Home - Sage 50 - Sage Reconcile Accounts Receivable
In Sage accounting software, reconciliation of accounts is used to match the entries with the financial statements. Among such operations, accounts receivable reconciliation is one. In this, the detailed amount of the unpaid customer is matched with the accounts receivable that appears in General Ledger. The article below will explain the reconciliation procedure of accounts receivable in Sage 50. You can also find full details How To Reconcile Sage 50 account step by step.
What Is Account Receivable Reconciliation in Sage Accounting?
It is the procedure of matching the unpaid customer billings in-depth information to the accounts receivable in the General ledger in Sage. This matching process is essential to justify the receivable, general ledger figure.
How To Reconcile The Accounts Receivable To General Ledger In Sage 50?
Step 1- Post Entries and check setup:
Use the Task, Post entries option to post entries in the Accounts Receivable & General Ledger.
Verify the posting journals and check the rejections
If there appear to be rejections, resolve the rejection before proceeding with the steps below:
Locate the File menu
Select Accounts Receivable
Click Company Settings, GL settings, AR Settings, or Balance Sheet accounts
Now fill in the information below related to accounts:
Discover the Accounts Receivable section and follow the steps below:
Locate Reports button
Choose” Aging, Detail by Customer”
Hit the Transaction file named Current AR
Write the month Aging As of Date for which you are reconciling
Note down the month-end date you entered
Choose Accounting Fate for the Aging Basis
Click on the check box that says Include Retainage column
Now check the customer cash receipts, and the accounts receivable amount is the same as the General Ledger accounts
Hit Start to begin report printing
If the accounts are not the same General Ledger account, then here are the steps:
Select Conditions button
Write a condition for the Type named Cash Receipt, not identical to the Customer cash Receipt
Hit Start
Go to General Ledger:
Open the reports menu
Choose Year-to-date ledger
Click on the checkbox named Modify date range
Write the Start date as the initial Date for the month you are reconciling; it must be the same month as you filled in the previous step.
You only need to reconcile a single month at a time
If you use prefixes, then follow the steps below:
Hit the Conditions button
Embed a condition for the base account similar to the AR account that you noted down previously while applying the Accounts Receivable settings
If not using Prefixes
You need to add the accounts receivable that you previously received in the Accounts Receivable Settings.
Hit the Start button
Report review:
If the retainage receivable accounts and account receivable accounts are identical, then match the ending balance for the Year-to-date ledger for all accounts to the Amount column report, plus the total of the Retainage column on the Aging Detail.
If there are different Accounts Receivable & retainage receivable accounts, you need to compare the ending balance to the reports. If the month is not in balance, you need to print the previous month’s reports and check that you have a balance.
Check that the Sales Journal, Finance Charge Journal, and Cash Receipts journal have been updated.
Discover Sales Order, check the daily sales report for updates
Now execute the daily transaction Register
Check that all the source journals are updated
It’s better to print the report of the General Ledger module instead of checking an individual module
Now expand the module, Main, General Ledger, and Daily Transaction Register
Check the current period in the report and write the Accounts Receivable Account
Verify you are balancing the Accounts Receivable
Now, check that no entries were posted to the Account from the Sales Order
If the transaction was not posted from Accounts Receivable, then reverse the entry in the suitable module
Rewrite the necessary transaction in the practical module
Use the hard copies of the journals, register, and daily transaction register to check missing entries from the General Ledger.
If the General Ledger does not contain a transaction, then check that the postings were to the proper accounts.
Make a General Ledger’s journal entry that does not contain the transaction
Check the used amount, posting Date and accounts
That’s all for today! Hopefully, the information is beneficial. If you experience any difficulty while implementing the above steps or need further advice, call Sage experts. Dial Toll-free phone Sage 50 Support Number, or use a live chat to resolve the issues.