General Ledger - Master GL accounts and their ID number

Scope and Purpose

The purpose of master accounts is to control the type of GL operations resulting from functional objects like invoices or deposits. The scope of master accounts applies to all functional objects that generate GL operations. Banks and trust are also special accounts; however these are not functionally controlled.

Master GL Accounts

Many organizations change the code and name of master GL accounts to fit the firm’s chart of accounts and better represent the order when generating the trial balance. These changes do not compromise their integrity. For ease of reference, they are recognized through the id shown after the name (tree view format). Master accounts should not be used for non-system operations, journal entries or for consolidating converted control account balances.

In a multi-firm environment, whether each profit-center (firm) has its own chart of accounts, or they all share one, the master accounts must remain available to all firms included in the system.

114	Interest on Unbilled Time and/or Disbursement entries [id 114]	Revenue
202	Unbilled Disbursements [id 3]	Asset
203	Allowance for Unbilled Disbursements [id 4]	Contra-asset
204	Accounts Receivable [id 5]	Asset
205	Allowance for Doubtful Accounts [id 6]	Contra-asset
206	Accounts Payable [id 7]	Liability
207	Unearned Revenue [id 8]	Liability
208	Foreign Currency Gain Loss [id 9]	Expense
209	Retained Earnings [id 10]	Capital
211	Billed Time Revenue [id 12]	Revenue
212	Premium On Billing [id 13]	Revenue
213	Fee Reduction (variance) [id 14]	Revenue
214	Fees Credited [id 15]	Revenue
215	Premium On Billed Disbursements [id 16]	Expense
216	Loss On Billed Disbursements [id 17]	Expense
217	Credited Disbursements [id 18]	Expense
218	Billing Discount (variance) [id 19]	Contra-revenue
219	Accounts Payable Discount [id 20]	Revenue
221	Unbilled Disbursement Write-Off [id 22]	Expense
222	Bad Debt Write-Off [id 23]	Expense
223	Billed Disbursement Write-Off [id 24]	Expense
224	Interest On Accounts Receivable [id 25]	Revenue
225	Interest On Accounts Payable [id 26]	Expense
251	Unbilled Disbursement for Rejected Matters [id 31]	Expense
252	Unbilled Disbursement for Rejected Matters – Contra [id 32]	Expense

Master Accounts Use Case

To maintain the integrity of the database, the use of the master accounts must be limited to the function that triggers the GL operations it includes. This ensures that only permitted functional processes can add content to the affected GL account, so the functionally driven GL operations can be audited and balanced against the functional transaction that triggered it. As a result, journal entries should not be posted against any master account.

If there is a desire to journalize amounts against a master account, create a regular GL Account and assign it to the same financial statement group as the referenced master account. For example, instead of posting a debit to “Accounts Receivable [id5]” – create a regular GL account “Accounts Receivable for JE” and post a debit to “Accounts Receivable for JE”.