Rounding Issues

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An example of when rounding occurs is when a GST value is more than 2 decimal places and the transaction journal only balances to 2 decimal places.

 

For instance, a job shows an actual total of $136.2405. Jim2 takes the largest value ($136.24), posting to an income account, then adjusts by the difference (.05) to make the journal balance. This can produce discrepancies between the income account and the transaction journal.

 

To overcome these discrepancies, use the rounding account for invoice journals. To use rounding, on the ribbon, go to Tools > Options > Accounts and tick Use rounding account for Invoice Journals.

 

userounding

 

Jim2 will place all these small adjustments directly into the rounding account, ensuring that the income accounts and transaction journals now match.

 

Examples here:

 

Job Details

Line

Total Ex GST

GST

Line 1

88.00

8.00

Line 2

1.05

.0955

Totals

89.05

8.0955

                                 

Invoice Details

GST

8.10

Total Invoice

89.05

Invoice Income

80.95

 

Journal Details

Income Line 1

80.00


Income Line 2

0.9545


Total

80.9545

Cannot use this value as the journal will not balance.

                 

Rounding account for invoice journals                                

When not enabled, Income Line 1 is adjusted to 79.9955

                         

When enabled, rounding account amount is 0.0045.

 

Further information

Accounts Security

Account Inquiry

Clear the Historical Balancing Account

Credit Cards

Creditors

Debtors

Advanced Creditors

Suggested End Of Month Procedures

End of Financial Year

Enter a Capital Asset

Enter Child Support Payments

Enter Government Support Payments

Purchase a Capital Asset Under Finance

General Journals

General Ledger

GST Sessions and the BAS

Handle Paypal (and Similar)

Multicurrency Revaluations

Record Debtors/Creditors Contras

Sell a Company Asset

Set up a Loan Account

ATO Reportable Sub-Contractor Payments

Share Utility Expenses with other Businesses

Transaction Journal

Understanding Debits and Credits

Use Debtors and Creditors Adjustments

Recover Bad Debts

Withhold Tax

Write off a Bad Debt

Write off Fixed Asset

Work with Tax Codes in Jim2