Automated accounting with digital payments

Has your association activated the accounting module in the Financial application? This module allows financial transactions in other applications to be entered automatically.

Many associations experience the problem that all payments made on their site arrive in one pile and then have to be entered manually. With the Financial application and the accounting module, it is possible to have payments made via the Events, Website, and Webshop applications automatically entered into a set ledger.

Creating a general ledger

The first step is to create the general ledgers that correspond to the orders placed in your association. This makes it easy to keep track of everything. Examples include “Membership fees,” “Event payments,” or “Webshop orders.”

A general ledger can be added in the Financial application by selecting your administration and then going to ‘Settings’ > ‘General ledgers’ > ‘Add’.

In the screen that appears, you can set the properties of the general ledger.

• Code: Assign a code to the ledger here. Ledgers can be categorized by having them start with the same numbers.
• Name: Assign a name to the ledger here.
• Category: Group ledgers by linking them to a category. These categories can be created in the categories tab. Grouping ledgers ensures that these ledgers are merged, for example, on the income statement.
• Type: Choose here whether the ledger should be linked to the balance sheet or to the income statement.
• Position: Determine the position of the general ledger here: debit, credit, or balance dependent.
• Active: Determine here whether the general ledger is active or inactive.
• Hide in overviews with balance 0: Determine here whether the general ledger should be hidden when there is no balance.
• Activate markers: Add a marker to the general ledger so that it can be distinguished in the system.

Link between applications and general ledger

The second step in this process is that the relevant general ledger can be selected in the Events, Website, and Webshop applications, so that payments made here are automatically entered.

• In the Events Application, it is possible to select the general ledger to which the invoices for this event should be posted under ‘Configuration’ > ‘Invoicing’ for each event.
• In the Website Application, it is possible to link payments in forms to a general ledger. This can be done under ‘Payment’ > ‘Link to Financial Application’ when the latter is activated.
• In the Webshop Application, when a product is added to the store, it can be determined under ‘Financial’ to which general ledger the invoices for this product should be posted.

Examples

In the following two examples, €25 is paid for an event. Payment could be made via Mollie or by invoice. These examples show the difference a PSP such as Mollie makes in the automatic posting of invoices.

Payment by invoice

When paying, the option ‘Pay by invoice’ is selected. The €25 is paid, resulting in one journal entry for the order. Namely:

This leaves the invoice open as an account receivable. This entry can be reconciled by importing the bank transactions.

Payment via Mollie

When paying, select the option ‘Payment via Mollie’. The €25 is paid digitally immediately, resulting in two journal entries for the order. Namely:

A booking is automatically made for the settlement via Mollie. When Mollie transfers an amount to your association's account, the system recognizes which payments Mollie transfers and which invoices they correspond to when reading the bank transactions. In this way, digital payments are booked fully automatically.