NetAsset - Creating assets from proposals (clearing)

Overview

Once transactions are assigned to the Fixed Asset Clearing Account, they must be processed by either converting them into assets within NetAsset, expensing them, or removing them. This article provides guidance on these processes.

Prerequisites

All setup & configuration activities (Asset Type and Asset Account Mapping) need to be complete.

Asset creation

Custom GL Lines plug-in lines stay on this page after capitalizing

Lines added to a transaction's GL impact by a Custom GL Lines plug-in (for example, tax lines from a tax engine) can be selected to create an asset, but NetSuite doesn't let NetAsset tag them with the asset. They stay on this page afterward, so it's easy to capitalize the same cost twice, and they don't appear in the asset's related transactions. See NetAsset - Remove transactions from capitalization queue for how to handle these lines.

Create single asset

Navigate to NetAsset > Create New Assets > Create Assets from Proposals (Clearing). If the user needs to instead view transactions from the CIP account, select Switch to CIP. This will take the user to the Create Assets from Proposals (CIP) screen.
Add any transaction filters needed to isolate the desired asset then click Filter.
Check the Select checkbox next to any number of line items/expenses coded to the clearing account then click the Create Single Asset button to create a single asset from multiple transaction lines.

You will be redirected to a new asset record with the following pre-populated from the corresponding field on the transaction:

Transaction Field	NetAsset Field	Multiple lines selected
Memo (or user input)	Name	Filled only if every selected line has the same name. Otherwise blank.
NetAsset Type (or user input)	Asset Type	Filled only if every line has the same type. Otherwise blank.
Subsidiary (Main)	Subsidiary	Not supported. If the lines have different subsidiaries, a confirmation prompt appears and Subsidiary is left blank.
Currency (Main)	Currency	Filled only if every line has the same currency. Otherwise blank.
Department (Line)	Department	Filled only if every line has the same department. Otherwise blank.
Class (Line)	Class	Filled only if every line has the same class. Otherwise blank.
Location (Line)	Location	If the lines have different locations, a confirmation prompt appears and Location is left blank.
Project (Line)	Project	Filled only if every line has the same project. Otherwise blank.
Vendor (Main)	Vendor	Sourced from vendor bills, vendor credits, vendor payments, purchase orders and item receipts only. Filled only if those lines share one vendor. Otherwise blank.
Item (Line)	Item	Filled only if every line has the same item. Otherwise blank.
Quantity (Line)	Quantity	Sum of the selected lines.
Transaction Date (Main)	In-Service Date	Defaults to the date of the first selected line. Confirm it before saving.
Transaction Date (Main)	Acquisition Date	Earliest date among the selected lines.
Amount (sum of selected lines)	Capitalized Asset Value At In-Service	Sum of the selected lines.
Source Transaction	The originating transaction (if there is only 1)	Filled only if every line comes from the same transaction. Otherwise blank.

Lines with a blank value are skipped when comparing. Custom segments follow the same rule: filled only when every selected line has the same value.

Combined lines are cleared at the asset’s segments

The capitalization entry credits the clearing account using the asset’s subsidiary, department, class, location and custom segment values, not the values on each source line. If the selected lines have different values, the clearing account nets to zero in total but keeps offsetting balances by segment. To clear each segment separately, use Mass Create Assets, or combine only lines that share the same values.

Any additional fields can be sourced to the NetAsset Asset record via setting up a Custom Sourcing record with the Asset Creation type.
Fill out all the required fields referenced in the section and save the asset.

Upon saving, the selected transaction lines will be updated with a link to the newly created asset record. You will then be redirected back to the proposals page where you can continue to create new assets.

The created asset record will have a sublist of all underlying transactions that were used to make up its balance in the Related Records tab.

Mass create assets

To create an individual asset for each transaction line selected, click the Mass Create Assets button (enabled via NetAsset > NetAsset Setup > System Setup).
- Note that this requires a Name and Asset Type defined for each line to ensure that assets can be created with all required fields.

You will be redirected to a processing screen where you can monitor the status of your newly created assets.

Once proposals have all been processed and new asset records have been created, they are ready for depreciation schedule generation.

Choosing how to process a transaction

Each transaction on this page should end up capitalized, expensed, or removed.

Action	Use when	Where it's covered
Create Single Asset	Several lines make up one asset.	Create single asset, above
Mass Create Assets	Each line is its own asset.	Mass create assets, above
Recode the transaction	The cost was coded to the wrong account.	Recode the transaction to another account, below
Create the asset, then dispose or inactivate it	You need an asset record for a cost that won't be depreciated.	Create the asset, then dispose or inactivate it, below
Expense	The cost should have been expensed.	Direct expense transaction, below
Remove	The cost belongs in the account but shouldn't become an asset.	Remove transactions from proposals, below

Recode the transaction to another account

Edit the transaction and change the account to one that isn't the Clearing or CIP account (usually an expense account).
Click Save. The transaction no longer appears in the queue.

Create the asset, then dispose or inactivate it

Create the asset as normal via the mass create or individual creation process explained above.
Depending on the GL impact flow, best practice is to capitalize the asset and then dispose of it via the normal process.
- You can also manually change the status to Disposed or inactivate the asset, but no journal posts, so the cost stays in the Clearing account and no disposal is recorded. This will affect reconciliation and reporting.

The other option is to inactivate the asset by going to the record in Edit mode > System Notes, check Inactive. Save the asset.

Direct expense transaction

For costs that are incorrectly coded to Clearing and should have been expensed, NetAsset supports direct expensing from the Create Assets from Proposals page.

The Expense button appears only when Direct Expensing is turned on under NetAsset > NetAsset Setup > System Features. See NetAsset - Direct expensing from the Create Assets from Proposals page for a walkthrough.

Remove transactions from proposals

Transaction lines that are correctly coded to the GL account but not going to become an asset are best to remove from the CIP/Clearing page to avoid accidental asset creation.

The Remove button is available on the Clearing/CIP page to auto tag the transaction line on the backend to then not show in the list. See NetAsset - Remove transactions from capitalization queue for a walkthrough.