I am struggling and really need your help/advise on this. I have to post an invoice which was raised on 1/04/09 for £108 ( Commission fees) that covers the period 15/03/09 -14/04/09. The Financial year starts 1/04/09.
How do I post this on sage? Please help me i know its simple for most of you, but I do find it hard.
Perhaps you could help me with this 2, My client receives rent and commission, he than pays the rent to the landlord and its only left with commission. Any suggestion on how to enter this transactions on sage.
I am so happy that forum like this exists, Thank you all
Hi vassy. To answer your first question - I would enter the invoice to the relevant creditor account in sage and post this to the commission nominal. If this commision fee was known before the previous year end, the amount of this invoice (ie 15th march to 31st march) should have been journalled to accruals (ie dr commission cost, cr accruals). Now you have received the actual invoice, the amount relating to last year can Be taken out of this years costs by doing a further journal to reverse last years accrual (dr accruals, cr commission).
For your 2nd question - are you sending out invoices for the rent and commission ?
Thanks for getting back to me on this so soon, back to my first question,so the Sales inv of £108 (for commission )raised on 1/04/09 I should post to the relevant debtor account and use the commission nominal I understand that thank you, but I am so no clear on the rest! Please explain
As for the second question, only one invoice for commission
The income he recieves will be all rent from the tenant. You then need to pay the rent to the landlord and the balance left will be his commission.
When the money is received, you need to know what the split will be and have a 4001 code for rent commission and a 4002 code for rents received. You can enter the amount received as a receipt through the bank.
When you then pay, you can allocate to say 5001 code, which should be the same as the 4001 entry.
The commission received should be shown on the rent statement sent to the landlord. It can be issued an invocie number but an invoice does not have to be issued.
It would make a lot of sense to also have a client account, if receiving money on behalf of landlords etc
With the original commission receipt, the commission may not be for that period but the rent is, but why would it be raised on 01/09 as it should have been raised on 15/03....
Thx for your reply, everything makes much more sense now, I havent given the rent nominal tho, the Co. has got a back office system which monitors rent in/out. I agree that should be on my ledgers but have been told not to bother
My income is as follows Sales Ledger Sales - Letting ( Commission ) N/C 4000 Sales - Maintenance N/C 4010
I seem to have hit a brick wall with regards to steps I need to take to enter the direct expenses for Sub Contractors. The more I write it down the more confused I've become.
I have input all the invoices/ credits, staff salaries, drawings, customer invoices/payments, but can I get my head round how to do this NO!
I would welcome any help/ advise you could give me.
Thank you in advance.
Lottie Example Sub Invoice £ 540.00 CIS will not be paid this week but at the end on the period 19th M
I've not dealt with this before but how about using the following om codes:
6002 - subcontract labour 6003 - subcontract labour tax element 2213 - sub-contractor tax element 2225 - Net subcontractors
Then in your example
dr 6002 £432 dr 6003 £108 cr 2213 £108 cr 2225 £432 At this point, the total £540 has been debited as an expense to subcontractors (albeit via 2 nom codes) and on the balance sheet there is a liability of £432 owing to the subbie and of £108 owing to hmrc.
