Outline the Process of Transferring Debtor Receipts through to Cashbook
On the day you receive the payment (Cash, Cheque) you receipt the payment in and transfer it through to Cashbook on that same day. (Maybe end of day procedure)
Write the deposit slip out for the bank with the date you transferred the receipt through to cashbook.
Even though you may take the amount to the bank a couple of days later, it doesn’t matter. As long as in your Synergy system the receipt date and the transfer from A/R to CB is the same, then it can sit in Cashbook until it has been deposited into your bank account and shows on your statement.
This is especially important when the end of month is only a few days away!
E.g.
- Mr Winterbottom paid for his invoice of $2455.55 on the 30/11/12 by cheque.
- You create a ‘New Receipt’ and allocate it to the invoice.
- That same receipt is now sitting in A/R ‘Banking’ with others from that day.
- On the same day, when doing end of day procedures, transfer the banking through to Cashbook, group them and transfer them by DATE!!! (Do NOTtransfer any banking through to CB from different months together)
- Depending on how you write out your deposit slips, either transfer them in groups of Cash and Cheque or together (makes clearing off the amounts in Cashbook easy when you reconcile the account as the amounts will be the same).
- Now the amount is sitting in Cashbook waiting to be reconciled, you can just tick the ‘Cleared’ box once it shows through onto your statement, Write out your deposit slip with the same date it was transferred through; some banks use the date on the deposit slip.
(Even if you have taken it to the bank on 02/12/12, it won’t matter, as in Synergy A/R and Cashbook it is all kept within the correct month.)
- When reconciling- it is easier to do this on a daily basis, so set up a ‘New’ reconciliation each day and tick off anything that has come through from the statement.
- If you have deposited cheques and cash, leave it un-ticked in the reconciliation until it shows in your account and leave the correct date range reconciliation section un-finalised until it can be cleared.
At the end of month it is important to make sure the receipts from the month you are rolling have all been transferred through to Cashbook on the day they were receipted in before you roll the month.
It doesn’t matter if they have not been banked or cleared in Cashbook, as once they are in your bank account, you are just ticking them off in cashbook. Once all banking has been transferred for that month, then you can roll the month over for A/R.
Each month needs to be kept separate, so that the information in General Ledger is accurate.