[GNC] Cross Charging Suppliers

Wed Sep 11 10:24:37 EDT 2024

I have resolved my problem and I thought I would explain how in case it helps others.

Although my method of charging back through the expense accounts technically worked (all balances were correct) GC would not let me pay a bill with an expense account (I understand why).

So I have created an asset account (that has to stay in Assets otherwise GC will not see it) called Cross Charges which is effectively a suspense account for these movements.  I then un-posted all the Bills, amended their expenses items from the expense areas they were allocated to and moved them all to the New Cross Charges asset account.

I then adjusted the cross charging entries I had made in the supplier account away from the expense accounts I had previously charged them to (which corrected the expense accounts) and also moved them to the New Cross Charges accounts where they balanced with the analysed invoices entries.

As a result, the expenses accounts are correct as only the original invoices have been charged to them.  The invoices that were for cross charging are correct in their supplier accounts where I have paid them and the Cross Charges account was balanced at 0.00.

As Cross Charges is now an asset account, I was able to allocate the individual cross charges alongside the balancing payments I had made to the original invoices from the problem supplier and the invoices are now showing as paid.

I finished off by reconciling the Cross Charges account ready for its next use.

IMPROVEMENTS TO GNUCASH

Not sure where this should go but in the above process one thing I noticed is that there is not consistency with the listing of A/C payable sub-accounts.

When I first enter a bill or credit note, the Post to Account dropdown in the Post dialog box gives my sub accounts in alphabetical order so they are relatively easy to locate.

However, when I come to make the payment, the Post To drop down in the Process Payment dialog is not in alphabetical order but in the account number order.  With a large number of sub-accounts this makes locating the required account much more difficult.  Is it possible to tweak it to be in alphabetical order as well?

Finally, thanks for all the responses.

Geoff Jankowski
+44 20 7100 1092
+44 7770 58 48 38
+33 9 85 20 68 20
+33 6 22 93 00 53

> On 10 Sep 2024, at 08:10, Geoff Jankowski <geoff.jankowski at me.com> wrote:
> 
> Thanks David. 
> 
> I will take a look tomorrow (house building today). 
> 
> Geoff
> +33 6 22 93 00 53
> +44 7770 58 48 38
> 
>> On 10 Sep 2024, at 08:08, Geoff Jankowski <geoff.jankowski at me.com> wrote:
>> 
>> Yes Murugan but that leaves an entry hanging in the bank account. 
>> 
>> Geoff
>> +33 6 22 93 00 53
>> +44 7770 58 48 38
>> 
>>> On 8 Sep 2024, at 20:11, Murugan Mariappan <m.muruganandam at hotmail.com> wrote:
>>> 
>>> 
>>> Did you try raising a debit note for the supplier for the partial amount for the materials
>>> 
>>> 
>>> 
>>> 
>>> 
>>> Saludos Cordiales
>>> 
>>> 
>>> 
>>> Murugan
>>> 
>>> From: gnucash-user <gnucash-user-bounces+m.muruganandam=hotmail.com at gnucash.org> on behalf of Geoff Jankowski via gnucash-user <gnucash-user at gnucash.org>
>>> Sent: 08 September 2024 13:53
>>> To: gnucash-user at gnucash.org <gnucash-user at gnucash.org>
>>> Subject: [GNC] Cross Charging Suppliers
>>>  
>>> Hi
>>> 
>>> I have searched for a solution but not found one. The answer may lay in the General Ledger but I have not been able to get that to work and balance.
>>> 
>>> I have two suppliers, one (A) is an installer the other (B) a materials supplier. The installer SHOULD organise his own materials but inevitable he runs short on site and use one of my accounts to purchase items he is short of. It is managing the cross charging of these purchases that is giving me a headache.
>>> 
>>> Supplier B sends me an invoice and I enter it and analyse it to the appropriate expense ledger. I pay the invoice.
>>> 
>>> Supplier A invoices me for the work and again I enter it and analyse it to the appropriate expense ledger.  However, his invoice is based on a fixed [rice that included the supply of materials o when I analyse his invoice the expenses ledger is over valued by the amount of the materials I have bought on his behalf.
>>> 
>>> So to remedy this I enter an entry that debits the expenses and credits his account.  The balance I owe him is reduced by the value of the materials I have bought him.
>>> 
>>> So now, Supplier A is paid and his ledger balanced, his invoice show PAID.
>>> 
>>> The expenses ledger correctly states the value of work done as the duplicated item has been journaled (that old fashioned system!) out and cross charged to supplier B.
>>> 
>>> Even supplier B’s account is correct and once I pay him a reduced sum his ledger balances to zero.
>>> 
>>> NOW HERE IS THE PROBLEM
>>> 
>>> When I try to record Supplier B’s invoice as PAID through the system it accepts the payments from the bank but will not allow me to pay supplier B with the cross charged entry, presumable because it is not seen as an asset account?
>>> 
>>> Consequently my account all balance and are correct but I cannot record his invoice as paid in the Gnucash system and it annoyingly comes up as an unpaid entry every time I open the software or check for unpaid invoices.
>>> 
>>> Can anyone offer me a solution please?
>>> 
>>> 
>>> 
>>> Geoff Jankowski
>>> +44 20 7100 1092
>>> +44 7770 58 48 38
>>> +33 9 85 20 68 20
>>> +33 6 22 93 00 53
>>> 
>>> 
>>> 
>>> 
>>> 
>>> 
>>> 
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