Core TSIs : Contracts : Working with Contracts : Generating postings and journal entries
Generating postings and journal entries
Prerequisites
Planon creates postings and journal entries for both financial commitments and accounting commitments. In order for the system to be able to generate journal entries, you must first do the following:
• define the financial year(s) for which you want to create journal entries.
• execute the Generate journal entries for contracts action to trigger generating journal entries for financial commitments (the Generate journal entries for contracts action refers to non lease accounting contract lines).
If the above prerequisites are met, you can view the generated postings and their related journal entries in the General ledger TSI.
Postings can be provisional (PRV) or final (FIN). Both the provisional and final postings are always linked to their corresponding commitments. Planon updates the provisional postings to final postings after you have performed a final amount closure.
When does Planon generate journal entries and the related postings?
Planon generates journal entries and their related postings when financial commitments are closed at trial closure or at a final closure.
• For contract lines with the Payment? field set to Yes (=the contract amount is to be paid), Planon creates :
◦ a PRV (provisional) posting, type CASH_OUT. The posting changes to FIN (final) at final closure.
◦ two journal entries: CASH amount (credit) and ESUSP amount (debit)
• For contract lines with the Payment? field set to No (=the contract amount is to be received), Planon creates at trial closure: two journals (cr ISUSP amount, dr CASH amount). The posting changes to Fin at closure.
◦ a PRV (provisional) posting, type CASH_IN. The posting changes to FIN (final) at final closure.
◦ two journal entries: ISUSP amount (credit) and CASH amount (debit)