Offsetting General Ledger Entries

Transmissions Lessons Offsetting General Ledger Entries

This document provides instructions for making offsetting general ledger entries within the FLEX system. Offsetting entries are necessary after reviewing all exceptions to ensure accurate financial records.

Determining Your Credit Union’s Category

Before making any entries, identify which of the following categories best describes your credit union’s setup:

  • Corporate to Corporate
    • Description: Daily transactions are posted directly into your corporate General Ledger (GL). Your processor also posts their offsetting entry to this same corporate GL.
    • Processing: This typically occurs through ACH processing.
    • Action Required: No offsetting entries are required if you are configured this way.
  • Clearing to Corporate
    • Description: Daily transactions are posted to a clearing GL (or suspense GL). The processor’s offsetting entries will impact the corporate GL.
    • Action Required: A manual offsetting journal entry will need to be made. Refer to the “Making an Offsetting Journal Entry” section below for detailed instructions.
  • Clearing to Clearing
    • Description: Daily transactions are posted directly into a clearing GL. This is the same GL that your processor posts their offsetting entry to.
    • Processing: This generally comes through ACH processing.
    • Action Required: No offsetting entries are required if you are configured this way.

Making an Offsetting Journal Entry

Follow these steps to create a manual offsetting journal entry in the FLEX system:

  1. Access General Ledger:
    • From the FLEX Main Menu, navigate to GL/Accounting.
    • Expand the General Ledger section.
    • Select General Ledger.
    • (Refer to the image in the original document for visual guidance on menu navigation.)
  2. Verify Offsetting Totals:
    • Ensure that the offsetting totals are correct.
    • These totals should tie back to the Sum of Day Totals Report.
  3. Manually Create Entry:
    • Make the offsetting entry manually for the exact amount that will be debited or credited on the processor’s side.
  4. Description and Date:
    • Description Types: There will be two types of descriptions for these entries:
      • EOD OFFSET XX/XX
      • NQ OFFSET XX/XX
    • Balancing Basis: The description and date of the entry are now the basis for balancing, not the Batch date.

Support

If you have any questions or encounter problems during this process, please contact the FLEX Transmissions Support Team for assistance:

  • Phone: 1-800-262-3539