Chart of accounts - overview

GL2 uses a global chart of accounts, which makes the setup of new ledgers easy. Once a ledger type is chosen, the accounts set up for that ledger type will be made available. The accounts required for the new ledger are then activated, and sub-accounts are created and assigned. See below for further explanation of these functions and how to use them.

Ledger Type

When creating an entity, the ledger type is set in the Type field. This provides a default chart of account structure for any ledgers created under that entity. Types available are:

• ADRA

• ADRA Project

• Bookstore

• Conference/Mission

• Division

• Hospital / Clinic

• Radio/TV Station

• Regional Office

• Union

• University/College/School

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Sub-Accounts

Sub-accounts are unique to each ledger, whereas accounts are set up at the global level. Each account has a setting to determine whether a sub-account/s are required, optional or not allowed. This setting is determined at the global level so careful consideration needs to be given to any changes requested. Only System Administrators that also have the role of Chart of Accounts Administrator can make changes to this setting.

For example, 140050 - Cash on hand is an account, but this does not refer to one petty cash account. It requires sub-accounts, so each petty cash account needs to be created as a sub-account so they can be posted to.

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Example of the full account number using the account 825-240290 Electricity expense

The option chosen determines the colour of the account in the list:

Green = Required

Orange = Optional 

Red = Not Allowed

Refer to How do I add a sub-account? for information on creating sub-accounts.

Object Analysis

Analysis codes can be set at the object level, so that all accounts under that object will require certain analysis codes when posting journals. For example, the object 822 - Other employment costs and allowances could have the Department and Who codes set. Any account assigned to this object will require the Department and Who code when being posted to. 

Override Object Analysis

If an account does not require the object analysis that has been set, it can be overridden. Tick the "Override Object Analysis" on the account and either change the analysis codes selected, or press the Delete key on the keyboard to remove them. Click Update to save the changes. 

Object Analysis Limits

If you wish to restrict the sub-accounts that can be used for certain accounts, the Object Analysis Limits feature can be used. For example, only certain combinations Departments and Who codes should be used when posting to particular accounts. To set this up:

1. Go to an account with the relevant Object Analysis set, such as Salaries and Wages.

2. Click on the Object Analysis Limits tab.

3. Untick the "Allow ALL Object Analysis codes" checkbox.

4. Expand each of the Departments and tick the Who codes that are allowed to be shown on a journal when that Department is selected.

5. Click Save when done.

6. If you wish to copy this setup to all accounts that have Department and Who set as Object Analysis, click the Copy button in the bottom left-hand corner of the Object Analysis Limits screen.

7. A message will appear asking if you want to do this, so click Yes.

If someone changes Department and therefore the setup needs changing, the changes can be made and copied again.