GL companies [in-depth guide]
Guide contents: Navigation | Add a GL company | Use GL company | GL company security | Intercompany transactions | Turn off GL companies | ACH notifications
Menu > Admin > System setup > GL settings > GL companies
A GL company in Workamajig is considered to be a separate financial entity from other GL companies in the system. If you wish to use this feature, you MUST set up at least two GL companies. Once activated, there will no longer be a "null" or "no designated GL company" in the system. GL companies are used to segment transactions posted to the general ledger. Workamajig offers a level of separation for financial transactions at the company level for balance sheet entries. In Workamajig, you can run a trial balance at the company level as well as track profit & loss by company.
Add a GL company
- Click to add a new GL company.
- Company ID: required, enter a unique ID for this company.
- Company name: required, enter a descriptive name for this company.
- EIN number: enter the EIN number for the GL company
- State EIN number: enter the state EIN number for the GL company
- Web site/phone/fax: enter the appropriate information for these fields. Can be used for invoice layout and reporting purposes
- Active: checked by default - determines if the transactions can be entered using this company. If a company is no longer active, it may be necessary to deactivate a company rather than delete it because it may be tied to existing transactions.
Bank account: designate a separate default GL account: Bank account for each GL company
NOTE: There's now a new 'multiple company payments' option when setting up a bank account using multiple GL companies. When enabled, this allows users with GL companies to use the same GL bank account for multiple companies with the ability to have each GL company with its own next check number.
- Main address: designate the default main address used for the GL company
- Click the Save button.
You can enable Access Restrictions for a GL company using the instructions found HERE.
Use GL company
- From System setup > GL settings > GL tracking options
- Click the button Turn GL company on.
- Enter in default company that all current transactions and projects will be set to.
- You will be able to switch the default GL company on the GL tracking options page
- Click SAVE.
- The system now requires the use of GL companies!!!
NOTE: Once you begin to use GL companies, you must follow this Go-live checklist for the new GL company. Failure to do so will cause incorrect data to be reported for the selected entity.
Turn off GL companies
- Menu > Admin > System setup > GL settings > GL tracking options
- Use GL companies: click 'turn GL company off'
WARNING! Once clicked, all connections to all GL companies set in the system will be removed, and there is no undo available. There is no ability to selectively remove specific GL companies.
GL company security
Please refer to the GL company security [in-depth guide].
Inter-company transactions & posting
Within Workamajig, you can track various financial companies, projects, and other information. When you use GL companies, the system creates hard walls between what can be paid and by which financial entity. For instance, you cannot create a vendor invoice for one company and pay it with a check from another company. Well, you can't unless you turn on intercompany mappings. The intercompany mappings allow you to specify a set of due to's and due from's accounts for AR, AP, journal entries, and cash sweep activities.
For a deeper dive, refer to the Intercompany transactions & posting [in-depth guide].
Setting up for inter-company processing
Go to Menu > Admin/manager > System setup > GL settings > GL company mapping.
Assuming you have your GL companies set up, the next step is to define the due to/from accounts between each of the companies. You can only create an intercompany transaction between companies with a mapping setup. Workamajig does not allow for intercompany transactions unless there is an explicit map set up. So, if you have a relationship set up from Company A to Company B and from Company B to Company C, you cannot enter a transaction from Company A to Company C.
You create one row for each from/to relationship. The due to/from accounts can be the same for all 4 types. When the intercompany transaction is posted, we also store the source company as well as the target company on the transaction, so it is possible using a single due to/from account to still get detailed breakouts of transactions flowing from one company to another.
From source to target company: AP due to (current liability); AP due from (current asset); AR due to (current liability); AR due from (current asset); JE due to (current liability); JE due from (current asset).
- Current liability can be all the same GL account number and current asset can be the same GL account number.
- These should NOT be set to AR or AP account types or their aging vs. balance sheet won't tie.
- NOTE: CS = Cash sweep. However, this is not fully implemented at this time, so please enter any account for now to not receive an error.
Example of GL account setup
Must have matching asset and current liability accounts per company.
Example GL company mapping setup
To perform an intercompany transaction, you must enter the 'source company' and a 'target company'. The source company is the GL company in the header (top portion of the transaction). The target company is the GL company on the line detail. If you customize the columns, you should find the target company as one of the columns.
When entering an intercompany transaction on a journal entry, there is a drop-down box at the top for Intercompany DT/DF Source. This determines which due to/from accounts are used for the intercompany entry. The example image below shows moving cash from Company A to Company B.
Journal entry example
In vendor invoice entry, you will be able to select orders for that vendor that exist in the same GL company the vendor invoice is in and any GL company that has a mapping entry set up for the source GL company. When the order line is selected, the source GL company on the order will be added to the voucher detail line automatically.
NOTE: You CANNOT enter an intercompany credit.
Vendor invoice example
Posting detail example
Entering a basic vendor invoice:$100 total, 60 to Company B.
|Due to (liability)||B||60|
|Due from (asset)||A||40|
Vendor invoice with a prebill order accrual. The order was accrued for 100 and the order is in the same company and the whole line is assigned to company B. If the order was accrued on an invoice for Company B, then Company B is assigned to the line and is locked.
Same as above, except an extra prebilled order for company A for $60
Vendor invoice with taxes. The line with the taxes is assigned to company B. Invoice $100, Tax $10
|Sales tax expense||B||10|
Vendor invoice with taxes. The line with the taxes is assigned to company B. Invoice $100, Tax $10
|Sales tax expense||B||10|
After applying to a voucher for another company
Pay a vendor invoice for company B for 100
Enter a payment direct to expenses for another company
NOTE: You CANNOT:
- Do intercompany advance bills
- Do an intercompany credit
One of the situations that will happen is that a person from Company A will work on a project for Company B. When the invoice is posted, Company A should get the revenue for this work. We can drive this a couple of different ways, and it will be the same question for the office. This would also only work if you are pulling transactions onto an invoice and posting using details. If you are posting using details, then there is a setting on the project which defaults from the system setup that says where to get the GL company for labor. Either the project or the person. If it is the person, the system will use the default GL company for the employee and create due to/from entries for those transactions.
Normal invoice with one line going to a different company.
Normal invoice with one line going to a different company $ 100, $10 in tax.
When posting WIP and you select a GL company to post, the system will post all of the entries tied to projects with that GL company. There are two modes for the system to determine which company should be used for the GL company for the income portion of the WIP posting. There are projects and users. In the case of the project, the WIP posting posts all income to the same GL company as the project, and there are no intercompany transactions. When the project is set to get the GL company from the user, the system will post the income portion of the WIP posting to companies based on the default GL company on the user.
If Project 123 is tied to Company A, Steve works for Company B and works $1,000 worth of labor on Project A. Jim works for company A and works $2,000 of labor
|Due from company A||B||1,000|
|Due to company B||A||1,000|
When all of this time is later billed, the client invoice will post the following entries.
|Due from Company A||B||1,000|
|Due to Company B||A||1,000|
Finally, WIP is posted again, and the entries are reversed.
|Due from Company A||B||1,000|
|Due to Company B||A||1,000||
Menu > Admin > System setup > GL settings > Check formats
Check formats allow you to customize the layout fonts and style of your 3-part payment checks.
Workamajig has set up the three typical styles of Check-Stub-Stub; Stub-Check-Stub; Stub-Stub-Check, for you. You will need to select the correct layout that corresponds to your check stock. If you are using something other than 3-part check stock, please consult with your Workamajig account manager.
Add a check format
- Select one of the pre-set formats or click the icon to add a new check format.
- In the Format name text box, enter a descriptive name for this check format.
- In the Font dropdown box, select the Font that you would like used when printing this check format.
- In the Font size text box, select the size font you would like used when printing.
- Misc options allows you to set the payment date format. For Canadian users, please check the show date format box to have DD/MM/YYYY printed under the date.
Check options: allows you to adjust the location for specific fields to print. In each preset, the entries are based on typical QuickBooks check stock. We suggest you photocopy the check stock for test printing purposes. Make minor adjustments to begin with.
NOTE: All measurements are based upon distance from the top left corner.
- Stub options: this allows you to adjust where each stub section begins and the location of the grid.
- Stub columns: this allows you to set the information provided in the stub.
- Electronic signature: allows you to add a signature jpg that will be added to the signature line of the check. You may also require that a password be used before an electronic signature can be added to the printed check.
Testing your format
To confirm the settings on your check layout:
- Verify your printer settings. For the initial setup of printing checks, we highly recommend you turn off Auto Sizing / Scaling so that it prints the full page and is not reduced in some way. This will help with the consistency of printing checks.
- Make a photocopy of your check stock.
- In Workamajig, create a Payment via Menu > Purchasing > Payments. Select the appropriate layout.
- Follow the Print check procedure.
- Close the Print check confirmation screen. DO NOT Confirm printing. However, if you did, simply go to the payment screen and remove the check number from your test check.
- Adjust your check layout if needed.
- Repeat steps 3-5, until the layout fits your check stock.
- Delete test check
Add an electronic signature
- Create a jpg. of the required signature.
- Click on Add signature to add the signature file to the system
- Enter the location of the signature line on your check stock
- Enter an optional signature password.
- Security group: Purchasing > Edit electronic signature on checks - this setting allows the user via Admin > System setup to edit the electronic signature contained on the check format.
- Bank GL account- On the account designated BANK, you can assign a 'default check format' and 'next check number' - The check format will be used whenever the bank account is selected for use on a payment. The next check number should be set here, on the GL account, rather than during the print check process, to prevent errors or gaps in your check numbering.
Positive pay layoutsPlease see the Positive pay layouts [in-depth guide] for more info.
What is a positive pay system?
"Positive pay systems are a powerful tool for fighting check fraud. As the incidence of counterfeit checks continues to increase, more and more financial institutions are employing such tools to help reduce their losses. In essence, a positive pay system allows a bank to compare checks presented against its commercial customer's account against items the customer indicates it has written. It will uncover instances where the amount has been altered, a counterfeit has been created using a different check number, or the payee name does not match."
Check printing interface and Positive Pay layouts
To use Positive Pay, you create a layout that matches your bank's layout. Workamajig uses a flexible layout screen to define fields and set up the file. If you click the Copy layout from button, you can copy the layout from some of the larger banks' predefined layouts. To generate a positive pay file, you can either do it when printing checks or in larger batches from the Payments screen.
Positive Pay Layouts may be accessed from Admin > System setup > GL settings. Positive Pay information is transmitted to banks in a fixed-width, plain text format known as a "flat file." A bank that accepts Positive Pay data will publish a document specifying the format to use. That document may be used to create an appropriate layout or a pre-defined layout may be used or modified.
Copy layout from
We have default values in place for BMO or BofA. To use one of these, create a new layout and then use Copy layout from button to copy in these defaults.
Manually creating a layout
- In a fixed-width file, each line of data represents a new record, and each data field is a predetermined number of characters. A file of names that had two fields, an 8-character first name field and an 8-character last name field, would look like this:
- Names (e.g. "George") that are fewer than 8 characters still take up 8 spaces. Names over 8 characters (e.g. "Rutherford") are truncated.
- When creating a Positive Pay layout, a unique 'layout name' is required to identify this layout in the areas of Workamajig it will be used. Typically, there will only be one layout per banking institution, and the name could reflect this.
- Workamajig has preloaded some Positive Pay formats. To use one of these, click the Copy layout from... option in the upper right portion of the screen. This will overwrite any field information that has been input into the layout.
- There are three field sets, 'header fields', 'detail fields', and 'footer fields'. Not all layout specifications use the header or footer fieldsets. All use the detail fields, as each check is represented as a detailed record.
- If not loaded by using the Copy layout from... feature, each fixed-width column is added (or removed) using the Add and Remove buttons on the left side of the screen.
- Field label is required to refer to the data column (e.g. "Last Name").
- Start character index is a required numeric value specifying where the data field begins. In the above example, the 'last name' field would have a start character Index of "9".
- End character index is a required numeric value specifying where the data field ends. In the above example, the last name field would have an end character Index of "16".
- Use payment data may be checked to specify information from the payment record in the data value field. Otherwise, the information in the data value field will be printed as shown on each record.
- When 'override on void' is checked, voided payments will use the information in the void override value field instead of the data value field.
- The Placeholder character takes up empty data spaces. By default, when the data in a field contains fewer characters than the field definition, spaces are added. In the above example, there are two spaces after the name "George" because the field has 8 characters and "George" only requires 6. If the Placeholder is defined as "*" for the first name, the data would then print as "George**".
- Check the Required box if the banking institution requires this data. This ensures that an error will be issued if this report is run with required data missing from the payment record rather than transmitting improper data to the banking institution. This is only relevant for fields that have 'use payment data' checked.
- The format value specifies how payment data will be formatted in the report. Layouts will typically need date values, for instance, to be formatted uniformly to be interpreted correctly.
- Alignment is set to "Left" by default. This puts the placeholder character(s) to the right of the data. Some data, typically numeric data, must be preceded by the placeholder(s).
- The Grouping function is found only in the header and footer field sets. This is most often used to "Sum" the payment amount for all detail records. It may also be set to "Count" to reflect the total number of payment records in the detail set.
Sending positive pay from the Payment screen
The Payment listing screen, found in the Menu > Purchasing > Payments menu, is used to create a Positive Pay flat file to transmit voided check information or if you would like to create one file for more than one check run.
You can also generate the file when printing checks and only use this screen when sending a void. To be effective for printing voids, a filter should be added to this listing view for 'voided payment'. When set to yes, the listing will be restricted to only those payments with a corresponding void reversal line.
Payments that are to be included in the flat file should be selected. When selecting the Download Positive Pay file button will prompt for the layout to be used if there is more than one. Otherwise, the file is generated immediately.
Example of the outputted file
GL company mapping
Menu > Admin > System setup > GL settings > GL company mapping
This is used when you have GL companies enabled and use intercompany transactions.
Corporate profit & loss layouts
Menu > Admin > System setup > GL settings > Corporate profit & loss layouts
Allows you to create, to an extent, custom calculations and groupings.
Please see the Custom corporate profit & loss report [in-depth guide] for more info on using this feature.
A new GL company email address has been added for ACH notifications. When there is an email address available, the ACH notification email is sent showing this address. The Transaction preference > Connections > Force system email option must be OFF to use this feature.
Added the ability to add an email address to a GL company to be used as the 'From' address when sending out the ACH emails to vendors.