Learn about the features of the best General Ledger Software
General Ledger Software is comprehensive financial accounting software, as it is the system responsible for structuring the financial entity of the company and producing final financial statements, financial transactions are recorded by entering journal entries in General Ledger Software, and transactions are posted to other modules such as Human Resources (HR) Software, IShop AccFlex ERP Solution, Inventory Management Software, Production Planning Software and other modules to General Ledger Software automatically, thus ensuring the safety of posting and balancing journal entries.
Watch the work cycle of Best General Ledger Accounting Software
Features of General Ledger Accounting Software
- Creating a chart of accounts that includes an infinite number of parent accounts and child accounts, with the ability to edit GL accounts and transfer transactions recorded on GL accounts to other GL accounts. Features of General Ledger Accounting Software
- Creating multiple levels chart of cost centers, assigning GL accounts to cost centers, and the ability to produce multiple reports for cost centers and a separate income statement at the cost centers level.
- The ability to create an infinite number of branches, linking users to specific branches, and produce financial reports and statements at the level of each branch separately and consolidated reports at the level of all branches depending on the currency used of each branch.
- The ability to divide the fiscal year into more than one fiscal and tax period, preparing closing entries and final accounts automatically and producing the various types of tax returns.
- Fully integrated Fixed Asset Module and proper accounting treatment for all transactions, including acquisition, retirement, and depreciation.
Learn more about Human Resources (HR) Software
It is also General Ledger Software provided by AccFlex (Hadaf Software Solution) is characterized from other accounting software have enough flexibility to make from the possibility of bringing about change in the company and switching from the manual work system as soon as possible, the software supports the possibility of importing from an Excel, as well as not being restricted to a single system for company management, so transactions to General Ledger Software can be completed in more than one way and from more than one screen, which increases the degree of flexibility in the input in addition to that the software is provided to all companies, regardless of their size (large scale, medium-sized, small), as the software has been designed to suit all activities, General Ledger Software of AccFlex ERP Accounting Software is considered to be two software in one software as it does a module related to asset management owned by the company included with General Ledger Software, through which all the company's assets can be managed regardless of their number and whatever transactions are on them (acquisition- retirement- depreciation- renewal...), in addition to the software that the reports provided by General Ledger Software cover all the requirements of the company of the reports, the accounting software also features smart reporting that helps non-specialists produce information and learn about the company's business processes, in addition to a full financial control system starting from warning messages when an error occurred and alert messages when needed and authorizations setting screens and customized screens for entering specific transactions, which makes the software provides a valuable service for a knockdown price.
Dividing Accounting and Tax Periods in General Ledger Accounting Software
General Ledger Accounting Software provides you the flexibility to divide accounting periods as a kind of tightening financial control of accounting periods so the fiscal year can be divided into:
1- One accounting period (one full year).
2- Two accounting periods (a period every 6 months).
3- Four accounting periods (a period every 3 months).
4- Twelve-month accounting period (monthly accounting periods).
General Ledger Accounting Software also provides you the ability to divide the tax periods for taxes of withholding and collecting into four tax periods (a period every 3 months), in addition to the possibility to close the tax periods in a way that provides a realistic model in line with the tax system of withholding and collecting applicable in Egypt, tax form 41 for taxes of withholding and collection is submitted every 3 months.
The accounting and tax periods can be closed at any time through the authorizations granted to the Chief Accountant/ Financial Manager, after reviewing an accounting/ tax period so that no additional transactions are entered on it, the period can be closed, and the accounting/ tax periods can be reopened if necessary, thereby increasing the degree accounting security in the input, there is also the Tax Payment screen for the tax of withholding and collecting through which payment data can be entered (tax amount- check number- payment date- ...) for each tax period.
A Chart of accounts includes an infinite number of branches:
The step to create a chart of accounts for the company is considered one of the most important phases in designing a strong accounting system, where the chart of accounts is a reflection of the finance department’s vision in its accounting treatments, and one of the biggest advantages of using General Ledger Software is the feature of hierarchical structure to the unlimited-levels of accounts by adding parent accounts and child accounts, and hierarchical structure in the accounts is useful in providing detailed information about the company's performance, AccFlex ERP General Ledger Software adds a chart of accounts that has a set of unique features that characterized it from other software; it is more flexible in the input and has automatic adjustment tools and debugging.
Managing G/L Accounts and Accounting Treatment (Pre-Posting)
2) Definition and detailed description of the company's general ledger
Defining General Ledger Accounts Screen includes detailed information about general ledger accounts, such as:
- Account Type (Assets, Liabilities, Expenses ...).
- Nature of Account (Debit / Credit)
- Default Account Currency.
- Account Balances.
- Cost Centers assigned to GL account.
- If it is a customer account or vendor account, you can add detailed information such as (Address, Tax ID Number …..).
3) Transferring Transactions between Accounts
The feature of transferring transactions between accounts is an important feature for dealing with accounting errors that are made such as mistakes to create invoices or recording journal entries to a particular customer, but it turns out that there is an error of accounting treatment and must be done on the account of another customer and from here the system provides the ability to transfer all or some of the transactions that it was done on a specific account to another account based on the user’s authority to transfer the transactions, and the transactions to be transferred can also be filtered with the type of journal entries (i.e. transferring certain transactions such as payment transactions only or receipts transactions only or inventory transfer transactions and others) as well as the filter by user and filter for general ledger module.
4) Foreign Exchange Revaluation Journals
Such as the balances of accounts of customers and vendors in foreign currencies, "the dollar, for example," where the system revaluates these balances to reflect the reality to the currency in the case of a change in the exchange rates of the dollar in a manner that corresponds to the requirements of the Egyptian and international accounting standards, which ultimately leads to fair presentation in the financial statements.
5) Multi-Currency System
The user can add an infinite number of currencies, it is also possible to add different rates for each currency based on the exchange rates in the foreign exchange market, each account such as the customers’ accounts and vendors’ accounts can be linked to a default currency and review all reports to a specific currency.
6) Multiple fiscal years and accounting periods:
The user can create more than fiscal year, whether to previous dates or upcoming dates, for the purpose of re-recording all transactions related to previous fiscal periods.
The system is characterized by the possibility of creating more than accounting period during one fiscal year, whether monthly, quarterly, or one period covering a whole year, according to work requirements.
7) Creating Opening Balances
Opening balances screen allow the ability to balancing accounts at the beginning of work to the system other than self-balancing, which is done at the end of each period after its closing.
One of the advantages of opening balances screen is the possibility of balancing at a specific branch level in a specific fiscal year.
Fixed Assets Management Module in General Ledger Software
Fixed Assets Module in General Ledger Software is specialized, which is the best accounting software in managing all that relates to fixed assets, starting with the acquisition of new assets or acquisition with auto-offsetting entry and their treatment, whether depreciation, renewal, and replacement, or even retirement or disposal of a fixed asset.
Fixed Assets Module is characterized by the following advantages:
Flexibility and Speed in Adding Assets:
By importing all assets with similar characteristics from an external Excel sheet to save time and effort in adding
Fixed Asset Chart:
The user can add fixed assets in a hierarchy that includes the main types and subtypes of fixed assets; this contributes to providing detailed information about the assets and their types.
Accurate Asset Configuration:
The Add Fixed Asset screen is characterized by the ability to enter data and detailed characteristics of the fixed asset according to the user's need for information; the fixed asset can be defined in terms of the following characteristics:
First, Asset General Data includes:
- Asset Name
- Asset Category
- Location – Identifying the location at which the asset is currently stationed.
- Assignment Cost Center to Asset
- Asset Status (New, Active or Inactive)
Secondly, Acquisition Process Details include:
- Accounts Payable
- Acquisition Cost
- Acquisition Date – the date the asset was purchased.
- Acquisition Detailed Description "if any".
Thirdly, Asset Depreciation Data include:
- Depreciation Start Date
- Useful Life (Months)
- Depreciation Rate
- Depreciation Method
- Historical Value
- Accumulated Depreciation
- Scrap Value
- Attaching the asset documents:
The documents related to the fixed asset can be attached to the system, such as the purchase invoice and warranty certificates, for easy review and reference at any time; the document can also be characterized by whether it is a purchase invoice, insurance policy or warranty certificate and other types of documents.
- Recording of custody of the asset acquisition:
By linking general ledger module and human resource (HR) module, the asset custody can be record to a certain employee of the company.
- Controlling the accounting treatment for the assets:
It is done by linking between the chart of accounts and the fixed assets module, it is possible to create and link each type of fixed assets to the following accounts independently:
- Depreciation Expense Account
- Accumulated Depreciation Account
- Fixed Assets Account
- Profit from Disposal
- Loss from Disposal Account
Various Depreciation Methods
An independent depreciation method can be used for each asset in proportion to the nature of the asset, also any depreciation method could not be chosen if the nature of the asset does not require its depreciation, such as land. Among the most common methods of depreciation used in accordance with the Egyptian and International Accounting Standards are the following:
- Straight-Line Method
- Declining Balance Method
- Sum of years' digits Method
- Units of Activity Method of Depreciation
The ability to reduce asset value:
In the case of a decline in the fair value of the asset, the value of the asset can be reduced to reflect the reality.
It is possible to record all renewals that are made on the fixed asset, such as adding new parts to the asset or performing a comprehensive maintenance of the asset. It can also be determined whether the goal of renewing the asset is to increase efficiency or increase the useful life.
Asset retirement without Revenue (writing off)
Because the asset has ceased to function due to the inevitable breakdowns or incompatibility with the nature of the work, which leads to writing off at the end.
Asset retirement with Revenue (selling of assets)
Fixed assets can be sold and the profit or loss of the sale process is reviewed before it is completed. The sale screen includes the following details:
- Accounts Receivable
- Value Date
- Sale Value
- Profit / (Loss) from Disposal
- Profit / (Loss) from Disposal Accoun
7) Chart of cost centers:
General Ledger Software provides the ability to create a chart of accounts containing an infinite number of branching for the main cost centers of the company, "such as projects in construction companies".
The chart of cost centers is useful in displaying detailed reports on cost centers in the company, through General Ledger Software, it is possible to create an infinite number of branches and link each branch with its accounts and the users dealing with it as well as the cost centers related to it, allowing you to create more than one database into the single database and produce financial reports (income statement (P&L statement)- balance sheet ....) for each branch separately, as well as the possibility to link the branches to the headquarter and create consolidated financial statements.
Learn more about Accounting Software Pricing
An infinite number of cost centers can also be created and assign each cost center to its accounts and the users dealing with it as well as the branches related to it, and as a kind of cost control, the software provides warning messages in the case of creating a financial transaction without linking between the account and the cost center in the case of the account was linked to a cost center when created from the chart of accounts, and the software’s flexibility to assign cost centers to accounts from the cost centers screen or by linking the account to the cost center from the chart of accounts.
8) The possibility of linking cost centers with branches offices:
In some cases, the nature of the work requires the exchange of equipment, vehicles, and others between the branches offices at separate time periods. Hence, the user of general ledger module as the best accounting software can charge and distribute the cost of machinery and equipment "such as maintenance, depreciation, fuel, etc." exchanged on each branch office based on the time period taken by the cost centers in the branch office.
10) Creating a budget for the accounts:
For planning purposes, a budget for the accounts can be created and compared to the actual performance at the end of the period; the budgeting screen has the following advantages:
- The ability to create a budget at the level of one branch office in the company.
- The ability to create a budget at the level of a specific cost center, such as a specific project.
- The ability to set budget values on a daily, monthly or annual basis.
How to Evaluate Accounting Software?
The quality and effectiveness of accounting software are evaluated based on the extent to which the system meets the needs of the company regardless of the size of the software, and the size standard is also subject to a few of the system's technical problems are among the very important criteria of accounting software evaluation.
What is the importance of General Ledger Software for all investment activities?
General Ledger Software is useful for automating finance department functions and responsibilities through a comprehensive financial system, it provides many financial reports on accounting transactions and also provides the complete set of financial statements and final accounts, which contributes significantly to decision-making based on proper informative base.
What is the Fixed Assets module?
The Fixed Assets module of AccFlex ERP System is an integral part of the General Ledger Software, and it is software related to the fixed assets management and control in the organizations and supports accounting transactions related to assets such as depreciation, renewal, maintenance, sale, inventory and other necessary transactions for any organization.
What is the best accounting software for businesses and manufacturing?
AccFlex ERP System is the best accounting software for businesses and manufacturing because it includes full management of companies with different specializations, especially the manufacturing sector, which provides full control over productive and financial management and manufacturing cost accounting systems with integrating with the General Ledger Software, Inventory Management Software, and Human Resources (HR) Software.
How Much Does Accounting Software Cost?
Accounting software prices vary according to the nature of the software, its technical capabilities, and the after-sales services, there is accounting software whose prices start at $ 500 and another software start at $ 100,000. Therefore, one of the important steps of the decision on purchasing accounting software is to create a complete perception of the nature and method of system work for each department, then displaying and knowing the various software, after selecting the software on a technical basis, which are differentiated on a price basis.