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Purpose: Some bills are paid with a credit card instead of ACH or physical check. For example, oil change on a company vehicle or supplies for the office Christmas party.

Here are two options for keeping track of these expenses.  Which you use depends on if you want to reconcile the credit card in BNK like a bank account.

Both will need the Credit Card company to be set up in NAM I.D. as a Vendor.

OPTION ONE: BNK reconciliation of C.C. method.

SETUP

1. Setup a Credit Card Payable General ledger account number

   1. LDG > Maintenance > Chart of Accounts > 1. Add New Accounts

      1. 

2. Setup a new bank code

   1. BNK > Bank Account > Bank Maintenance

      1. 

3. In the SJI, , setup map the BNK system account to hit the Credit Card Payable AccountLDG account number

   1. SJI > System Accounts > Bank

      1. 

PROCEDURES

1. When After a payable voucher is keyed that can will be paid by credit card, create the disbursement to pay the said voucher using the new bank code created in step 2 of setup.

   1. Note: Make sure to print to plain paper, do not print an actual check since this is being paid by credit card, not check

   2. 

2. When the credit card bill is received at the end of the month monthly period, create a manual voucher coded to the credit card payable account Credit Card Payable LDG account created in step 1 of setup for the bill

   1. Create the manual voucher in ACP > Vouchers / Credit Memos > Voucher Maintenance > Add a Manual Voucher

   2. 

3. Create the disbursement for the credit card bill manual voucher using normal bank code

   1. 

4. Reconcile the transactions in the for the credit card bank in BNK once the credit card bill has been paid.

Pro: You can verify all transactions are valid and have cleared the credit card, cuts down on theft.

Separates out the payments for end of year 1099 processing, if needed.

Con: The balance in the BNK will only ever grow (should be negative). Paying this bill will not create an offsetting deposit to clear the balance, although it will go to LDG and correct the balance for your financials.

The only way to clean out the BNK balance is a once-a-month Manual Transaction in BNK with source code of “A” (so it will only affect BNK and not go to the LDG, can make this for the same amount of the statement.)

 OPTION 2: End of month recording of expenses paid with Credit Card.

When you get your Credit Card statement you will create one Manual Voucher for the total amount due and enter different line items for various expense accounts.

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This will record the amounts paid in the correct LDG account and allow you to send a disbursement (check or ACH/eft) to the Credit Card company.

Pro: less setup, faster processing

Con: harder to catch credit card theft.

Will not be able to see if any of these expenses need a 1099 at end of year since they are all lumped together.