Unbilled Accrued Revenue

Use the process below if you would like to set up and process unbilled accrued revenue in JobBag

Scenarios: 

• You want to recognise revenue on a job that hasn’t been invoiced to the client yet.

• You have generated value on a job but haven’t billed the client at the end of the month.  

• You want to recognise the unbilled value as Revenue at the end of the month

• Accruing revenue will recognise unbilled value on jobs as accrued revenue in the Profit & Loss and Income Analysis reports.

Unbilled Accrued Revenue Set up Process

Step 1: Create General Ledger Accounts

Navigate to Ledger menu > Chart of accounts > New/Clone

Accounts needed: Balance Sheet/Current Assets and Profit & Loss/Income accounts

Note: Cloning is the preferred option to create new GL accounts

Balance Sheet: Current Asset Account - Unbilled Accrued Revenue

Clone Work in Progress Account

Profit & Loss: Accrued Revenue Income - Unbilled Accrued Revenue Income

• Clone a Billings/Income account

• In this example we have gone with One income account

• This step needs to be repeated for each income account

Step 2: Map New General Accounts

Map Balance Sheet/Current Asset account in GL settings and control accounts

Located in the Ledger menu > Chart of Accounts > Settings

Map the “Inhouse unbilled value (B/S)” field to the new Balance sheet account created

Step 3: Add new Kind

The kind will need to be set up first, then add the item to the kind.

Follow the kind and item settings in the screenshot below

Map to GL accounts - Unbilled Value account to the new Profit & loss account created

Step 4: Add item to the accrued Revenue Kind

Unbilled Accrued Revenue Monthly Process

Step 1: Create an ITEM charge

An item charge needs to be created to accrue revenue

Create the item charge on the job where Unbilled Revenue is to be accrued.

A item charge can be created in the Items tab on the job or via the costing menu > Item charges

Step 2: Open Wip and Accruals

Open WIP & Accruals and reset the job.  The Item should show up as Unbilled Value and WIP Value.  Leave it as WIP Value, that is the amount that will be taken up as Accrued Revenue.

Step 3: Reporting

The Inhouse WIP will get posted as Accrued Revenue and will be reflected in the Income Analysis Reports as well.

Step 4: Delete Item from the Job ( Following Month)

After rolling into the next month, make sure you reverse the Accrued Revenue items from last month.  We want users to see the real value on the jobs, not the accrued value and this will necessarily change each month.

In the following month delete the item from the job.

Need more help?

Please contact support call 02 8115 8090 or email support@jobbag.com