When setting up the chart of accounts for a rental company to migrating from another package, starting balances for all accounts are entered and all balance sheets look correct.
One of the accounts in the chart of accounts is “Security Deposits” ( a current liability). Although the balance is correct, there is no visibility as to what customer that liability is for. Since the deposit was collected over two years ago, there would be nothing (invoices/line items) in Manager to link the amount to a customer. How can the funds be marked as coming from that customer. Please advise.
You could do a Journal Entry where both the Debit and Credit go to “Security Deposits”
Then you can put any details into the Description fields.
Thanks @Brucanna. That works. Not “linked” per se, but at least self-documenting.
Alternatively, if you are going to have a number of these security deposits, instead of dumping them into one generic account Security Deposits you could use the Special Accounts tab.
First you would need to activate the tab, under Customise.
Next, Edit your Security Deposits account to become a Control Account made up of Special Accounts
Then go to the Special Accounts tab and create an account in the name of the Customer
Now you could put the opening balance in here, but you also need to remove it from the main account under Chart of Accounts
Read this Guide: https://guides.manager.io/10555. There is an example about real estate. While not exactly what you are asking about, it is very close and illustrates the concept.