manual accounts

System
System Posts: 100,537 🤖 Admin 🤖
edited June 9 in AAT member discussion
hi, ive just started working for a small business-this is my first time working in an accounts environment.

They/i use sage 50 which is used for everything but they also keep manual records as well for everything...is this normal? i thought with everything being on sage they would be no reason to write everything down as well-if so then whats the point in having sage?

Like i said i don't know if this is how things work and everywhere does it this way but it just seems like a simple task is very time consuming!

Comments

  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:manual accounts

    Perhaps they are a bit worried of the possiblity of loosing everything if it was only on computer. Do they have a proper back up system in place? Could be a good subject for project if you've not already done it.

    I had this when I took over from my predessor - they kept a manual record of the bank balance. Drove me mad as 9 times out of 10 it was the manual calculation that was wrong. She(I)then had to reconcile both records to the bank statement :? . I also found that they made a written list of debtors every month instead of running the creditors report :shock:.
    Payroll was fun too - used Iris to work out NI & tax and then manually deduct from timesheets and then see if Iris agreed :roll: I could understand manually calculating the gross as a check that the right hours etc were entered in the program.
  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:manual accounts

    Not normal? Barmy, I'd say!

    This seems such a waste of resources. I won't be able to follow this thread because I'm about to go on holiday, however here are my thoughts.

    If your employer's main concern is loosing data, there are a number of time saving options you could consider.

    - As Jan says, set up a good data backup system.

    - Print a detailed audit trail, and day books for each ledger at relevant points, to keep on a file along with a trial balance so year to date figures can be re-created if the data is lost.


    If you employer doesn't "trust" the accuracy of the Sage system there a number of procedures you could introduce to show accuracy

    - batch input - add up all the items in a batch using an adding machine with tally roll, confirm the batch total on Sage before you save it, then print a day book report with details of the batch.
    - bank reconcilliation
    - Sales and purchase ledger reivew using aged debtor and creditor reports
    - print and review nominal activity reports regularly

    Good luck with bringing your employer into the 21st century!



  • System
    System Posts: 100,537 🤖 Admin 🤖
    Re:manual accounts

    I Faced a similar problem with the company I work for . It's customer based and they were writing down in books what the customers paid and recording it on a very expensive up to date piece of software.

    We now have excellent back up and the books have gone . Look into back up options and try to force the issue . More importantly try to show them the benefits of ditching the paper records

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