Enter Opening Balances in Sage 50

This article gives you a brief overview of the enter opening balances in Sage 50 for ledger accounts, bank accounts, suppliers, and customers. Opening balance continuously refers to the balances of a financial account that are debited by the opening credits for a transaction.

This article has been compiled for users who are trying to achieve one or more of the following goals.

• Enter opening balances for a customer
• Enter opening balances for a supplier
• Enter opening balances for a bank account
• Enter ledger account opening balances
• Record a payment or receipt against an opening balance.

Guide to Enter Opening Balances for Customers in Sage 50

For users who have moved their business accounting to Sage Accounting for the first time, the first thing that they need to do is that they need to enter any outstanding customer transactions. Users can choose between importing the customer opening balances and entering them manually.

Also, the user needs to check and make sure that their VAT scheme and account start date information is correct. Furthermore, the user also needs to ensure that they create their customer records. Lastly, the user also needs to compile a list of any outstanding customer invoices and credit notes. The steps to import data into Sage 50 such as customer opening balances have been mentioned below.

Needs to keep a few things in mind before importing the customer opening balances

• The first thing that needs to be kept in mind before the user can import their customer opening balances is that users are required to have already entered the customers and/or suppliers.
• Another thing that needs to be kept in mind before the user can import their customer opening balances is that users must have already set an account start date and the VAT scheme.
• Users also need to make sure that the file that they are trying to import for the customer opening balances only contains the opening balances of customers or suppliers. If the user wishes to import the opening balances of both the customers and the suppliers, the user must do so using two separate files.
• The file that the user wants to import for the customer opening balances must be in a comma-separated value (CSV) format. No other format is accepted.
• Users also need to make sure that the column headings and the formatting of the file that they are trying to import match the column headings and the formatting of the customer opening balances template file.

After making sure of the things mentioned above, the user can proceed to import their customer or supplier opening balances file.

To import the customer or supplier opening balances file, the user can follow these steps in order

• First, the user is required to download the CSV template file. The CSV template file is available for download from within the application itself, so the user does not need to look for it elsewhere. The reason this step is mentioned and, in fact, highly recommended is that users can compare their own customer or supplier opening balances file to the template customer or supplier opening balances file and check if the column headings and the formatting match or not. 
• If there is any formatting issue, then it can be avoided by comparison.
• Then they need to move on to preparing their customer or supplier opening balances file. The column headers and formatting of the file that the user has must match the column headers and the formatting of the template file.
• If the user does not have a customer or supplier opening balances file, then the user can simply enter their data into the template file that they downloaded.
• Once the user has successfully prepared their customer opening balances file, the user can proceed to begin the import process of their file.

Following are the steps for how users can import their customer or supplier opening balances file

• First, the user needs to go to the ‘Settings menu.
• Select the option titled ‘Business Settings.
• After selecting either ‘Customers’ or ‘Suppliers’ based on whose opening balances they wish to import. This choice will be asked of the user in the ’Opening Balances’ section.
• Then the user needs to then select ‘New Opening Balance’, and after that, the user needs to select ‘Import Opening Balance’.
• Now, the user needs to press the button with the title ‘Choose File’. Clicking on this button will open the file explorer on the user’s workstation, and the user must navigate to the location where their customer or supplier opening balances file is located.
• Select that file to upload it. The user will need to click ‘Upload’.
• Now, the user will be prompted when the import process has been completed successfully. Upon receiving the prompt from Sage, the user can press ‘OK’ and the file will have been imported successfully.

After the completion of the importing of the customer opening balances file, the user can proceed to enter the customer balances by following the steps mentioned below.

Enter the customer balances

• In the first step go to the ‘Settings menu select ‘Business Settings and then select the ‘Customer’ option.
• The user will need to make sure that the account start date that is in front of them is correct. If it is not correct, then the user will be required to change it. After changing the date, the user can press ‘Save’, and the update will have been made successfully.
• The user will now need to click the ‘New Opening Balance’ option the user will be asked to enter the following information:
  • Type: To record an invoice, the user must choose ‘Inv’. Alternatively, to record a credit note, the user needs to choose ‘Crn’.
  • Date: The user needs to provide the date of the invoice or credit note. This date that the user provides has to be before the Accounts Start Date entered by the user earlier.
  • Customer: The user is required to choose the relevant customer.
  • Reference: The user needs to provide a relevant reference for the opening balance. For example, the invoice or credit note number will work if the user decides to provide this information.
  • Details: Here, the user can provide any additional information, for example, what the invoice or credit note was for.
  • Net: The user will only see this option if the user uses the VAT Cash Accounting Scheme. Here, the user is required to provide the net value of the transaction that was made.
  • VAT Rate: The user will only see this option if the user uses the VAT Cash Accounting Scheme. Here, the user needs to choose the appropriate VAT Rate.
  • Total: If the user uses the Standard or Flat Rate VAT Scheme, then they are also required to provide the gross value of the invoice or credit note.

If the user uses the VAT Cash Accounting scheme, this value is automatically calculated from the net amount and VAT rate.

• If the user also makes transactions in multiple currencies and if the customer is located overseas, then they are also required to provide the following information:
  • Total: The user needs to enter the amount in the base currency of the customer instead of their currency. 
  • Exchange rate: If the user is making transactions according to the live exchange rates, then they need to provide this as well. Users are allowed to change this to the rate that was agreed upon during the transaction.
• The user can finally press ‘Save’, and this process needs to be repeated till the user has entered all outstanding invoices and credit notes for all their customers.

Guide to Enter Opening Balances for Suppliers in Sage 50

After the completion of the importing of the supplier opening balances file, the user can proceed to enter the supplier balances by following the steps mentioned below.

• The first step go to the ‘Settings’ menu >> ‘Business Settings >> ‘Supplier’ option.
• The user will need to make sure that the account start date that is in front of them is correct. If it is not correct, then the user will be required to change it. After changing the date, the user can press ‘Save’, and the update will have been made successfully. 
• The user will now need to click the ‘New Opening Balance’ option, the user will be asked to enter the following information.
  • Type: To record an invoice, the user must choose ‘Inv’. Alternatively, to record a credit note, the user needs to choose ‘Crn’.
  • Date: The user needs to provide the date of the invoice or credit note. This date that the user provides has to be before the Accounts Start Date entered by the user earlier.
  • Supplier: The user is required to choose the relevant supplier.
  • Reference: The user needs to provide a relevant reference for the opening balance. For example, the invoice or credit note number will work if the user decides to provide this information.
  • Details: Here, the user can provide any additional information, for example, what the invoice or credit note was for.
  • Net: The user will only see this option if the user uses the Cash Basis VAT Scheme. Here, the user is required to provide the net value of the transaction that was made.
  • VAT Rate: The user will only see this option if the user uses the Cash Basis VAT Scheme. Here, the user needs to choose the appropriate VAT Rate.
  • Total: If the user uses the Invoice Basis VAT Scheme, then they are also required to provide the gross value of the invoice or credit note. If the user uses the Cash Basis VAT Scheme, this value is automatically calculated from the net amount and VAT rate.

If the user also makes transactions in multiple currencies and if the supplier is located overseas, then they are also required to provide the following information.

• Total: The user needs to enter the amount in the base currency of the supplier instead of their currency.
• Exchange rate: If the user is making transactions according to the live exchange rates, then they need to provide this as well. Users are allowed to change this to the rate that was agreed upon during the transaction.

The user can finally press ‘Save’, and this process needs to be repeated till the user has entered all outstanding invoices and credit notes for all their customers.

Guide to Enter Opening Balances for a Bank Account in Sage 50

This is for users who are trying to enter the opening balance for a bank account in Sage 50. It could be for the existing balance of their bank or credit card when they first start using Accounting, or it could be for the balance of a new account that the user wants to add to Accounting and if they have been using it for a while.

Before the user can enter their opening balance for a bank account, the user needs to do a few things. The user needs to check and make sure that their VAT scheme and account start date information is correct. Furthermore, the user also needs to ensure that they create their bank accounts, including any loan and credit card amounts. Lastly, the user also needs to compile a list of any unrepresented bank items, and they need to gather their bank statements.

Following are the steps the user needs to complete to be able to enter the opening balance for a bank account.

• The first step that the user needs to do is go to the ‘Settings’ menu.
• Now, select ‘Business Settings.
• After making it to the ‘Business Settings’ section, the user then needs to select the ‘Bank’ option, which can be found in the ‘Opening Balances’ section.
• The user will need to make sure that the account start date that is in front of them is correct. If it is not correct, then the user will be required to change it. 
• After changing the date, the user can press ‘Save’, and the update will have been made successfully.
• The user will be asked to enter the following information regarding the opening balance:
  • Date: This date that the user provides has to be before the Accounts Start Date entered by the user earlier.
  • Type: This needs to be entered after the user has decided whether the balance is a ‘Receipt (debit)’ or a ‘Payment (Credit)’ type.
  • Opening Balance: The user needs to enter the balance in the account on the account’s Start Date.

• Finally, the user can press ‘Save’. After saving this information, the user will see the updated balance of the bank account, including the opening balance. The user will also be able to see an opening balance transaction.

Tips to Enter Opening Balances for Ledger Accounts in Sage 50

This is for the users who are moving from another accounting system to Sage Accounting.  Before the user can begin, the user needs to check and make sure that their VAT scheme and account start date information is correct. Furthermore, the user must ensure that they have a copy of their trial balance from their accountant. Also, the user needs to understand the fact that they cannot enter the opening balance for bank accounts or the trade debtors and trade creditors accounts here.

Now, the user can move on to follow the steps mentioned below to enter the ledger account opening balance.

• The first step go to the ‘Settings’ menu then ‘Business Settings.
• Then need to select the ‘Nominal Ledger’ option, which can be found in the ‘Opening Balances’ section.
• After that, the user needs to enter the date for their opening balance. The date that the user enters must be before or on the date they have provided as the start date of their accounts.
• The user must also provide the reference which helps the user track the transactions that are opening balances on their reports.
• Now the user will be able to see their bank accounts, Trade Debtors, and Trade Creditors at the top.
• The user must begin from the first row where no ledger account has been entered. The user is required to pick a ledger account from the drop-down menu. The user can also provide any additional details here.
• The user must now enter a Debit or Credit value from their trial balance.
• After all the aforementioned steps have been completed, the user must repeat them for all their remaining ledger accounts. 
• Thereafter, Once done, the user can simply press ‘Save’.

Tips to Record a Payment or Receipt Against an Opening Balance in Sage 50

This is for users who are trying to record a payment or receipt against an opening balance. No steps have to be completed beforehand, and the user can just move on to complete the following steps to complete the process.

• The first thing go to the ‘Banking’ tab and then click the required bank account.
• After that, the user needs to choose ‘New Entry’, and then they need to either select Sales/Receipt or Purchase/Payment.
• After making the appropriate selection, the user then needs to select the relevant customer or supplier from the drop-down menu and fill in the information that is asked.
• Now, the user must look for the opening balance that needs to be paid.
• The user needs to select the checkbox that is next to the opening balance.
• Finally, the user can press ‘Save’.

Tips to Fix the Error Sage 50 Opening Balances

When adding uncleared transactions for your bank accounts in the Opening Balances process, the software may hang for a while before displaying the following message…

SBDDesktop.exe is no longer working.
The program stopped functioning properly due to a problem caused.
If a fix is available, Windows will end the program and let you know.

Steps to resolve the Sage 50 error opening balances

You can get around this by adding uncleared transactions like bank payments or receipts to the suspense nominal code, after which you can use a journal to reverse the balance.

Step I- Enter any uncleared receipts

• You have to click Bank accounts and then you have to click the relevant bank account on the navigation bar.
• Then you have to click the Receipts drop-down and then you have to click Bank receipt.
• After that, for your first receipt, you have to enter the transaction details including the following:
  • Date– Opening balance date
  • N/C– 9998 – Suspense Account
  • Net– Total receipt amount
  • T/C– T9

• Click Save, to save the receipt.
• For each receipt that you want to post you have to repeat the upper steps then you have to click Close.

Step II- Enter any uncleared payments

• Click Bank Accounts in the navigation bar before selecting the appropriate bank account.
• Then you have to click Bank payment from the Payments drop-down menu.
• Enter the transaction information, including the following, for your first payment.
  • Date– Opening balance date
  • N/C– 9998 – Suspense Account
  • Net– Total receipt amount
  • T/C– T9
• Then, to save the payment you have to click Save.
• After that, you have to repeat steps 3 and 4 for each payment that you want to post and then click Close.

Step III- Reverse the suspense balance

You must match up the two journal entries when you do your next bank reconciliation to make sure your reconciled balance is correct.

• Click Journal entry after selecting Nominal Codes from the navigation bar.
• Enter OB Reverse in Reference, and then your opening balance date in Posting Date.
• Enter the following in the journal…

N/C	Details	T/C Debit	Credit
Choose your bank nominal code	Reverse OB	T9	Total uncleared receipts
9998 – Suspense Account	Reverse OB	T9 Total uncleared receipts	_
Choose your bank nominal code	Reverse OB	T9 Total uncleared receipts	_
9998 – Suspense Account	Reverse OB	T9	Total uncleared receipts

• Lastly, you have to click Save to save the journal and then click Close.