NetClose - Automating Accruals from Saved Search
Overview
Users can automate the creation of accruals using saved searches. This feature is a powerful way for companies to cut down on the amount of time it takes to calculate and create accruals. The following walkthrough demonstrates how to use this feature to create a monthly bad debt accrual.
Click here to view the walkthrough in full screen.
Step-by-Step Process: Setup
- Navigate to NetClose > Setup > Accrual Automation.
- Select New NetClose Accrual Automation:
- Fill out the desired fields:
| Field | Required? | Description | Example |
|---|---|---|---|
Name | Yes | This field is used to define the name of the accrual rule. | Bad Debt from Invoices |
Saved Search | Yes | Use this field to select the accrual saved search previously created. | NetClose Bad Debt Invoices Saved Search |
| Line Creation Type | Yes | This field specifies whether NetClose should generate an accrual for each individual line in the saved search or create a consolidated accrual entry. | Consolidated |
| Accrual Type | Yes | Determines what balance sheet and expense accounts this accrual will use. | Bad Debt |
| Execution Relative Date | No | This field enables automatic monthly creation of the accrual, eliminating the need to manually generate it from the Create from Search page. Enter a numerical value to specify the day of the month the accrual should be createdāfor example, entering 1 schedules the accrual to be created on the 1st day of each month. | 15 |
| Auto Reversing Day | No | This setting instructs NetClose to create the accrual with an auto-reversing date in the month following its creation. For example, entering 1 schedules the reversal for the 1st day of the next month. | 1 |
| Amount Column Label | No | This field specifies the column in the saved search that contains the amount to be accrued. | Bad Debt Allocation |
| Vendor Column Label | No | Specifies the column in the saved search that should be used to retrieve the vendor. | Name |
| Default Vendor | No | If no vendor column is available in the saved search, a default vendor can be specified to be used each time the accrual is generated. | A Brittles, Inc. |
| Subsidiary Column Label | No | Specifies the column in the saved search that identifies the subsidiary for each line. | Subsidiary |
| Date Column Field ID | No | Specifies the column in the saved search that should be used to filter results when generating the accrual. The algorithm will automatically apply a date filter to this column, using the start and end dates of the current accounting period. If this field is left blank, the saved search must be dynamically filtered by the user. | accountingperiod.enddate |
| Filter By End Date Only | No | When enabled, this field instructs NetClose to use only the current accounting periodās end date as the filter, including all values in the saved search up to that date, instead of restricting results to the periodās start and end dates. For example, when accruing for bad debt, companies often want to include all open invoicesānot just those from the current period. In such cases, this setting should be enabled. | ā |
- Select Save to finalize and store the NetClose Accrual Automation record.
- After saving, the automation can be previewed by clicking the Preview Create button:
Step by Step Process: Operations
- Once the accrual automation is configured, navigate to NetClose > Accruals > Create from Search.
- Filter for the accounting period and select the desired Accrual Automation:
- Verify the accrual amount, select the checkbox next to the accrual, and then click Submit. Note that the accrual type for each item is determined by the type specified in the saved search setup:
- To view the newly created accrual, click the New Accruals tab:
- Select the desired line to open and view the newly created Accrual record:
- The accrual will now follow the same process as manually created accruals. While the accrual is in Pending status, fields can be manually edited as needed.
With accrual automation, accruals can be created monthly either through the Create from Search page or automatically using the Execution Date setting.