Sage Timberline Office a.k.a. Sage 300 Construction and Real Estate allows construction and real estate firms an opportunity to streamline workflow and processes between departments to improve accounting efficiencies. I will talk about a few tips on how to maneuver through Timberline that any user should know.
Most modules in Timberline do not “speak” to each other so it is important to understand all the steps necessary to complete the task at hand. The basic GL account structure is 1-X-XXXX where the first portion 1-X is referred to as the prefix. The XXXX is referred to as the cost or base account. For example, when a job is set up for a particular customer, the categories within the job cost must be setup first. When I refer to set up, I mean to set up the prefix and cost/base account for this job in particular. Each category is associated with a base account.
For my client, Labor costs have a base account of 5410, Material costs have a base account of 5420, Subcontract costs have a base account of 5430, and “Other Costs” have a base account of 5440. This means that any job costs in these four categories will be recorded to the base accounts and have been set up as system defaults. The prefix is determined by the type of job that is being performed. Prefix 1-1 is for custom builds, prefix 1-2 is for repairs & maintenance, and prefix 1-3 is for remodels.
When setting up a job, it is mandatory to set up the prefix in both the job cost level and contract level. Once the contract level or header level has been set up, the contract item levels or sublevels will default to the same prefix and base accounts as set on the contract level. If for some reason the prefix and/or the base accounts need to be set to something other than the default settings, this can be changed for each item individually in the contract level item. One important thing to remember is that each contract level item will automatically copy the previous contract item level so the default must be changed back when the exception is no longer necessary or applicable.
If a job is set up incorrectly, meaning the wrong base accounts are used for each different category, it will be a very time consuming and tedious task to fix these issues. If a job is set up correctly with the proper categories, base accounts, and prefixes, you can rest assured that everything is being recorded to the general ledger properly.
TGG Accounting can help you set up or correct Timberline in your business. We have a team of experts ready to jump in and assist you. Call us today.Written by: Annie Terracciano TGG Accounting