[GL] How to setup and use GL Auto Journal Entry

Created by Crystal Ann Harvey, Modified on Thu, 16 Oct at 2:50 PM by Crystal Ann Harvey

The Auto Journal Entry feature allows you to set up recurring journal entries to be run automatically each month.

Entries can be set up as fixed amounts or calculated amounts based on percentages or ratios. They can be set up to be posted indefinitely or through a certain month. Once you have set up your auto journal entries, posting will be done for you by running GL Auto Journal Entry.

There are three types of allocations for auto journal entries:

Percent - Use to post a fixed percentage of an account or total.
Ratio - Use to post a percentage of an account or total, based on the ratio between two accounts and/or totals.
Fixed Amount - Use to post a fixed amount.

You can use these allocation types either singly or combined to accommodate both simple and intricate entries. You can base the entry on fixed amounts, account balances, and/or previous totals in the entry.

Possible Uses for This Feature

Auto journal entries can be used to expense prepaids monthly. Just set up a recurring entry to debit the expense account and credit the prepaid account for a set amount and a specified length of time.

You can also use them to auto allocate overhead expenses based on:

a percentage being applied to each profit center or,
a calculation of other accounts, such as sales or profits by region.

To use this feature, set up the recurring journal entries in the GL Auto Journal Entries maintenance program. Then each month, run the GL Auto Journal Entries program to post the entries.

Use the Fixed Amount Allocation Type in GL Auto Journal Entry Setup to enter fixed amounts.

Choose the Journal
Enter the Entry # (Each entry will have to balance to 0)
Enter the Sequence # (At least 2 sequences will be needed for each Entry #)
Select the Allocation Type of 3-Fixed Amount
Enter the amount for the sequence
Select the Post To of A-GL Account
Enter in the GL Company # and GL Account
Select the Frequency (You will use this identifier in GL Auto Journal Entry)
Enter a Reference and Description
Enter a Last Mth to Post (Optional)
TIP: The default system can enter up to 2029. Entering 1/30 can pull a year of 1930 based on your computer settings.
You can now use the program GL Auto Journal Entry
1. Enter the Journal
2. Choose the Transaction Date
3. Select the Frequency used in the setup
4. Click Initialize (This will create a new batch of entries that can then be posted)
  CAUTION: You can run the GL Auto Journal Entry for the same Auto Journal Entry Setup multiple times. This can cause duplicate entries within a single batch month.