[DWebster]

Hi,
I’m just in the process of converting from NV1 to NV2 and am testing “how I do things in NV1” with the functionality available in NV2.

I’m using NV in a very simple application that involves paying employee benefit claims as a trustee for multiple employers.

I’ve set up all employers as trust accounts liabilities in NV1 with a normal credit balance and their total appears under “liabilities” on the balance sheet.

The employee “claims” are under accounts payable.

I enter the claims as regular payables and pay them the way you would any AP. The cheques print great and the accounts are reconciled fine in NV2 just as they would be in NV1.

The ER trust accounts are giving me some problem in NV2, however. I imported them over as AP types. The EE claims appear as single line items debiting these trust accounts. Then when I receive a cheque from the ER, I enter it as a bank deposit, often a single cheque paying for several claims. I then try to reconcile this cheque with the EE claims from the bank deposit using Tools>Apply deposits and the results are not good.

In the description field for the deposit I’ll enter “payment 1207, 1245, 1269” to identify the 3 claims to be paid. In the “apply deposits” box, I’ve set the parameters as:
“yes” to apply partial payments
“process” accounts with reconcile errors
“reference” apply method
“yes” to confirm/edit payment application

What I get in the trust account for the ER is 3 boomerang transactions (6 lines of entry), the first claim reconciled and the rest not. It’s a real dogs breakfast.

So my questions are:
1) Am I not choosing the right parameters in the “apply deposits” box, and just missing on how to use this tool? OR

2) Is there a problem with setting up the trust accounts as AP, should they be set up as ARs instead, as the transactions act more like receivables altho in fact, trust accounts are liabilities to us?

OR
something else altogether?
Any help would be greatly appreciated.

The proper reconcilling of these trust accounts is the heart of our business and I would prefer not to go in and have to manually reconcile the deposits with the claims they are paying the way we did in NV1.

regards,
Dave

[MSchappler]

Enter as your comment

Payment; 1207 1245 1269

Run Tools > Apply Deposits again.

Are your Vendor Trust accounts reconciled properly before issuing Tools > Apply Deposits (The Invoice aging is correct).

Regards to All,

Martin

[Author]

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