Adjustment Categories

Adjustment transactions are used to record bank account and credit card transactions such as interest earned, service charges, balance adjustments, and transfers between bank accounts. You can create adjustment categories on bank account and credit card records for the adjustment transactions you create regularly.

Adjustment categories reduce data entry time, ensure accuracy, and speed reconciliation. For example, if you have a monthly bank service fee for checking, you can create an adjustment category for this fee that includes all the necessary information for the transaction, such as the payment amount, the reference for the register and statements, and the payment distribution accounts. Each month when you need to record the bank service fee, you can create an adjustment transaction, select the adjustment category created for this transaction type and all the information for this payment is entered automatically.

From Treasury, open a bank account or credit card account record. On the account record page, under Adjustment categories, you can view all saved adjustment categories. Open a saved category to make changes, delete an adjustment category, or copy an existing category to create a new one based on its settings.

Tip: When you add an adjustment, such as bank interest, before you complete reconciliation you still need to post the adjustment. For more details, see Add an adjustment on the Bank Account Adjustments help.

You can also edit or delete adjustment categories at any time. For example, you might want to change the default date or post status, or delete adjustment categories you no longer use. To edit an adjustment category, from the menu of a category, select Edit, make any necessary changes and select Save. To delete, from the menu of a category, select Delete.

  1. Under Adjustment categories on a bank account or credit card account, select Add.

  2. Enter a name for the adjustment category as well as default information.

    • Adjustment date - Enter the date to use as the default when creating an adjustment of this type.

    • Amount - Enter the amount of the adjustment. You can leave this field blank and enter the amount when you create the adjustment.

    • Adjustment type - Select “Deposit”, “Payment”, or “Transfer Out”. The “Deposit” and “Payment” transaction types do not necessarily need to be deposits or payments. The terms simply mean a “Deposit” increases the account balance while a “Payment” decreases the account balance. For example, a service fee would be a payment, while a credit to the account would be a deposit.

    • Reference - Enter a journal reference. This information appears in the check register.

    • Post status and date - Enter the post status and date for the adjustment category.

    • Notes - Enter any notes you want associated with the adjustment category.

  3. Under Distributions you can create a default distribution for the adjustment category. Select the account and enter the credit amount for the distribution. For more information about Distributions, see Distributions.

  4. Next select the projects, grants, and transaction codes for the distribution.

  5. To apply an account distribution set, make your selection and select More, Apply account distribution set. Account distribution sets allow you to split an amount you have assigned to an account over several projects and transaction codes.

  6. To enter custom fields to further define the distribution, select Select custom fields in the Custom fields column. For more information about custom fields, see Custom Fields.

  7. In the Interfund entry set field, select a set to balance the accounts if the debit and credit accounts aren't in the same fund.

    Tip: You define interfund entry sets in the database view.

  8. Select Save.