Acumin Documentation
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General Ledger - GL Operations - Setting up Time Entry Codes (exception)

Important:

The information provided in this document applies only to a limited number of clients who were implemented prior to 2010.

Acumin no longer journalizes unbilled time entries as part of its standard accounting processes. This change was made to improve system performance and maintain a complete, transaction-level audit trail without inflating the size of the database.

For more information, please refer to the following explanation:
👉 Why Acumin Does not Journalize Unbilled Time Entries


Expense and Recovery Fields (Non-Chargeable Time Entries)

In Acumin, non-chargeable time—such as time spent on internal functions like marketing or administrative tasks—is handled differently from chargeable time in terms of accounting treatment.

Expense Field

The Expense field is used to define the GL account that will receive the debit portion of the GL operation for non-chargeable time entries. This GL account typically represents internal costs and is not part of the Unbilled Time (UBT) Master GL Account.

Recovery Field

The Recovery field is used to define the GL account that will receive the credit portion of the GL operation for non-chargeable time entries. Like the Expense account, this is not part of the standard UBT Contra account structure.

Typically, one GL account is created for the Debit (Expense) side and a separate account for the Credit (Recovery) side. Both are then grouped under the same line on the financial statement to net to a value of 0.00.

Important Note

Non-chargeable time entries are not journalized into the Unbilled Time (UBT) Master GL Account, as they do not represent billable work.

Chargeable Time Entries

Chargeable time entries follow a structured accounting treatment using Master GL accounts:

  • Debit: Unbilled Time (UBT) – Asset

  • Credit: Unbilled Time Contra (UBT Contra) – which can be configured as:

  • A Contra-Asset account (netting to zero on the balance sheet)

  • An Equity account (viewed as a firm investment)

  • A Revenue account (recognized as revenue immediately)

Depending on your organization’s accounting policy, the UBT Contra account can be mapped to different locations on the financial statements. The related write-off accounts should also follow the same classification for consistency.

Journal Entry Summary

Scenario

Debit GL Account

Credit GL Account

Chargeable Time Entry

Unbilled Time (UBT) – Asset

UBT Contra – Contra-Asset/Equity/Revenue

Non-Chargeable Time Entry

Expense GL Account (from time code)

Recovery GL Account (from time code)

Write-Off (Chargeable)

Bad Debt Expense – Unbilled Time WO

Unbilled Time (UBT) – Asset

Remove (Non-Chargeable)

Recovery GL Account

Expense GL Account

Note: For non-chargeable time entries, both original posting and removal will cancel each other out, resulting in no financial impact.

Invoicing

When chargeable time entries are billed:

  1. Reverse original unbilled entry:

    • Debit: UBT Contra

    • Credit: UBT

  2. Record revenue:

    • Debit: Accounts Receivable (AR)

    • Credit: Billed Time Revenue

If there is a variance between the original value of time and the amount billed:

  • The difference is treated as a premium or loss, recorded in appropriate master GL accounts.

  • Discounts are recorded separately in designated discount accounts.

Note: Non-chargeable time included on invoices does not trigger any additional GL operation since it has no financial impact.

Displaying GL Operations in Acumin

To view the GL operation associated with any transaction:

  1. Navigate to the main menu.

  2. Under the “Other” section, turn ON the option: Display GL Operations.

  3. Execute the desired function.

  4. A window will display the related GL operation.

    • Click OK to proceed.

    • Right-click to select Print List View.

To disable this feature, simply turn OFF "Display GL Operations."

We recommend enabling this option in a training or test environment for full visibility of system behavior before applying changes in production.

Financial Statement Mapping Considerations

The final impact of time entries on your Income Statement or Balance Sheet depends on:

  • How GL accounts are mapped to time codes

  • How those GL accounts are classified (Asset, Contra-Asset, Equity, Revenue)

  • How financial statement groupings are structured

Proper configuration ensures accurate financial reporting and compliance with firm-specific accounting policies.

RELATED DOCUMENT:

Why Acumin Does not Journalize Unbilled Time Entries

General Ledger - Month-End and Year-End - Journalizing Unbilled Time