my new client has just opened a dollar bank account. some of his customers have paid their invoices into the sterling account. In sage if a customer is set up as dollar account you can not enter a customer receipt for an invoice into a sterling bank account. Therefore can anyone suggest the best way to deal with the payment going into the sterling account as i need to clear the invoice of the customer account.
the way i was thinking was to enter the payment into the dollar bank account through the customer account and then do a bank transfer from the dollar bank account to the sterling account but am a bit worried this may cause problems with regards to exchange rates etc.
does anyone know of a better way of dealing with this?
Just to get this straight in my head...the customers are set up as dollar accounts, but they pay their invoices in sterling? Are the invoices sent to them in dollars? If so, then there will already be an exchange rate difference when they pay? There is an exchange rate difference nominal in Sage which you can post any differences to. I used to use HMRC's exchange rate for the particular month.
Hi, yr absolutely correct - a foreign account supplier or customer can only be paid from/ into a foreign bank account. It is therefore an idea to receive money against invoice into the foreign account however then complete a transfer - this will leave an exchange rate variance to write off. It can take some juggling so can be wise to take a back up first and reconcile the $ account each time you enter - easier to keep track then a month or 2 down the line.
__________________
Donna Curling - Complete Book-Keeping Ltd (CBKLtd) - 07939 101900
