DHA Cash Management - Banks
The two major functions of the cash system are keeping track of monthly bank transactions for the general ledger and keeping a running file of open checks for automatic bank reconciliation.
All input goes first to a temporary bank file, so you can check accuracy and make corrections. Transactions are then posted to the bank files.
Checks and deposits are entered, and old items are closed during reconciliation.
DHA uses standard checks printed with your bank numbers and name. Checks can be printed by your bank or any other local forms supplier. Suitable checks are also available from mail order vendors. (NEBS #9025, Deluxe #1004, etc).
Vendor names and addresses are in a DHA MAIL file, and are accessed by a simple letter code. (The vendor file can also be used to print 1099 forms, labels, or letters). You can write a check to a one time vendor simply by entering the name and address.
There are two separate balances maintained by the bank system. The running bank balance contains a record for each check and deposit entered into the system. The purpose of this file is to provided current balance and reconciliation of the bank statement. This balance file has no effect on the monthly accumulation of cash activity for the General Ledger.
Cash expenses and deposits for the current period are in a separate file. This file contains an entry for each check and deposit entered during the current accounting period. This file is used to generate the check register and the distribution of cash to the general ledger. Check registers can be run as often as necessary. Distribution listings can also be run as often as required, and you can combine all the monthly files to generate a check register and distribution for the full year.
If you are using the DHA Accounts Receivable program, most deposits will be made in AR and will automatically be posted to the bank. Without the AR program, AR payments are entered in the bank as any other deposit. For non-receivable deposits, an entry will automatically be made to the general ledger cash account when the ledger is closed.
Checks - Standard computer checks printed with your bank numbers and bank name.
Check Register - Numerical listing of all checks in the current bank file. An asterisk indicates missing or double numbers.
Deposit Listing - Listing of all deposits in the current bank file.
Distribution - A listing of checks distributed by account with vendor subtotals.
Vendor Listing - A listing of checks distributed by payee.
Bank Balance - Current bank balance. Instantly available at anytime either on screen or as hard copy.
Open Item List - List of all checks/deposits not yet reconciled to the bank statement.
Bank Reconcile - Report of checks and deposits cleared with statement balances.