No - no part of the accrual journal(s) need to touch the supplier account.

The invoice is posted as normal, which it sounds like you've done. You then credit accruals and debit the relevant expense nominal at the year end date - which, again, it sounds like you've done.

The final step is to reverse that journal - debit accruals, and credit the expense account - but on the first day of the new year.

In a slightly different context, I've been thinking about a 'shortcut' for accruals...

In this case one of my clients receives a fair number of invoices dated just after the end of the month, for services just before the end. Since they have monthly accounts, most of the time I just 'cheat', and post the invoices on the last day of the month. Obviously, this isn't appropriate four times per year - the VAT quarter ends (and the year end, but that coincides), so I have to do it long hand - posting the invoices correctly, then raising an accrual, then reversing it.

Today it finally hit me. If I post those invoices correctly every time, but to a separate nominal set up for the purpose, then when I produce the monthly figures, I just have to glance at that nominal to see the total amount to raise as an accrual. No need to do so individually, or keep a *separate* record of the amounts to do it in one go; the separate nominal IS that record, and effectively already contains the reversal. All I have to do is post the accrual journal based on the total.

(Okay, there are actually two types of supply - but even that'll be no problem with this method.)

I take it you've answered your own subsequent question? (I glanced at the forum earlier on my phone and saw it - but you've obviously now edited it out.)