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Overview

Creating a Bank Deposit is the first step in the Cash Receipts process. In this step, a user records a Bank Deposit and its related information in the Rootstock system.

Navigation

Accounts Receivable > Cash Receipts

In order to create a new deposit, select the New Cash Receipt button in the Cash Receipts list view. The list view provides a view of all recorded Cash Receipts including Company, Bank Account, Deposit Number, Status, as well as other pertinent information.

Upon selection of New Cash Receipt, the Cash Receipt screen opens and is used to record the Deposit information such as the Deposit Reference, various dates and the related Deposit information. A Deposit Number is automatically assigned on Save Deposit.

Fields

Company:  The Company for which this Cash Receipt is being processed.

Bank Account: The Bank Account into which the deposit will be recorded.

Deposit Amount - Bank: The amount of the deposit in the Bank Currency.

Deposit Reference: This is a user-defined document number up to 50 characters in length. It is optional but is recommended to be used.

Deposit Date: This date will default to the System Date but can be overridden. We expect the bank to record the deposit on this date. It is also used for discount calculations.

Status: Indicates the status of the Cash Receipt. Available status entries are “Entry Incomplete”, “Pending” and “Posted”. The Status is automatically updated as the user selects the buttons at the top of the page (e.g., selecting the "Set Status to Pending" button will update the Status field)

Deposit Number: System generated unique Deposit Number.

Account Number: User-defined unique identifier for this account, up to 30 characters in length. Must be unique within a given Financial Company.

Cash Discount Grace Period (in Days): This is the number of grace days the company allows to customers for recording receipts. For example, customers must pay by month end to qualify for discount and month-end falls on a Friday. If a grace period of 3 days was recorded in this field, then a receipt that is only recorded on the Monday after month-end will be treated as received by month-end for the calculation of discounts.

No Payment:  When checked, there is no real deposit. The only transactions entered will be credit memos/unapplied cash applications, write-offs, and write-ups.

Bank Currency:  The currency of the Bank account.

Exchange Rate (Bank to Home):  This is populated based on the bank account selected. If the bank account is a foreign currency bank account, the exchange rate will be populated from the Foreign Exchange Rate Schedule for the Transaction Date.

Deposit Amount - Home:  The amount of the Deposit in the Home Currency.

A user can also choose certain constraints to apply to the Deposit. An Advanced pane is available, and a user can set the constraints shown in the "Constraints" tab. Using the constraints, a user can restrict the cash deposit to apply to a single division, project, or currency. A user has the following constraint selections:

Ok to Cross Divisions?: This constraint allows a user to limit the Cash deposit to apply across divisions. Selections are; "Always", "Never", "Look Within Division, Then Cross". The default selection is "Look Within Division, Then Cross".
Ok to Cross Projects?: This constraint allows a user to limit the Cash deposit to apply across projects. Selections are; "Always", "Never", "Look Within Project, Then Cross". The default selection is "Look Within Project, Then Cross".
Ok to Cross Currencies?: This constraint allows a user to limit the Cash deposit to cross currencies. Selections are; "Always", "Never", "Look Within Currency, Then Cross". The default selection is "Always".
Unspecified Div Counts as Any Div?: Where a division is not specified, it is treated as any division.
Unspecified Proj Counts as Any Proj?: Where a project is not specified, it is treated as any project.

Once a user has entered all the relevant information, select Save to complete the Cash Receipt process.

The Cash Receipt record will be created upon saving, and a Deposit Number will be automatically assigned to the Cash Receipt. A Payments pane will be made available and displayed. This is where the Customer Payments are captured and associated with the deposit are entered. This process is explained and fully described in Capture Customer Payment.

In addition to the Payments pane, additional buttons will be available. These are:

Edit: This option allows the user to go back and edit the Cash Receipt information, if necessary.
Delete: This option will delete the Cash Receipt. Delete will not be allowed if Customer Payment records have been added. Delete the Customer Payment records first before deleting the Cash Receipt record.
New: Create a new deposit.
Cash to GL: This option is used when the user is depositing a non-customer receipt and wishes to record it directly to a GL Account.
Set Status to Pending: This option is used to set the status of the Cash Receipt to "Pending".
Release Deposit Lock: A deposit is locked to the initial user who entered the deposit. If the user is not a "Cash Receipts Supervisor", then only that initial user can edit/maintain it. If that user wishes to allow another user to edit the deposit, they click on “Release Deposit Lock,” and the deposit can then be edited/maintained by another user. If a user is defined as a "Cash Receipts Supervisor" ("Cash Receipts Supervisor" field in Financial System User Company is checked), then the Cash Receipts Supervisor can unlock deposits entered by other users.
Change Deposit Date: This option is used to change the Deposit Date. The user can only be able to change the date within the span of the seven days prior to and including today's date.

Processing Cash to GL

A New Cash to GL screen pops up when selecting Cash to GL. The user enters the following:

Cash to GL Amount: The amount of the non-customer receipt.
Credit Account: The General Ledger account that the non-customer receipt is to be posted to.
Amount: The amount to be posted to the selected General Ledger account on the line.

By default, the user has four rows to enter General Ledger accounts for a single Cash to GL receipt. The user can control the number of rows to be displayed in the Cash to GL screen using the custom setting 'CashToGL_NumOfRows'. Once completed, select Save, and the user will be taken back to the main Cash Receipts screen. A user may cancel the Cash to GL process by selecting Cancel.

When the Cash to GL total amount is equal to the total deposit amount (i.e., the full deposit is charged to a GL account), the deposit can be completed by changing the status to Pending.

Processing the Reversal of Cash Receipt

The user can reverse the posted Cash Receipt via CRATO with the 'Transaction Type' as 'Undo Posted Cash Receipt'. This creates a new (reversal) Cash Receipt along with its corresponding Cash Receipt Detail, Receivable Application Transactions, and Cash Receipts Distributions records for reversing the effect of the original Cash Receipt.

NOTE image.png NOTE The newly created Cash Receipt uses the same Exchange Rate as the original Cash Receipt that is being reversed.

Fields related to Reversal (The values of these fields are set by the system)

Cash Receipt

Is Reversal Cash Receipt: This flag will be checked on the reversal Cash Receipt, indicating that this is created to process reversal.

Cash Receipt Detail

Is Reversal Cash Receipt Detail: This flag will be checked on the reversal Cash Receipt Detail, indicating that this is created to process reversal.
Payment Reversed: This flag will be checked on the original Cash Receipt Detail, indicating that this Cash Receipt Detail is reversed.
Reversed By: This field refers to the Cash Receipt Detail created to process the reversal. This will be set on the original Cash Receipt Detail that is being reversed.

Title	Create Bank Deposit

URL Name	Create-Bank-Deposit

Create Bank Deposit