I took over a client a few months ago and Ive been merrily matching a gazzillion and one remits to invoices until today when Ive come across two that are not showing. Customer only started using this software in Aug 14 and these invoices are from 2013 and the previous bookkeeper clearly thought they had brought everything forward.
Wondering best way to deal with this and how to key the invoices.
Im using Sage (but dont let that put off the non sage responders! )
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
the immediate issue is a couple of identified missing invoices. I assume that the client invoiced for the payment so a documentation trail exists somewhere and the missing documents just needs to be entered into your software.
You don't mention whether you think that this is outside of the current company year. If so, if its material then it will need to be adjusted in the opening balances but (more commonly) if its insignificant simply enter as if the invoices were issued on the first day of the current period.
The real worry is whether the two missing invoices are isolated incidents or indicitive of other missing documentation which will not become apparent without payments.
Have a look at the invoice reference numbers and see if you can spot any gaps in the sequence from the time of those two missing ones to when you took over. If so, when looking for the two missing invoices see if any identified missing sequence numbers are also there.
Good luck,
Shaun.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
Hi Shauny Shaun
Oh dear, where to start on this one. Was a mammouth task for the previous bookkeeper I think. As the company has grown they have used a coupe of different pieces of software to issue invoices - hundreds per month. They also used accounting software called Accountz (which I dont have access to). The previous bookkeeper was tasked with moving it all to Sage at the start of the financial year 1 Aug 2013. These invoices are pre Aug 2013 so yes are part of the previous financial year.
The software doesnt produce sequentialised invoices - they are random numbers, although now at least they are quoting the date of issue within the invoice reference, so I cannot check that way and as I have no access to the previous year ends (and neither it seems does the Accountant to the full extent - its a new Accountant!!), so I cannot check back.
I think there could be a few more missing although the individual invoice amounts are certainly not significant in the scheme of things. I did try to do a reconciliation of one of the old systems to Sage and found a couple more, although I am still trying to wade through (the issue now would be costs to my client for me spending even more time on this!)
My thoughts were that as these are the first few Ive found since starting there in March (clearly not using a scientific method) - I would do as you suggest and enter as if the invoices were issued on the first day of the current period.
For now Ive dumped them as Payments on Account (cash accounting so need for VAT) and then I will see if I can do some more digging.
Dont you just love em!
Thanks as ever!
Have you quietened down a bit (you seem to be back on here more now)
Jo
__________________
Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
sounds as though you've hit a perfect storm scenario of dramaticaly increasing business and changing the companies software and bookkeeper and accountant all at the same time.
What sort of crap software doesn't produce sequential invoices! Darn they don't believe in making out lives easy do they!
Sometimes I feel that clients try to make it difficult for us in order to feel that they are getting their moneys worth.
I seem to be going through a cycle of manic - quiet - manic - quiet (repeat ad infinitum).
Even when not posting I generally have the site open on one of my screens to keep a weather eye out for those lil SEO miscreants.
Laters,
Shaun.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
I don't half pick em. Actually I really enjoy working for them so it has it's upsides for a change! They want me to run the HO side of the business and for some reason think I'm wonderful. But seriously it's nice to be appreciated.
I know what you mean about the cycles of crazy busy, I'm in one at the mo. Not helped by being ill so I was on a major slowdown for a few weeks so also playing catch up. Woman on a mission. Don't wear yourself out Mr. M.
__________________
Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
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