Financials Training Guide

Assumed Knowledge

Before you attempt the General Ledger training guide, you must complete:

- The overview training guide

The skills covered by the training guide segments listed above are taken as assumed knowledge. Do not proceed with this segment of the training guide until you have reviewed the training guide segments listed above and successfully completed the skills test at the end of those earlier training guide segments. You can't successfully complete this segment of the training guide without the skills covered in those earlier segments. There are no effective short-cuts! Don't sell yourself short by skipping those essential skills.

Financials Training Overview

The key to using the Financial training guide is planning which parts of the guide are important to you:

The first time you read through the financials training guide, do so quickly, looking for points and features of interest to you. We advise you to look through all the financials features, even if you have to print this page or export it to work. Then tick off which features you want to use in your business. At the end of this first pass you should have a list or the points you need to learn. The work out which people in your business need to know each of the identifies points of interest.

Then go through the Financial training guide a second time. Ensuring you make sure the right people in your business learn the right financial procedures. When working through a second time focus on detail, watch the videos and read the training material for each point of interest to your business.

For a more complete overview of Readysell financials see: Readysell Payroll and Financials.pptx

General Ledger Overview

General Ledger

High end financial features such as live profit and loss report right on your screen, charting performance trends and ratios with extensive customisation capabilities
Tight Control over Financial Period.
Roll Base Security in isolating what user has access to the financial module.
Audit Trail, limited for Financial Accounts
Drill down Back to Source Transaction.
Full set Standard Account Reports. Best practice is to download extras from the store eg (All sites), (multiple sites)
Flexible Tree Bass Chart of Accounts. Use View of Accounts with Balances on the Profit & Loss tree view
GST Reporting using GST Items and GST Batch
Standard and Auto Reversing Journals.

Accounts Overview

Accounts

Chart of Accounts is a list of numbered accounts containing Ledger Account Names and Numbers that are affected by the financial transactions of a business into the General Ledger. The Purpose of the Chart of Accounts is to provide a listing of the different accounts used by the organisaion according to their intended purpose. Readysell has a set Chart of Accounts, the Chart is reviewed by the Site as additonal Accounts may need to be added.

The 7 Basic Accounting Types (in order) are:

Assets - Things you own
Liabilities - Things you owe
Equity - Owners Stake in Company
Revenue - Income through Sales of the Products of the Business
Costs of Goods Sold - Costs to provide the service or to manufacture or acquire the product the business sells
Expenses - Things that are paid for that are consumable, they have no lasting value but are part of the cost of running a business
Other Revenue and Expenses - Revenue and Expenses that are unusual cases and are not directly related to the business product and are not usual costs of running a business.

Financials Key Skills

Financials quick reference guide

From the Navigation Panel select Financials. Then select Cashbook, General Leger or Tax. From the list view you need to know how to complete all the basic actions below. You should then learn how to complete all of the advanced processes.

Basic financial processes

Star Rating	How To	Skills Test
*****	Entering Manual Bank Deposits	This transaction is only for Deposits that appear on a bank statement that have not been entered on any card of any type. Click New, Enter the date that is on Bank Statement, Tender,Bank Account, Description, Payment Reference, Select the correct General Ledger Account, Value and Tax code. Click on Finalise. Transaction Type = CBKDEP
	Entering Manual Bank Payments	This transaction is only for Payments that appear on a bank statement that have not been entered on any card of any type. Click New, Enter the date that is on Bank Statement, Tender,Bank Account, Description, Payment Reference, Select the correct General Ledger Expense Account, Value and Tax code. Click on Finalise. Transaction Type = CBKPAY
	Creating a Recuring Bank Payment	Your regular bank payments can be handled automatically as reccuring bank payments. Let's say you have to pay rent every month. You can just setup a reccuring payment and the system will create the required payment based upon the rules that have been set up on the recurring payment itself. The recurring payment that has been set up will stand for the master payment and the status will always be OPEN. In addition, weekly payments can also be automated. Best practice is to have your bank perform a direct debit on a regular basis. Then use a bank reconciliation rule to import the payment into your system from the bank statement. If you are not using automated bank reconciliation import or if you can't get the bank to setup a direct debit to handle your regular payment requirement, then you would use this feature to create the payment from within Readysell.
	Entering a Bank Transfer from One Bank Account to Another Bank Account	A Bank Transfer is a electronic payment that is made directly from your bank account to another bank account. Eg a payment made from your master bank account to your Visa Credit Card Account.- (in other words a bank-to-bank transfer/payment). The contra account for this bank transfer is 11535. This account is a mandatory account. Please do not change this account id to stand for anything else within the chart of accounts.
	Bankings	The Bankings Modules contains the movements of all Money in and out of any General Ledger Account that is has been set up and flagged as a Bank Account. It is a list of all Payments Received being from a Customer, Cash Sales, Cheques, Eftpos, Direct Deposits and Payments made to a Supplier along with all Banking Deposits, Banking Payments and Banking Transfers. Basically any transaction that affects any Bank Account will flow through into the Bankings Module. Please note, there is a flag on the genera ledger chart of accounts that stands for 'Is Bank'. If this flag is turned off at any point in time, then if you use a tender that is linked to this bank account, you will not see the transaction in the Banking file nor the bank reconciliation No manual entries can be added through the 'Bankings' Module. .
	Performing A Bank Reconciliation	Before you commence your first Bank Reconcilation, ensure that Readysell has set up the First Bankrec to stand for you closing bankrec from your old system. A Bank Reconciliation is a process that explains the difference between the bank balance shown in a companys bank statement, as supplied by the bank, and the corresponding amount shown in the organization's own [accounting] records at a particular point in time.
	Modifying the General Ledger Chart of Accounts	The purpose of the Chart of Accounts is to provide a listing of the different accounts used by the organisaion according to their intended purpose. Readysell has a set Chart of Accounts, the Chart is reviewed by the Site as additonal Accounts may need to be modified/added. The AccountIDs are not to be changed as they are mandatory and used in various areas within Readysell. Adding and Modifying Accounts is the way to go. Before you start trading with Readysell you must adjust the settings on your main bank account and setup any additional bank accounts! As the bank account details from your main bank account print on your sale invoices! Setting up the Primary Bank account and Other Bank Accounts. You can only have 1 Primary Bank Account but many Bank Accounts. Readysell has a standardised chart of accounts that you can add accounts to. Once all the bank accounts are set up, ensure that you have all tenders set up to point to the correct bank account Setting up a Tender Log onto Readysell>Financials>General Ledger>Accounts>List View If you are working from Tree View, click on the Expand All action button in the top ribbon (task bar) Find in the Asset section the main bank account 11505 and highlight it In the Detail area, field = Description, enter the Bank Account eg could be Bank itself along with the name or just the name of the bank account Show me Click on the Settings Tab 'Is Bank Account' = Ticked 'Primary Bank Account = Ticked Bank Account Bank = type in the bank EG NAB Bank Account name = type in the name of the Bank Account Bank Account BSB = type in the BSB Bank Account Number = type in the Bank Account number Click on SAVE Show me If you have any other bank accounts, do the same. For Visa/Credit Card accounts, Readysell has a list in the Liability area starts at 34000 Make the appropriate changes and Save
	Adding/Removing Transaction Types from a General Ledger Chart of Account	Readysell allows you to restrict certain transaction types from a General Ledger Account to reduce the chance of errors.
	Setting up General Ledger Account Budgets	General ledger budget figures let you measure actual performance against your expectations. The general ledger figures are of not much use on their own. At some point you have to compare your general ledger results against some expected standard. The budget figures allow you to record your expected results, your business plan, in advance. Then to monitor actual performance to see if you are meeting your goals. All well run business enterprises have a business plan and compare results against the plan. Best practice is to enter general ledger budgets, at least on a few key accounts like revenue and expenses, at the start of the year. Then every month check your results against your expectation. If the business is not performing as expected, you will have time to do something about it before the end of the year.
	Entering a Manual General Journal	A Manual General Ledger Journal is only entered when you need to record a nonroutine transactions, such as depreciation, sale of an asset, etc. When inserting a general journal you must enter the account to be debited and the account to be credited and the amounts. Once a transaction is recorded in the general journal, the amounts are then posted to the appropriate accounts for that period. If a source transaction has been posted to the wrong general ledger account or the value of the transaction is incorrect, a general ledger journal is not the way to go. You must go back to the source transaction and fix it from there. Transaction Type = 'GLJMAN'
	Financial Reports	Select reports from the navigation panel, go to form reports then select the "financial reports" category. Run a profit and loss and a balance sheet report.

Advanced Financial Processes

Cash Book

Bank Deposits

Bank Payments

Bank Transfers

Bank Reconciliations

General Ledger

Accounts

Journals

Standing Journals

Tax

GST Batches

Backdating Cost on Shipments

How to handle backdating COGS to be same date as the backdated Invoice

Going Live with Readysell Financials Including Entering Initial Balances

Initial setup of financials including brought forward balances

Budgets

Importing budgets

Importing General Ledger Budgets Using the Import/Export Module
Checking budgets have imported correctly
After importing the budgets, run form report F-009 in order to check that the budgets have been imported correctly.