Tag Archives: software

Specify the currency conversion rate (Exchange Rate)

Software: MoneyWorks accounting software

For purchases made from a GST register trader in foreign currencies, the supplier has to reflect the GST payable on the invoice in Singapore dollars with an approved exchange rate. You, the buyer, should claim input tax based on Singapore dollar amounts shown on the tax invoice instead of conversion based on your in-house exchange rate.

For example, your in-house exchange rate is 1SGD:0.7400USD, but received a Bill from a supplier at a rate of 1SGD:0.7431USD. Then, you should record the Bill (Purchase Invoice) with an exchange rate of 1SGD:0.7431USD instead of using the system rate 1SGD:0.7400USD.

Assuming the GST amount of a Purchase Invoice is US$700. It will be $$945.95 (700/0.7400) if recorded based on system exchange rare of 1SGD:0.7400USD and S$942.00 if the exchange rate has changed to 1SGD:0.7431USD.

As you can see from the above illustration when the exchange rate changed, the GST amount in Singapore dollar changed.

Click the exchange rate button on top of the purchase invoice to change the exchange rate of a transaction in MoneyWorks accounting software.

Change exchange rate

Then, uncheck the ‘Use system rate at posting time’ checkbox from the Currency Rate wizard and amend the exchange rate for the transaction.

You should check with your accountant or IRAS if you have doubt on GST transactions.

 

Invoice in multiple currencies

Software: QuickBooks Desktop Accounting Software

You can record bill or issue invoice in foreign currency once you have set up to use the multiple currencies feature in QuickBooks.

A currency has to tag to each name set up in QuickBooks. For example, you tag USD to Customer A if you trade with him in USD and invoices issued will link to the USD Accounts Receivable account automatically.

QuickBooks - Multiple Currencies

Multiple Customer A has to be created if you are trading with him in multiple currencies. For example, you create two names in Customer Centre if Customer A buys from you in both USD and MYR. One set as USD and another in MYR. QuickBooks treats them as a separate entity and will both show in the receivable report separately.

 

How to use a MoneyWorks filter?

Software: MoneyWorks accounting software

The transactions which you have recorded goes to the respective list. For example, when you record a Sales Invoice, it goes to the Sales invoice list; and a Purchase Invoice goes to the Purchase Invoice list, etc.

The list contains years of data which you have recorded. Use the Search function in MoneyWorks to quickly find the transaction(s) instead of scrolling up and down on the list. For example, you may enter ‘Bronze Widget’ in the Search bar to find any sales invoice which contains the product ‘Bronze Widget’. Search is a great function which allows you to find transaction(s), name or item easily. However, if you need to use the search criteria frequently, then you may consider creating a filter.

A Filter is like a ‘template’ with the search criteria set, activate the filter each time you need to use it instead of re-entering the search condition again. For example, you can use a filter to prepare a transaction list showing the Purchase Invoices from the creditors and Payment for the invoices within a date range.

To create a filter, select Edit Filter from the drop-down list beside the search bar. Then, click the New button at the Filter Function to create a filter.

The Purchase Invoice and Payment are in a different list view, create the filter in the ‘All’ list view to pull the transactions together.

Enter the Search Expression (Search Expr) as:
(Type = “CI@” or Type = “CPC”) and TransDate >= “1/4/2015” and TransDate <= “31/3/2016”

Note: ‘CI’ is a transaction type code of Purchase Invoice and ‘CPC’ is the transaction type code of the cash payment for a creditor invoice. Refer to the MoneyWorks User Guide for more information on Transaction Type Code.

This filter will search for Purchase Invoices and Payment for the invoices from 1 April 2015 to 31 March 2016.

Filter

Enter a name for your filter and set the filter for ‘Current view only’ before you saved the filter.

Use the newly created filter from the ‘All’ list each time you need to search for the Purchase Invoice and Payment of the invoices within the date range set in the filter. Amend the filter if your search condition has changed.

After the list found, click the NameCode column heading to sort the list by the creditor and print the list with subtotal by the NameCode.

Tips:
You can sort two columns by first clicking the column heading of the minor column (first sort), then hold down the Option key (Mac) or the Shift key (Windows) and click the column heading of the major column.

For example, you want to sort the list by the supplier and follow by the transaction date; then, the Transaction Date column is the minor and the NameCode is the major.

Alternatively, you can use the Related function to search for the Purchase Invoices and Payments of the creditor(s).