Scope
How to configure RevRec to use Ledger Accounts?
How to create simple Account Mapping in RevRec?
How to perform Advanced Journal Account Mapping?
Summary
Journal Posting is when you close an accounting period, you might want to post your journal entries to your ledger at the same time. If you have integrated with an accounting system, RevRec automatically posts your journal entries for you, after you close the period. RevRec produces Journal Entries as a part of its computation and tracking of revenue and commissions. Navigate from Connect to another system > Accounting > Connect > Connect your data > Journal Posting.
Solution
Journal Account Types
Log in to your RevRec site and switch to the right environment and click Accounting.
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On the Accounting page, click the Connect icon.
On the Connect your data popup, select Journal Posting.
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The Journal Posting popup displays are the available accounting systems for integration.
Select your preferred accounting system and go through the integration steps.
After integrating the RevRec site with your preferred accounting system, the journal entries are automatically posted into your accounting ledger when the accounting period is closed.
RevRec uses the following journal account types.
Revenue Accounts
Contra Revenue: Deduction from gross revenue for the purpose of revenue recognition over the period of the performance period.
Deferred Revenue: Liability on the company's balance sheet that represents pre-payments by customers for goods or services.
Revenue: Fees earned from providing services and goods.
Commission Accounts
Contra Commission Expense: Adjustment to the commission expense incurred when commissions are paid out. Adjusted commission expense will be amortized over the lifetime of the customer.
Deferred Commission: Commission costs that are already incurred but will not be charged to expense until a later period.
Commission Amortization: Commission expensed over time as the service is provided.
Internal Chart of Accounts
RevRec is pre-configured to produce Journal Entries based on the chart of accounts shown below.
Configuring RevRec to use Ledger Accounts
You can customize the internal chart of accounts in RevRec to map to your company's accounting systems chart of accounts.
Simple Account Mapping
If your company has a single account for each account type described above you can simply map a ledger account number to each RevRec internal account number.
To do this go to 'Accounting' on the main menu and then select 'Journal Accounts'. Then click on the 'Create New' button on the top right of your screen.
This will open up the 'Add/Update Journal Account' dialog. Set the Account Number, and Account Name and choose an account type. Toggle "Default XXX Account" so that it's checked. Click the save button.
That's it, you just added a new Journal Account mapping. This will be used as the default Journal Account for the account type you selected. Click here to know more.
Advanced Journal Account Mapping
If you have multiple revenues, deferred revenue, or other accounts you can leverage advanced journal account mapping.
In order to use the 'journal posting' integration flow (automated journal posting) you must first configure your journal account mapping.Related Articles
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