Existing Trust Account / Current Balance

Overview

Existing Trust Account / Current Balance

Initial Setup > New Clients

This article steps you through the process of performing the initial reconciliation in Reapit Sales if your office is currently holding funds in any of your Trust Accounts.

If your office is currently holding funds in any of your Trust Accounts, follow the steps below to perform the initial reconciliation.

*Note: If your office has a new Trust Account / Trust Account without any existing balance, please follow the steps outlined under New Trust Account / No Current Balance.

To begin using the Sales Trust module an opening balance and date period will need to be created. This will be achieved by performing an initial reconciliation for the relevant period and if applicable, creating a ledger balance for any funds held in the Trust Account (sale deposits, marketing funds).

*Note: When entering opening balances ensure you are selecting a date for receipts that is within your previous reconciliation date range. E.g. if your final reconciliation in your previous system is June 30th then you must ensure the opening balances are receipting in on or before this date in Reapit Sales.

To help you load your initial balances into Reapit Sales have the following documentation ready from your existing system/software;

Bank statement

Trial balance report

Receipts and Unpresented payments report

Any bank adjustments recorded in your previous system

Reconciliation summary from your previous system

*Note: Ensure you have performed a final reconciliation in your previous system/software before continuing.

If you are holding funds in an existing Trust Account, you will be required to perform the following actions to create an opening balance:

1. Vendor/Marketing Ledgers - load all opening balances for marketing ledgers
2. Sales Ledgers - load all opening balances for sales deposits
3. Log Unpresented Cheques - enter a payment for each unpresented cheque, the money will need to be receipted into the marketing or sales first
4. Bank Adjustments - log any outstanding bank adjustments
5. Existing IBD Accounts - Enter Opening Balances for IBD accounts you are currently holding funds in.
6. Initial Reconciliation - After any initial balances and unpresented cheques have been logged against the corresponding listings, you are required to perform an initial reconciliation in order to verify the opening balance in your new Reapit Sales Sales Trust Module which should equal the closing balance from the last reconciliation performed in your previous system. Your balances, unpresented deposits/receipts and any bank adjustments should reflect the same figures and balances on your end of month reports.

If these steps are not followed, your Reapit Sales Sales Trust Accounting module and your Trust Account bank statements will not match.

Receipt number sequence - The Reapit Sales Sales Trust System will Automatically start at receipt number 1 unless you specify otherwise. If you would like to continue in a receipt sequence from your previous system you will need to take that into account when entering your very first receipt number in Reapit Sales. For example, if the next receipt in your sequence is receipt #50 and you have to enter 10 opening balances of money to be held in Marketing or Sales ledgers in Reapit Sales then the first receipt you enter in Reapit Sales will be 40. That way when you go to log your first 'New' Receipt in Reapit Sales is will use the next number in your sequence, so number #50. Please consult your auditor for advice on best practices regarding receipt numbers and relevant legislation in your state.*

If you will be continuing your numbering from your old database you can calculate the number of receipts you will need to enter for your opening balances by adding the following together from your final reconciliation in your existing system;

Number of Marketing Ledgers holding funds + Number of Sales Ledgers holding funds + Number of outstanding cheques. (The money needs to be receipted into the ledger initially before entering the unpresented cheque payment).

Deduct this number from your "Next Receipt Number" to workout your first Reapit Sales Receipt Number.