Prepayment Journals
 Previous Top Next
Before you can use prepayment journals, you must create a nominal account code for the Prepayment Control Account.  The prepayment control account should be in the balance sheet, assets section.  You must then select this nominal code as the Prepayment Control Account in Nominal Ledger Setup Options.  You only need to enter the expense or overhead part of the journal, the system automatically posts the double-entry to the Prepayment Control Account.  After the Nominal Ledger Period End, the prepayment journals are automatically reversed. 

You may wish to refer to the Accruals and Prepayments Explanation topic for a better understanding of prepayment journals. 

To Set Up Prepayment Journals
1.   Select Gx Nominal in the toolbar.
2.   Hold the cursor over Journals on the menu.
3.   Choose Prepayment Journals from the second menu. 
4.   From the drop-down menu, select the Nominal Code for the expense or overhead being prepaid. 
5.   Enter a Reference for this prepayment journal transaction.
6.   Prepayments for expenses and overheads are credits.  Select Credit from the drop-down menu in the Type column.  The system automatically posts the debit entry to the prepayment control account. 
7.   Enter the Value that has been prepaid for the overhead or expense.
8.   Enter the next prepayment transactions. 
9.   To post this prepayment to the nominal ledger straight away, click the Update Ledger button.  Otherwise you can Save it and post the prepayment journal to the ledger later.   

back to top

To Post Saved Prepayment Journal to the Ledger
1.   Select Gx Nominal in the toolbar.
2.   Hold the cursor over Journals on the menu.
3.   Choose Prepayment Journals from the second menu. 
4.   If required, you should amend the prepayment journal before posting it. 
5.   Click the Update Ledger button.   
6.   You can use Nominal Transaction Enquiry to view the prepayment journal transactions. 

back to top

To Amend Prepayment Journals
1.   Select Gx Nominal in the toolbar.
2.   Hold the cursor over Journals on the menu.
3.   Choose Prepayment Journals from the second menu.
4.   To add a line select the next available line and enter the additional expense/overhead nominal code and complete the line as described above for setting up prepayment journals. 
5.   To delete a nominal transaction line from the prepayment journal, click the line, right click and select Delete Row from the context menu. 
6.   To amend details of a transaction line simply over type the reference or value as required. 
7.   Remember to Save your changes if you do not want to post the prepayment journal to the ledger straight away. 

back to top