I am closing off the year end in sage and the creditor controls account shows a difference to the aged creditors. I have double checked both of these and the only thing that is maybe connected i can find is that in the mispostings account the amount in the year is almost equal to the difference in credtor control account. Although the mispostings account has a zero balance it was used for cancelled supplier payments maybe where duplicates were done therefore there was a payment received into mispostings then a supplier invoice into mispostings. Am I right in thinking that somehow this is what has affected the incorrect figure in creditors control account?? If so how can this be correct this?
Not knowing exactly what has been done with regard to the mispostings account it is difficult to say. The most common reason for disagreement between Aged creditors and Creditors control is journals posted directly to the creditors control account. I assume when you run Check Data the error is highlighted?
When I ran check data no errors were found I just noticed the difference when checking the tb for creditors control against aged creditors. I printed off history for credtitors control and checked there were no journals which there wasn't and all items in this account are purchase invoices or purchase payments. It seems strange that the total for mispostings is roughly the diffference amount thought maybe I have not posted these correctly. Would this affect the control account?
It's possible that whatever it is you've done with the mispostings account has affected the control account, but without knowing exactly what you have done it's difficult to say. If you took the figure for the control account from the TB and then ran an aged debtors report, check that the date you ran the report to is the same as the date you ran the TB to. For instance, if you ran a TB to June 2011 but then ran the aged creditors report as at today's date, the figures won't be the same.
When you run check data the error should come up under the "Warnings" tab.
If all else fails, perhaps you could give me a a breakdown of what transactions you have posted to the mispostings account? Perhaps a pdf of the mispostings account transactions and the relevant entries in the creditors accounts?
I think i have found the error. It seems to be payments that were made to supplies but were paid by dd at a future date. For example the year end is 31st March and there were some supplier invoices dated March which are paid by direct debit, the direct debit date was in April but it was posted prior to end of March. It seems that this is the error so the aged creditors account is reduced but the payment doesnt show on the creditors control up to 31st March.
How can I correct this? as the bank with these payments has been reconciled? do i need to amend the dates of the payment to prior 31st March or reverse them out? What is best way around this?
Good point Nick, thanks. Should I amend the date of the future transactions? If not how will this then affect the accountants work when completing the year end?
If the payments were made in April then that is the date that must be used in Sage. If you take Nick's suggestion and tick the box to exclude future transactions on your Aged Creditors report then it should agree with the Creditors control account in the Trial Balance at 31st March. The Supplier invoices will show as still outstanding at your year end, so will show under Current Liabilities on your Balance Sheet.
