Emma's dashboard

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Hi Ed
I have just gone back into the profit and loss to get the details you asked me for and it the figures are now showing excluding vat. It must have taken some time for my system to update with the changes you made maybe? Anyway it is working now so thank you very much for your help.
Thanks again
Emma :-) – Emma, on October 31, 2008 11:14

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Emma. Wow, we're not doing well are we? Sorry. Can you email me your account name and the bill details and I'll make sure this is resolved within the hour... – Ed Molyneux, on October 31, 2008 10:26

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Hi Ed
Sorry about this but I have gone into the show transactions page and the figures that are showing are still incorrect. I have also allocated a payment this morning and checked again and this payment is also listed in cost of sales on the p&l for the total amount. Please help!!! – Emma, on October 31, 2008 10:20

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Emma, if you visit the 'Show Transactions' page for that accounting period that should clear out the cached totals (we do that for speed, and didn't clear them out when we did our update 'cos we didn't know what the name of your FreeAgent account was).

Hope that finally straightens things out... – Ed Molyneux, on October 31, 2008 09:28

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Hi Ed
Thank you for looking into this for us. I have just checked this morning and the figures in the profit and loss still show the total (inclusive of vat) figure even though the invoice has been paid. Did you make the change on FreeAgent that was required?
Thanks again for your help
Emma – Emma, on October 31, 2008 09:20

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Stuart - no such shenanigans required, thanks though (see below). Actually we handle each bill, invoice, bank entry and expense exactly according to its true VAT treatment (or at least, we do now that we've fixed that bug) so there's no need for any extra 'net of VAT reports'. – Ed Molyneux, on October 28, 2008 20:34

Ed Molyneux replied on October 28, 2008 20:32 to the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Emma,

Sorry to be a bit slow in resolving this. Yes, of course you were right, we weren't handling the VAT on those bills correctly.

We've fixed the accounting engine in our own code and we'll aim to make that change on the FreeAgent server later on tonight after we've done some further testing.

Do let us know tomorrow that this has resolved the problem, and once more apologies for the inconvenience in the meantime.

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Hi Emma,

Sorry to keep you waiting on this. We'll be looking into this later today and will get back to you ASAP. – Olly, on October 28, 2008 16:03

Stuart Jones replied on October 28, 2008 15:16 to the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

I guess this requires some clever work by FAC. In simple terms what is needed is the ability to show all inputs/expenses net of VAT irrespective of whether or not they're paid - I'm glad I don't have to do it.

A possible temporary workaround would be If the VAT on the unpaid bills could be brought into the P&L as a credit which would give the right net profit figure

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Hi, any news on this as it is still messing up my profit and loss account? I have noticed that the error only occurs when using the bills system – Emma, on October 28, 2008 12:00

A comment on the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Hi Ed
Thanks for the reply. We do operate a cash accounting scheme. I have allocated payments to a couple of the purchase invoices and although the vat is being calculated correctly on the vat account, the amount showing in the profit and loss is still the total amount of the invoice including the vat element which isn't correct is it?
Many thanks
Emma – Emma, on October 20, 2008 12:33

Ed Molyneux replied on October 15, 2008 16:46 to the question "What is the Correct Payment Category for Utilities Bills?" in FreeAgent Central:

At the moment, yes, Office Costs would be right.

We do plan to introduce Custom Categories at some point in the fairly near future.

Ed Molyneux replied on October 15, 2008 16:43 to the question "Incorrect 'Bills' figure in Profit & Loss" in FreeAgent Central:

Emma,

We treat the bill differently depending on your VAT status at the time (or at least we should be - I can't rule out the possibility that this is a bug ;-<)

So - if you're not VAT registered, or using the Cash accounting scheme, or you're on the Flat Rate Scheme (for most things), the bill just appears in the accounts gross of VAT.

(If you're using the Cash accounting scheme, the VAT liability arises when the bill is paid...)

Does that make sense and, more importantly, reflect what you see going on with FreeAgent from your account?

Emma asked a question in FreeAgent Central on October 15, 2008 12:55:

How do I record payroll for Hourly Paid Staff

Hi

Our staff are all hourly paid and as such their wages vary each month. Is there a way of reflecting this in the payroll?

Many thanks

Emma asked a question in FreeAgent Central on October 15, 2008 09:16:

What is the Correct Payment Category for Utilities Bills?

Hi

Could you please advise as to the best bills category to use for utilities bills such as electricity bills. The only one I am assuming it could go under in the current list is office costs? Are we able to create a new category ourselves?

Many thanks

Emma asked a question in FreeAgent Central on October 15, 2008 08:49:

Incorrect 'Bills' figure in Profit & Loss

Hi

Thanks for the new bills section.

We have a problem here - When adding a bill for, say 117.50, including 17.5% VAT, the figure shown in profit and loss is the 117 inc VAT amount, rather than the 100.00 ex VAT amount.

Are we doing something wrong here?

Ed Molyneux replied on October 03, 2008 13:13 to the question "Entering Debtor Balances when operating a Cash Accounting VAT system" in FreeAgent Central:

Emma,

When accounting for Initial Debtor Receipts, FreeAgent uses the 'Initial VAT Accounting Basis' and 'Initially on Flat Rate Scheme' settings from the Settings > UK VAT Registration Details screen.

(even if you change the details of each real VAT return afterwards)

You can alter these even after VAT is setup if you need to change the handling - unless you have locked VAT periods in which case you'll need to unlock them first.

Hope that makes sense - we'll update the form and the help drawer to make sure that information is available.

Do let me know how you get on, especially if you think it's still not quite right.

Emma asked a question in FreeAgent Central on October 01, 2008 12:31:

Entering Debtor Balances when operating a Cash Accounting VAT system

I want to add previous year debtor information (pre freeagent) and operate a cash accounting vat system. What is the correct way to add the information to ensure when payment for each invoice is made the vat element is accounted for correctly?