How to Change General Ledger Accounts in Sage 300
GL accounts were incorrectly setup with the wrong Account Type. Some Income Statement accounts were setup as Balance Sheet accounts so after running Create New Year, these accounts did not close to Retained Earnings. These accounts still have a beginning balance in the new year.
To correct the issue:
- Ensure the option Allow Posting to Previous Years is selected In G/L Setup, Options, Posting tab.
- Create a new GL account with the correct Account Type (Income Statement).
- Create a GL entry to transfer the balance from the old account (Balance Sheet) and into the new Income Statement account.
- Select period 12 and the fiscal year the entry is suppose to be posted in the Year/Period field of the journal entry header. Post the entry.
- Mark the old Balance Sheet account as Inactive in G/L Accounts, Accounts, so no additional entries can be posted to this incorrect account.
- Repeat step 2 to 5 for each account that was setup incorrectly as a Balance Sheet account.
Note: Do not run the Create New Year function again. The system will recognize the entry is posted to a prior year and will update the Retained Earnings account.