Creating and managing Accounting Entities

AR Management - This article explains how to create and manage Accounting Entities.

Accounting Entities are used to capture accounting specific attributes such as Accounting Periods, GL Codes, Cost Centers and Control Accounts - which are used for reporting and Finance Journals. These are required to be set up and mapped accordingly to use the Finance Journal.

Required packages and permissions

Available with:  Lumary 22.82 and later

Permission: Lumary AR - AR Management

Lumary AR Management features do not necessarily come as standard. If these features are not available to your users, please contact your Account Manager.

This article will cover creating the following Accounting Entity types:

• Accounting Periods,
• Control Accounts,
• GL Codes, and
• Cost Centres.

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Accounting Period

An accounting period is any timeframe used for financial reporting. Transactions that fall within a given date range form part of the statements or reports.

1. Navigate to the Accounting Entity object, click App Launcher, then click AR Management, then click the View Accounting Entities card on Dashboard.
2. Click New button
3. Available fields:
   • Entity Name - This should be the name of the Accounting Period, e.g March 2025
   • Status - Open or Closed, when you close an Accounting Period, you should update the record to Closed, which prevents further transactions being allocated to it.
   • Account Type - Revenue Expenses, Lumary AR currently only supports Revenue.
   • Start Date - First date of the Accounting Period, and must be before the End Date.
   • End Date - Last date of the Accounting Period, and must be after the Start Date.
4. Click Save

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Control Account

Control accounts are summary accounts that make up the general ledger and inform financial reporting. The control account balances are determined by the transaction details of the associated subsidiary ledgers.

1. Navigate to the Accounting Entity object, click App Launcher, then click AR Management, then click the View Accounting Entities card on Dashboard.
2. Click New button
3. Available fields:
   • Entity Name - This should be the name of the Control Account.
   • Control Account Type - The type of control account being created:
     • Bank Account - The control account transactions are journaled to when a payment is recorded.
     • Debtors Control Account - The control account transactions are journaled to when an Invoice is raised.
     • GST Control Account - The Control account the GST portion of transactions are journaled to when they contain GST.
   • Reporting Code - The code or name from your financial package for this control account.
   • External Id -The Id from your financial package for this control account.
4. Click Save

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GL Code

A general ledger (GL) code is a number used to record business transactions in the general ledger.

1. Navigate to the Accounting Entity object, click App Launcher, then click AR Management, then click the View Accounting Entities card on Dashboard.
2. Click New button
3. Available fields:
   • Entity Name - This should be the name of the GL Code.
   • Parent - Allows you to link this to another GL Code to create a tree of hierarchical GL Codes for reporting.
   • Account Type - Revenue Expenses, Lumary AR currently only supports Revenue.
   • Reporting Code - The code or name from your financial package for this GL Code.
   • External Id -The Id from your financial package for this GL Code.
4. Click Save

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Cost Centre

A cost centre is a department within a business to which costs can be allocated.

1. Navigate to the Accounting Entity object, click App Launcher, then click AR Management, then click the View Accounting Entities card on Dashboard.
2. Click New button
3. Available fields:
   • Entity Name - This should be the name of the Cost Centre.
   • Parent - Allows you to link this to another Cost Centre to create a tree of hierarchical Cost Centres for reporting.
   • Account Type - Revenue Expenses, Lumary AR currently only supports Revenue.
   • Reporting Code - The code or name from your financial package for this Cost Centre.
   • External Id -The Id from your financial package for this Cost Centre.
4. Click Save