Recurring Journal Transfer

See Charge Owners Arizona Tax Hawaii Tax

Also How to PDF document #750 Charge all owners

The recurring transfer function lets you post journal entries to transfer funds from one ledger to another based upon the net of transaction amounts* from one or more designated account codes. The journal entry amounts are calculated per the selected schedule and the percentage (x.xxxx) relative to the Minimum and Maximum entries. The amount is posted to the selected Debit and Credit account codes.

The parameters are created in Setup, Recurring Journal Transfer. The transfers are posted in GL, Scheduled Journal Entries, Recurring Transfers

If the Use for Tax Collection checkbox Is marked, an output file is created in the Export folder when GL, Scheduled Journal Entries, Tax Collections is compiled and posted. This field can be used to generate reports required by the tax authority. State specific add-on modules use this file to generate the reporting formats needed.

Schedule

Schedule – sets the frequency of the journal entry. The time period considered is the End Date (Next Scheduled minus one) and Start Date (End Date minus schedule days). Thus to run the transfers for January, the Schedule is monthly, the Next Scheduled is 2/1. If the delay is 9 days the compiled candidates will be marked as skipped until the 10th. Note that you are basing the transfer amount on last month's income.

Next Scheduled – automatically updated based on the Schedule when Recurring Transfers are posted in GL, Scheduled Journal Entries. The transaction posting date defaults to the Next Scheduled date plus the Delay in Days. If the next Scheduled is the 1st of the month, and the delay in days is 14, the posting date defaults to the 15th.

Schedule Expires – when the Next Scheduled is after the Schedule Expires the Schedule will be set to Expired when Recurring Transfers are posted.

Delay in Days – this is the delay between the Next Scheduled date and the day you want to post the transfers. Thus if you want to do transfers for last month effective the 15th of this month, set the Delay in Days to 14 and the Next Scheduled to the 1st. The amount to transfer is calculated for transactions occurring in the month prior to the Next Scheduled date.

Use for Tax Collection – Identifies Recurring transfer entries that are associated with the optional tax collection module. A report suitable for most tax authorities is created. In addition, a transaction file is created/added to each time the tax collection recurring transfer is posted.,The file resides in the Export folder. This file can be used to create reports for the various tax authorities. The checkbox is only functional when the tax collection module is activated.

NOTE: If this checkbox is marked, the name of the payee must conform to Windows naming conventions, which prohibit the use of several special characters.

Transfer Amount

Percentage – enter the percent of the net amount to be transferred. You can use up to four decimal places.

Minimum – If the calculated transfer amount is less than the minimum, the minimum will be transferred.

Maximum – if the calculated transfer amount is more than the maximum the maximum will be transferred.

Round to Nearest Dollar - If marked the calculated amount will be rounded to the nearest dollar.

Include if No Calculated Amount - marking this checkbox means that even if the applying all the rules indicates a ledger will have no amount, it will be shown on the screen so you can see the $0 amount.

Posting Information

Debit Account – select the account code that will post to the ledger (owner/property) disbursing the transfer

Credit Account – select the account that will post to the ledger (owner/property) receiving the transfer

Alternate Payee - If the payee is other than the ledger that is the basis of the transfer, select from an existing owner/property/management group.

Reference – a free form field with a maximum length of 20 characters.

Memo – a free form field with a maximum length of 40 characters

Source Account* – used if the basis for calculating the transfer amount is a single account, e.g. Rent.

Source List* – used if the basis for calculating the transfer amount is a number of accounts, e.g. all income accounts (rent, late fee, NSF fee, etc.)

Limit to Category – when the transfer only affects some ledgers/units, assign the appropriate category to the ledgers/units. When the category is unit assigned the transfer amount will be based on that unit’s transactions in the ledger. When the category is assigned to the ledger the amount will be based on all transactions pointing to that ledger.

* If the Source Account or Source List are all expense accounts, the system will add them together and treat them as a positive number to take the percentage. If the Source List contains both income and expense accounts, the system will take the net. If a positive number, that will be used to take the percentage. If a negative, no transfer will be made. If they are all income accounts, the sum will be used to apply the percentage.

NOTE: Recurring transfers are useful for:

•	Tax Authority Requirements

•	Arizona tax on rent

•	Hawaii G.E.T.

•	New Mexico tax on management fees

•	Computing agent commissions on rent

•	Charge owners for services such as door tax and skip insurance

NOTE:

The tax collection and recurring transfers consider transactions relative to the Next Scheduled date. For example, a Next Scheduled date of 3/1 will consider transactions from 2/1 - 2/28. A Next Scheduled of 3/16 will consider transactions from 2/16 - 3/15. Thus, if you want to include this month's collections to show on this month's statement and your day to do statements is the 20th, then set the Next Scheduled to the 20th and you will collect tax on all relevant transactions from the 21st of last month through the 20th of this month.

Arizona Tax

Recurring Transfers use the ledger transactions for the basis of creating a journal entry. Tenant payments for tax charges are not part of the equation. They are merely reimbursements for taxes paid by the owner.

The following transactions occur:

•	The tenant is charged tax based on the Rate Table when the rents are assessed.

•	The owner receives income into an income account when the tenant pays the tax.

•	The tax to be paid amount is calculated based on the income transactions and journaled to an income or liability account in the Management Group ledger.

Hawaii GET

The Hawaii GET electronic reporting requirements are addressed in the optional state specific module designed in accordance with the 2002 guidelines. This module uses the tax collection output file to prepare the periodic submissions and do the end of year reconcilliation.

Charge All / Some Owners

It can be done as a percentage of rent or other income account(s), or as a flat fee. It can be based on a particular category, or simply charged to all ledgers. It can be done on a schedule or one time.

For a flat fee, set up a recurring transfer with nothing in the Percentage field, the amount you want to charge in the Minimum field, and nothing in the Maximum field.