Differences can arise between the sales ledger and nominal ledger for the following reasons:
The Debtors Reconciliation Enquiry only shows the balance of the nominal accounts you have specified as debtors control accounts in the Reconciliation Enquiry Settings. The Sales Ledger includes all transactions.
If you have not included all the debtors control accounts, the sales ledger and nominal ledger figures will not match.
The debtors control account only contains current sales ledger transactions that have been posted to the nominal ledger. If you have sales ledger transactions in your waiting postings or deferred posting files, the sales ledger and nominal ledger figures will not match.
Sales ledger transactions are posted to the debtors control account automatically. Several debtors control accounts may be used depending on:
If you have not created the required debtors control accounts, the sales ledger transactions will post to the suspense account. Therefore that sales ledger and nominal ledger will not match.
Once you have closed a period, any transactions dated in the closed period, are posted to the next open period. This can create differences between the sales and nominal ledger as the transactions are reported in different periods.
For example, you enter an invoice on February 4th that is dated January 29th. The nominal ledger period for January is closed. The transaction is posted to the nominal ledger in February but will appear in the sales ledger balance for January.
Currency adjustment transactions are posted according to their allocation date and not the transaction dates. For example, if you enter a receipt dated in February, but the allocation to the invoice is dated in March, any currency adjustment transactions will be posted to March. This will create a difference between the sales and nominal ledgers.
Opening balances transactions do not update the Nominal Ledger. However, opening balances are included on the aged debt reports.
If you have entered an opening balance on your customer accounts, you will expect to have a matching opening balance journal in the nominal ledger to account for this.
The aged debt reports show all outstanding transactions regardless of period.
If your aged debt reports have not matched the debtors control accounts in the past, this balance difference is brought forward into later periods.
Differences can arise between the purchase ledger and nominal ledger for the following reasons:
The Creditors Reconciliation Enquiry only shows the balance of the nominal accounts you have specified as creditors control accounts in the Reconciliation Enquiry Settings. The Purchase Ledger includes all transactions.
If you have not included all the creditors control accounts, the purchase ledger and nominal ledger figures will not match.
The creditors control account only contains current purchase ledger transactions that have been posted to the nominal ledger. If you have purchase ledger transactions in your waiting postings or deferred posting files, the purchase ledger and nominal ledger figures will not match.
Purchase ledger transactions are posted to the creditors control account automatically. Several creditors control accounts may be used depending on:
If you have not created the required creditors control accounts, the purchase ledger transactions will post to the suspense account. Therefore that purchase ledger and nominal ledger will not match.
Once you have closed a period, any transactions dated in the closed period, are posted to the next open period. This can create differences between the purchase and nominal ledger as the transactions are reported in different periods.
For example, you enter a credit note on February 4th that is dated January 29th. The nominal ledger period for January is closed. The transaction is posted to the nominal ledger in February but will appear in the purchase ledger balance for January.
Currency adjustment transactions are posted according to their allocation date and not the transaction dates. For example, if you enter a receipt dated in February, but the allocation to the invoice is dated in March, any currency adjustment transactions will be posted to March. This will create a difference between the purchase and nominal ledgers.
Opening balances transactions do not update the Nominal Ledger. However, opening balances are included on the aged credit reports.
If you have entered an opening balance on your supplier accounts, you will expect to have a matching opening balance journal in the nominal ledger to account for this.
The aged credit reports show all outstanding transactions regardless of period.
If your aged credit reports have not matched the creditors control accounts in the past, this balance difference is brought forward into later periods.
Note: This should be done on a copy of the live data.
Check the Reconciliation Settings in the Nominal Ledger.
| Reconciling sales | Select all the debtors control nominal accounts in the Reconciliation Enquiry settings. |
| Reconciling purchases | Select all the creditors control nominal accounts in the Reconciliation Enquiry settings. |
Check which control nominal accounts are included in the View Closed Period Balances window.
| Reconciling sales |
The Nominal Control Total shown on the View Closed Period Balances depend on the default nominal account settings for the Debtors Control account. |
| Reconciling purchases | The Nominal Control Total shown on the View Closed Period Balances depend on the default nominal account settings for the Creditors Control account. |
| Default Nominal Account settings | Nominal Control Total | |||
|---|---|---|---|---|
| Nominal Account | Cost Centre | Department | Use Specified | |
| 44100 | No | This is the total of all 44100 accounts regardless of cost centre or department. | ||
| 44100 | Yes | This is the balance of only the 44100 account with no cost centre or dept. | ||
| 44100 | ADM | ADM | Yes | This is the balance of the 44100 ADM ADM account only. |
Open all periods for the year.
This makes sure that any waiting postings are posted to the correct period.
Update the waiting postings in the nominal ledger.
This makes sure all transactions entered in the sales or purchase ledger are also posted to the nominal ledger.
Check the suspense account as follows:
| Reconciling sales |
Check the suspense account for any transactions that should be posted to the debtors control nominal account. Journal out any sales ledger transactions. Make sure these are dated in the same period as the original transactions posted to the suspense account. |
| Reconciling purchases |
Check the suspense account for any transactions that should be posted to the creditors control nominal account. Journal out any purchase ledger transactions. Make sure they are dated in the same period as the original transactions posted to the suspense account. |
This makes sure that the Closed Period Balances are updated correctly.
Use View Closed Period Balances to find out when the sales or purchase ledger and nominal ledger last matched.
If the ledgers matched in the past, start with period directly after the balanced period and work forwards.
If the ledgers have never matched, start with the most recent period and work backwards.
| Reconciling sales | Open the Debtors Reconciliation Enquiry and select the period you require. |
| Reconciling purchases | Open the Creditors Reconciliation Enquiry and select the period you require. |
| Reconciling sales | Produce a retrospective aged debt report. |
| Reconciling purchases | Produce a retrospective aged creditors report. |
| Reconciling sales |
Check the Debtors Reconciliation Enquiry and aged debt report. |
| Reconciling purchases | Check the Creditors Reconciliation Enquiry and aged credit report. |
for:
These transactions have a reference of Revalue in the nominal ledger.
There may be many transactions, with any of the listed situations, that can account for the difference between the sales or purchase ledger and nominal ledger.
What do you want to do?
Reconciliation enquiry settings
Other tasks
Debtors reconciliation enquiry
Creditors reconciliation enquiry
Reference