What is Online Allocation?

Online Allocation provides a quick and efficient way of matching transactions as part of the Ledger Entry (LEN) process. It is particularly useful for entering cash receipts and payments that need to be matched to existing transactions on your debtor/receivables, creditor/payables, and client accounts. You can, however, use online allocation to match transactions on all account types.

During the allocation process, you can generate settlement discount transactions, and tax on settlement discount transactions. You can also generate realized gains/losses adjustment journals to take account of any differences caused by exchange rate fluctuations.

Note:  You can separate the ledger entry and allocation procedures by recording journals in Ledger Entry, and allocating them later using one of the allocation functions such as Account Allocations (ACA).

The Online Allocation form is very similar to the equivalent form in Account Allocations (ACA).

It provides many of the same allocation processing functions as Account Allocations. These are summarized below and described in more detail in the linked sections.

Full and Partial Matching

You can match the full amount of a transaction. By default, the journal transactions you are entering and allocating are marked for full matching.

Alternatively, you can match only part of the transaction value by splitting the transaction.

To help you match transactions, you can sort the transactions by many of the transaction details including transaction date, period, transaction reference, due date, base amount, transaction amount, allocation marker, and currency code.

Multi-Currency Matching

You can match transactions in the base currency, the transaction currency, or the fourth currency amount.

At any time, you can display the total debits, total credits, and the total out of balance amounts in any of the currencies.

Online Allocation automatically calculates any unrealized exchange gains and losses, and generates transactions to post this to the appropriate gain or loss accounts.

Generating Settlement Discount

If the allocated transactions for debtor, creditor or client accounts do not initially appear to balance in the base currency, SunSystems checks if any discount applies. Online Allocation calculates the discount due using the discount terms on the transaction. It checks the matching imbalance against the calculated discount, and also applies a discount tolerance.

If discount is allowed, the system can post the discount amount to the appropriate discount account, and calculate and post any tax included in the discount amount.

Amending Transaction Details

You can amend some of the non-monetary details on other transactions for the account.

For example, you can alter the transaction description, entry date and due date. You can also set the allocation marker on transactions, for example to force or withhold payment of a transaction, or to identify correction transactions.