Introduction

The debit or credit balance of a ledger account brought forward from the old accounting period to the new accounting period is called opening balance. This will be the first entry in a ledger account at the beginning of an accounting period.

If a ULB is using another accounting software before, firstly ULB should close financial statements in that software. The closing balance of the accounts should be updated as an opening balance in the next ERP.

Data Table

Procedure

Data Definition

• Sr No: Defines the serial no of the line item.

• Financial Year: The Financial year indicates the year for the which the opening balances will be entered for the GL accounts.

• Department: A department indicates to which the GL code is linked, user while entering the opening balance can select a particular department to which amount will be entered.

• Fund: A GL Code can be linked for the validation of the Fund, user while entering the opening balance can select a particular function to which amount will be entered.

• Function: A GL Code can be linked for the validation of the Function, user while entering the opening balance can select a particular function to which amount will be entered.

• Type: The Type indicates the Liabilities, Assets and Equity which are mapped to each individual GL code. User can easily identify the GL code by this mapping.

• Major Code: The Major Code can be any number of digits, (though NMAM suggest the first 3 digits) of the GL Code to be the Major code, this will help in collating the reports at the Nation level.

• Minor Code: The Minor Code can be any number of digits, the digits are configurable. The Major code will help in collating the reports at the State level. Also State has the flexibility to define the minor codes.

• Account Code: A General Ledger Code (GL Code) is a string of 7 to 9 digit numeric characters assigned to each financial entry in an State/ULB ledger. A GL Code can be assigned to different debit or credit entries to make opening balances.

• Account Head: The short name for the Ledger Code, wherein users use this account head name while entering the opening balances.

• Sub Ledger Type: The Sub Ledger type indicates if the GL code is linked to a sub ledger account which is contractor, supplier and employee then the user can select the sub ledger type while entering the opening balances.

• Entity: When the Sub Ledger is linked to the individual entity, user can select a entity while entering the opening balances.

• Credit: If the opening balance for a Financial year or a period of a particular GL account is a credit Balance then user need to update the amount under the Credit column.

• Debit: If the opening balance for a Financial year or a period of a particular GL account is a Debit Balance then user need to update the amount under the Debit column.

• Narration: A shot narration given while entering the opening balance.

Steps to fill data

• Identify all the Ledger Codes for which opening balance need to be entered.

• Download both the attached template and to updated all the details as per the above information in the empty template provided. The sample data template can be used as a reference to fill in the data.

• Read through all the information above before updating the template with relevant information.

Validations

• All the fields with * sign are mandatory to be filled in. Without this information, the system configurations cannot be executed.

• The format of the GL Code to be 7 to 9 digits numeric and unique no repetitive code should be entered.

• The Type Assets and liabilities should be clearly specified.

• Before selecting the Major and Minor head, the Type “Asset” or “Liability” should be selected. Without selecting the type the major and Minor head details cannot be selected.

Attachments

• Refer to “Opening Balance Tab” in the uploaded template.

• For sample data reference, refer to the uploaded “sample date” file.