Statement of Receipts and Payments

The Statement is made up of cash receipts and cash payments that show the surplus or deficit for a particular time period for the organisations funds.

Receipts are recorded in income accounts for the entity. While payments for goods, services and other charges incurred in the day to day running of the entity are recorded to expense accounts

Where the organisation is reporting using Receipts and Payments but have non-cash assets and/or liabilities the following comments may be useful Receipts and Payments reporting where there are non-cash assets and liabilities

The report will usually be produced with Funds summarised across Unrestricted, Restricted and Endowment. However the user can have each fund or a selection of funds displayed in columns.

Standard Statement of Receipts and Payments

The standard SoFA displays, in columns, the sum of Unrestricted (including designated) Funds, Restricted funds and Endowment Funds plus the total of all Funds.

The blue references open a help file describing what is expected in the line item or column heading from the Charity SORP (Statement of Recommended Practice).

Statement of Receipts and Payments for selected Funds

When this is selected the Fund or Funds required are picked from the list. Click the green box to open the pick list.

Charities with an annual income of below £250,000 may choose to report on an accruals basis or a Receipts and Payments basis. Charities that are companies may not use a receipts and payments basis. The user is strongly advised to discuss the choice with their advisor if uncertain.

Quick Date Selection

Quick Date Selection allows the user to rapidly select historic and current annual accounting period ranges for the report. Users may adjust dates in the from/to fields to meet their reporting requirements.

For the Standard SoFA the prior period dates are automatically set depending on whether the from/to dates exactly match any annual accounting period held in the system for the organisation.

If the from/to dates exactly match any annual accounting period held in the system the stored dates of the previous annual accounting period will be used for the comparative prior period.

If the from/to dates do not match any annual accounting period held in the system the prior period dates are automatically set to be 12 months prior to the from/to dates, provided the date range does not exceed a calendar year.

Similarly, when a single fund is selected the prior period dates are automatically set to be 12 months prior to the from/to dates, provided the date range does not exceed a calendar year.

If 2 or more funds are selected there is no prior period data.

The report is prepared by clicking the GENERATE button after which additional functionality is available.

Select the number format for the report, either: -

Exact Amounts e.g. 1,234.99
Whole Pounds e.g. 1,234
Compact (Thousands or Millions to zero or one decimal place according to the size of the number e.g. 250, 1.4K, 24K, 7.2M, 22M)

A PDF report subsequently created will use the same number format, but XLSX number formats do not support the compact format and will substitute whole pounds instead.

Level of Detail

The level of detail can be set by the user clicking on the top left of the screen the EXPAND All/COLLAPSE All buttons.

The amount of further detail is determined by the user by clicking symbol

Note the level of line item detail displayed on the screen will be reflected in any subsequent output.

Report Output

The report is presented to screen and the user may drill-down on individual lines to see the underlying transactions. The report can also be downloaded in PDF or XLSX format. Alternatively you may save a copy of the PDF report on Liberty to be viewed from the menu option:

Reports - Saved Reports

Where the report has columns not immediately displayed on the screen the user may scroll with a mouse.

Drill-down

Click on the account you want to view and the system will open a new window showing all the transactions that make up the total for that account or report section. By default only the transactions for the period you are reporting on will be presented but the user may modify the date range.

If you are reporting on a Receipts & Payments basis and elect to use the sales or purchase ledgers you may encounter situations where the balance in the drilldown screen does not match the balance reported on the SoFA. In this situation you will see items in the drilldown list that are highlighted. The highlighted items will be non-cash documents that:

Were raised prior to the start of the date range and became fully paid during the reporting date window
Were raised during the reporting date window but were partly paid during this period

For the highlighted items you can review the cash allocations using Document allocations to understand how much of the item was paid in the current period. If you have a lot of highlighted items and find it difficult to reconcile these figures then we would suggest that you consider whether reporting on an I&E basis would be a more appropriate approach for your organisation.

Re-assign Selected Items

Single or multiple transactions may be re-assigned to another account by selecting from the drop-down box an account to which the transactions need to be moved.

Note this is a powerful feature and must be used with care and understanding.

Select those transactions required to be moved by ticking the selection box for each. Note all items in the screen date window may be selected by ticking 'Re-assign All'

When ready, click the RE-ASSIGN SELECTED ITEMS button to move those transactions.

The action box symbol gives access to the following actions.

Analyse: to view/modify existing transaction.
Audit: to view the audit trial entry for the transaction.
delete: Delete is available if not reconciled, in a close period or linked to another transaction.

In using the analyse feature you need to think carefully about the impact of your change and whether it is acceptable based on the needs of your organisation, its accounting policies, and whether the change causes your accounts to differ from what you have already reported to statutory or tax bodies. Transactions can only be changed and saved if they are dated after the later of the last closed year end or any user configured "Transaction Lock Date" on the accounting options tab of the business profile.

Note that 'Re-assign Selected Items' function is also available from within the Analyse Screen. Please note the comments above.