Entering Opening Balances

After getting started with Propra Service Accounting, it will be important to enter the account balances, the A/R balances owed for your tenants and/or owners, and A/P owing balances for suppliers. The balance used is typically the last day of the month prior to you getting started. It may be important to wait until the appropriate bank reconciliations are completed to ensure that month balanced and there are no missing transactions. 

What you'll need

When you are ready to add opening balances, grab a Trial Balance from your previous system for each owner and property as well as any outstanding A/P or A/R transactions. If you would like to enter the security deposits individually by tenant as opposed to one entry for the balance of the liability and associated trust account(s), then you'll also need a list of the current security deposits held in trust by property.

Import opening balances

The easiest way to enter opening balances is to use the import function for opening balances. You'll need to prepare the import template for each owner & property, listing the date, account and amount. Use this to add end month balances for any account except A/R, A/P and Security Deposit Liability and Trust (for individual entries). You'll be able to double check the entry before it's posted. For outstanding A/R and A/P transactions (rent due, prepayments, bills due, etc) use Import Transactions to get the payee detail captured.

Rent Prepayments 

For when there is a prepayment, you can use Import Transactions or create a journal entry for that tenant. Make sure to reduce your bank accounts opening balance for the import by the prepayment amount

Debit: Your operating bank

Credit: Accounts receivable for that tenant

Outstanding A/R and A/P transactions 

For outstanding A/R and A/P transactions (rent due, prepayments, bills due, etc) use Import Transactions to get the payee detail captured. You'll be able to enter the payee name and double check the entry before it's posted. It is recommended to complete this as follows for each transaction:

A/P

• Debit Account Name: Opening Balance
• Credit Account Name: Accounts Payable
• Date: The day before you started using Propra for accounting (typically the last day of the previous month)
• Description: Balance carry-over 
• Amount: Amount outstanding

A/R

• Debit Account Name: Accounts Receivable
• Credit Account Name: Opening Balance
• Date: The day before you started using Propra for accounting (typically the last day of the previous month)
• Description: Balance carry-over 
• Amount: Amount outstanding

Security Deposits / Last Month's Rent

For entering in the security deposits by tenant, you can use the Import Transactions. You'll need to prepare the import template for each owner & property, listing the Debit Account Name, Credit Account Name, Date, Description, and Amount. It is recommended to complete this as follows for each tenant:

• Debit Account Name: Your Trust Bank Account 
• Credit Account Name: Your Deposit Liability Account
• Date: The day before you started using Propra for accounting (typically the last day of the previous month)
• Description: Security deposit [tenant name, original deposit date]
• Amount: Amount of the deposit