This article explains how to configure the General Ledger accounts for inventory product exported in sales and purchases.
This applies for the following exportable documents:
- Invoices: applies only to the invoice lines containing inventory products.
- Purchases: applies only to the invoice lines containing inventory products.
- Expenses: does not apply to expenses because no inventory items are included in them.
Configurable general ledger accounts:
- Income accounts: for sales
- Cost of sales accounts: for purchases
- Inventory accounts: optional to track inventory, applies to both sales and purchases
Source of the products that can be mapped:
- Applies to products acquired from a Purchase Order.
- Applies to products sold as part of a support ticket.
- Applies to products sold as part of an agreement.
How does the mapping work?
Connectwise allows you to assign the GL accounts to products based on the category or subcategory the product belongs. See below:
Connectwise comes with a set of default categories and subcategories which you can configure in the Setup Tables module and find the Products\Category and Products\Subcategory tables. You will first need to design your product category structure and decide what set of GL accounts to assign each one to.
Connectwise also allows you to associate GL accounts to a Group and to a Structure (location). They are probably not the most common option to use.
Creating your mappings
To do this, follow these steps.
- In Connectwise, open the GL Accounts module which can be accessed by navigating to System > Setup Tables, then search by the "General Ledger" category, and select the GL Accounts table. This will bring up the general ledger list.
Create a new mapping record.
Select the Account Type
Select Revenue-Product for products included in a purchase order or in an invoice that originated on a service ticket where products were added to.
Select Revenue-Agreement-Products for sales where the product was originated on an agreement.
Select the Table
Available options are:
Products: Category: This is the option to use if you will be associating GL accounts to a product category as per explained above. Example of a category: Hardware.
Products: Subcategory: This is an alternative if you will be associating GL accounts to the sub-category level. Example: Hardware/Network Device.
My Company: Groups: You can use this option to map to a specific company group.
My Company: Structure: You can use this option to map to a specific company structure (locations)
My Company: Owner: You can use this as a global mapping for all products in the company.
The suggested options for you to use are either Products Category or Products Subcategory. The other alternatives such as groups, structure and owner can be used as hierarchical catch-all options to set default GL account settings if a specific category was not mapped.
Select the Record:
This will show a list of all available product categories. Select the category you will be mapping for.
Account: Enter the GL income account number here as it is found in MYOB. This account needs to exist in MYOB.
COGS: Enter the GK cost of sales account number here as it is found in MYOB. This account needs to exist in MYOB.
Inventory: Optional: if you will be using MYOB to track down inventory levels then enter the inventory GL account here.
Save your mapping. Repeat the operation to add GL mappings for all other categories.
New or updated mappings will be applied to a purchase when the individual items of a purchase order are received and closed. It will not automatically apply to closed orders. To apply new setting on them you can reopen the purchase items and close them again. Alternatively you can always manually set GL entries in the purchase from the unposted procurements tabs of the Accounting Interface module in Connectwise.
This is a screenshot of the integration software showing invoices ready for export. Invoice 288 is highlighted in red.
You can click the red exclamation mark icon to view the details of all error messages. In this exercise we will focus on the one about the product (10ft Patch Cat5E Cable Test 2)
To resolve the issue with the product line we follow these steps:
- Find the product in Connectwise and identify its category.
- In this example we find the product "10ft Patch Cat5E Cable Test 2" belongs to the Hardware category and Network Device subcategory (see screenshot above).
- We create a GL mapping against either the Hardware category or the Hardware/Network Device subcategory. Following the example and screenshots provided above, we create one for the Hardware category, with income account 4-1100, cost of sales: 5-1130 and inventory account 1-1310.
- We then find the invoice in the Invoice Search module in Connectwise. Change the billing status from Closed to New, save it, then back to Closed, save it again. This will apply the new mappings onto that invoice.
- We come back to the integration application, click "Retrieve Data" to refresh the list. And we will now find the new mapping applied to our product line. We can see that the product line is no longer highlighted in red, which means it's valid now. The other two lines for time entries and expenses are covered in their respective articles.