Step 6 - Reconcile accounts payable

Ajera automatically creates financial entries to your Accounts Payable account when you perform tasks through these menu options:

• Manage > Vendor Invoices
• Manage > Time & Expense (expense reports)
• Manage > Vendor Payments
• Manage > Client Receipts (refunds)
• Manage > Payroll (for payroll services)

Selecting your Accounts Payable account when working in areas of Ajera other than those listed above (such as Manage > Journal Entries) causes your Vendor Invoice Aging report and Trial Balance report to be out of balance.  

1. Print the Vendor Invoice Aging Report ( Reports > Vendor> Vendor Invoice Aging) as follows:

• Set the As of Date date to the same month-end date that you used to produce the Trial Balance report.
• In the Customize options, in the Date Basis field, select Accounting date.

2. Compare the Vendor Invoice Aging report to the Trial Balance report:

If in balance, the Report total for the Outstanding column on the Vendor Invoice Aging report equals the Current Balance for the Accounts Payable account on the Trial Balance report.

If in balance, proceed to Step 7 - Reconcile salaries payable. Otherwise, complete the following instructions.

AP account does not reconcile to aging

If your Accounts Payable balance on the Trial Balance does not equal the Outstanding total on the Vendor Invoice Aging report, follow these steps:

Ensure beginning balances are in balance

1. Print the Beginning Balance Control Account Verification report. Click Company > Beginning Balances > Trial Balance > (Reports) > Beginning Balance Control Account Verification.
2. For the Accounts Payable account, compare the amounts in the Trial Balance column and the Entered column. If there is a difference (also noted on the report), you must determine which amount is correct and change the amount that is incorrect.

If the Trial Balance amount is incorrect, change the amount entered in the Beginning Balance Trial Balance (Company > Beginning Balances > Trial Balance). If the Entered amount is incorrect, change the amount entered in the Beginning Balance Open Vendor Invoices (Company > Beginning Balances > Open Vendor Invoices).

Determine if any journal or bank entries need to be adjusted

1. Print the Ledger report for entries made from Manage > Journal Entries or Manage > Bank Register. Click Reports > Financial > Ledger, and select the month that you are reconciling (for example, April 2012).
2. Drill down on the Accounts Payable account. Identify any items that have a description of Journal Entry or Bank Entry.

You can review journal entries in Manage > Journal Entries > Existing tab (or click the entry on the Ledger report) to determine the session to print and review.

You can review bank entries in Manage > Bank Register > Register tab (or click the entry on the Ledger report) to determine the session.

Because the Accounts Payable account is a control account, you must determine why entries were made and if they were made in error. Adjust erroneous entries using Manage > Journal Entries or Manage > Bank Register.

Enter adjustments

If an adjustment is necessary, Deltek recommends that you use Manage > Vendor Invoices or Manage > Vendor Payments to ensure that the ledger entries also appear on the Vendor Invoice Aging report.

If these steps do not resolve the out-of-balance situation, contact Ajera Client Services or your Ajera consultant to discuss having Deltek analyze your data.