The owner's original plan was just to start using Sage 01-Dec, so we started with bank account O/Bs from 30-Nov.
Then the owner decided to drop the entire year into Sage, so we need to post the entire year's transactions.
Will Sage "know" that transactions prior to 01-Dec are before the not-so-"opening" balances, and adjust accordingly?
Or do I need to correct the O/Bs for the three bank accounts?
If I need to correct them, can I simply enter a journal to credit the O/B amounts originally entered (and debit the suspense account, where the other side is still sitting)?
Once you have keyed all the opening balances you should have nothing in the suspense account, which leads me to presume that perhaps you havent got too far with this exercise. This being the case - a couple of questions - when was their year end? Why does he want the whole year putting in? Just thinking that he may be paying a lot in your fee for no gain, so it could be a way of 'persuading' him that this exercise would be pointless. What software was he using before and can he still access the information once you move to Sage?
How much of the keying have you done? If it really isnt much I would suggest you just re-set Sage and start again.
Dont forget to take regular backups as your progress this exercise so you can restore easily in the event of any mistakes.
__________________
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 owners did literally no bookkeeping for the entire year. They kept thinking the bookkeeper would do it, but then just didn't get around to getting a bookkeeper.
We intentionally left the O/B amounts in suspense because we needed to piece together what was contributed by which owner.
We have also keyed in about 600 transactions over the last couple of weeks, so I really don't see re-setting and starting over.
Can I just create a journal reversing the O/B amounts in the bank accounts and suspense accounts?
Or will Sage basically "work backwards" from the 30-Nov O/B as earlier transactions are entered?
Hi Kate
Reckon thats a good enough reason! You would need to reverse out the incorrect opening balance via journal and then re-enter the correct figures.
__________________
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
