GL Accounts Tab (FACTS Accounts)

GL Accounts Tab (FACTS Accounts)

The GL Accounts tab allows you to edit or view the General Ledger accounts where Investment Account data will be posted.

NOTE: This tab is rarely used. 

GL Accounts Tab

Tip: When to Use the GL Accounts Tab

Some organizations track Investment Account balances in General Ledger so they can include the balances in financial statements.

In addition to the Fund level entries set up via the GL Accounts Tab on the Pools supertab, FACTS can also make the following journal entries for each Investment Account in the Pool:

• One Asset Account.
• One Adjustment to Market Account.
• Revenue Accounts to Income and / or Principal:

• Realized Gain / Loss.
• Unrealized Gain / Loss.
• Income.

• Expense Accounts to Income and / or Principal:

• Fees – Custodial.
• Fees - Legal / Probate.
• Fees – Management.
• Fees – Other.

FACTS can also make the following Contra Account (control account) entries to offset the impact of Investment Account entries on General Ledger:

• One Contra Asset Account.
• One Contra Allocations to Funds P&L Account.

Example:

This example illustrates the Contra Account entries which FACTS will make to allocate $500 of income to a Fund.

Entry to receive the income into the Fund where it was allocated:

Entry to record the income earned within the Investment Account in the Pool:

Entry to allocate the income out of the Pool to the Fund.

NOTE: If you combine the Account and Pool level Journal Entries, their net impact is zero. Therefore, these accounts are maintained primarily for tracking purposes. Even though the accounts do not have any impact on the overall assets, Fund balance, or revenue and expense, they serve as a useful tracking tool.

You can use the Row Formatter and Column Formatter in General Ledger to create financial reports that show the activity and balances for a Pool or any Investment Account within a Pool. Refer to Working with Design Statements in the General Ledger module for more information.

NOTE: If you choose to use these Contra Accounts, you need to set up the End of Year process to ignore the Contra P&L accounts since there is no Fund balance to which these accounts should close. All of the revenue and expense accounts associated with Pools or Investment Accounts within the Pools should be coded with the Account Type code of F1 to indicate that they are FACTS Related P & L Accounts. Please contact FIMS Support for more information.