Accounting and ledger

agaro provides accounting routes for workspaces entitled to the relevant finance capabilities. Operational documents feed these views when they reach their accounting lifecycle state.

#Core routes

#Operational source discipline

Use the business document as the source of the transaction:

1. Customer invoices create receivable activity when issued or posted by the supported lifecycle.
2. Vendor bills create payable activity when posted.
3. Payments reduce their allocated receivable or payable balance.
4. Posted expenses and income feed the appropriate accounts.
5. Inventory accounting can post stock receipt, delivery, scrap, and adjustment entries when its accounting capability is enabled.
6. Payslips post an accrual when their journal is posted and a cash entry when they are paid. See Run payroll.
7. Loans post the payout, the interest, the fees, and every repayment. See Loans.

Do not add a second manual transaction to compensate for a source document that is still Draft. Correct and post the source document instead.

#Payroll sub ledger accounts

Payroll uses three accounts of its own, besides salary expense and net pay payable. They are part of the chart of accounts.

agaro creates these accounts the first time they are needed, and also when a person who may change the pay design opens the salary rule mapping screen, so the mapping screen can offer the account its own warning names.

Your own accounts are never touched. If your chart already uses one of these codes for a different account, agaro does not post to yours. It uses the next free code in the same block of ten, for example 1161 for the loan receivable, and the mapping screen shows which account is agaro's. If every code in a block is already yours, a payslip that needs the account is refused with a message instead of posting to the wrong account.

A payslip's entries are never deleted. Voiding posts a reversing entry that swaps the sides of the original, and a payment has its own reversal when a payslip is refunded.

#Approvals on money

A workspace can have an approval rule for these documents: a vendor bill, a bill payment, a customer payment, and a journal reversal. With a rule in force, the posting move follows it:

• The message names the rule, for example that the document needs approval under that rule, and says which role may post it (Super Admin, Manager, or either). Nothing is posted until the right person does it.
• The person who made the document cannot be its approver. For a vendor bill, that is whoever created or edited the draft. For a bill payment, whoever created the bill. For a customer payment, whoever created the invoice. For a journal reversal, whoever posted the entry. Another approver has to post it.
• The one exception is the only approver: when nobody else who may approve can open the module, the person may approve their own document, and the activity log records it as a self approval.
• If the rules cannot be checked, nothing is posted. Try again in a moment.

The same principle applies to expenses and loans. Nobody approves or pays out their own expense or loan unless they are the only person in the workspace who could.

#Fiscal locks and year end

Fiscal controls prevent writes into locked accounting periods. Year end routes provide the checks and closing actions configured for the workspace. Only authorized finance administrators should lock or close a period.

If a correction is needed after a lock, use the workspace reopening or next period adjustment policy. Do not change dates merely to bypass a lock.

#Common problems