is relevant for banks only.

  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.

Bank Identifier Code

Provide the international code that bank uses for the financial transaction.

  • It is a required field. If you do not provide the code, you will not be able to save the document.

VAT payable account

An account for recording payable amounts of VAT in settlements between your company and a tax agency.

Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.

The account is relevant for tax agencies only.

  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.

VAT recoverable account

An account for recording recoverable amounts of VAT payments in settlements between your company and a tax agency.

Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular customer.

The account is relevant for tax agencies only.

  • It is a required field. If you delete the autocompleted account and do not select an alternative one, you will not be able to save the document.

 

Other

Accounts that belong to this group are used to record details for other business partners who do not fit any other type of company and that are required for their management after initiating the partnership with them and in the course of cooperation.

Depending on the type of such company, the group box section may include the following fields:

Field

Used to

Other receivable account

An account for recording receivables that occur in settlements between your company and a company with a type Other.

Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular company.

The account is relevant for all companies with a type Other.

Other payable account

An account for recording payables that occur in settlements between your company and a company with a type Other.

Accounts in this field are retrieved from My company settings, although it is recommended to change them for more suitable for each particular company.

The account is relevant for all companies with a type Other.

 

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