Table of Contents
Purpose
Accounts Receivable Reconciliation should be done each month. The A/R balance in the accounting system is a summary of the A/R activity and the detail is in Aspire. Therefore, you should ensure that the amounts tie out each month.
The Accounts Receivable balance in Aspire is increased by invoiced amounts and decreased by credit memos and payments. In the accounting system Accounts Receivable is increased by the monthly revenue journal entry and decreased by the deposits.
Use the AR Reconciliation workbook to help with the reconciliation process. The AR Reconciliation workbook can be found on the Knowledge Base
1. Analyzing your Reconciliation
Start with the last month when the A/R balance was the same in the two systems
2. Ensure Invoices Less Credits Match EOM Invoices Less Credits
a. In Aspire, view list A.3, Invoiced Last Month. Enter the amount as a positive amount in the workbook.
b. In Aspire, view list A.4, Credit Memos Last Month. Enter the amount as a negative amount on the workbook.
c. Fill in the total Invoiced $ amount & Credit $ amount on the AR Reconciliation workbook
d. In Aspire, go to EOM, Revenue Tab
e. Export Revenue to Excel. The first amount listed is the Accounts Receivable amount and enter the amount in the workbook.
3.Ensure Deposits in Aspire Match Deposits in Accounting System
a. Enter the amount of the Deposits in accounting to the customer ‘Aspire System’ for the month. This amount should match the total amount of list A5. Deposits Last Month.
b. In Aspire, view list A6. Payments Last Month.
c. Fill in the Total Payments on the AR Reconciliation workbook.
4. Checking for Reconciling Items
a. If all payments were deposited in the same month as the Payment Dates the two systems should match. Not having Payment Dates and Deposit Dates in the same month is the main reason for the two systems not reconciling.
b. If the Deposits for the month were not the same, Go to list A5. Deposits Last Month in Aspire. Add a filter of Deposit Status does not equal ‘Sent”. Enter the amount as a negative amount on the AR Reconciliation workbook as a negative amount. These deposits should be sent to Accounting.
c. Check for Payments in Aspire that have not been deposited. Go to list A6. Payments Last Month and add a filter of Deposit Date is Custom - Null and enter the amount on the AR Reconciliation workbook as a negative amount. If the payments are valid, a deposit should be created from these payments and sent to accounting. If the payments are invalid, they should be deleted in Aspire.
d. Check for Payments in the current month in Aspire that were deposited in a future month. Go to list A6. Payments Last Month and add a filter of Deposit Date greater than the last day of the current month reconciling. Enter the amount on the AR Reconciliation workbook as a negative amount. Nothing needs to be done with these. It is a timing issue and the deposit(s) will be reflected in accounting in the month of the Deposit Date.
e. Check for Payments in a future month that were deposited in the current month. Go to list A6. Payments Last Month, change the Payment Date filter to Custom greater than the month reconciling and add a filter of Deposit Date in the current month. Enter the amount on the AR Reconciliation workbook as a positive amount. Nothing needs to be done with these. It is a timing issue and payment(s) will be reflected on the Aspire AR Aging the month of the Payment Date.