Job Accrual Plans Workspace

Use this workspace to create job accruals from purchase order lines that represent goods and services that are delivered over an extended period of time.

In such a case, it would not be reasonable to create and post an accrual for the whole purchase order line at one time. Instead, accruals occur over a predetermined span of time, corresponding to the period in which the goods and services will be delivered.

This practice helps ensure the accuracy of the job's completion percentage and recognized revenue.

Use this workspace to create a plan for accruing expenses over a span of time. Maconomy can create an accrual plan based on criteria that you define, or you can create an accrual plan yourself.

You can transfer job accrual plans to the Job Accruals and Batch Job Accrual workspaces, where Maconomy performs the job accrual.

The workspace tab displays each individual purchase order line. Use selection criteria to determine which purchase order lines appear in the sub-tab. In the Create Plan island, enter information about that will be used to determine whether the line is part of the accrual plan.

Use the Create Plan action to have Maconomy create the plan automatically. You can later edit the plan. Alternatively, you can create the plan manually in the sub-tab.

Accruals Based on Fiscal Period Lengths

When you create an accrual plan, you can choose to have Maconomy distribute amounts proportionally, based on the number of days in your fiscal periods. For example, Maconomy can allocate a greater accrual amount for January (which has 31 days) than for June (which has 30 days). The functionality is controlled by the Equal-sized Accruals in Accrual Plans system parameter.

If you select this parameter, the Equal-Sized Accruals field in the Create Plan island is selected by default, and all periods that you create using the Create Plan action are considered to be of equal length, regardless of the actual fiscal period lengths.

If you do not select the Equal-Sized Accruals field, you can set up accruals that are proportional to fiscal period lengths.

You can also specify the exact starting and ending dates for accrual plans. If you do, the fiscal periods that are completely covered by the plan's time span received a greater accrual amount than those that are only partially covered.