Correcting Out of Balance Situation

David Hughes
David Hughes
Sixth Anniversary Name Dropper Participant Facilitator 1
in Blackbaud Financial Edge NXT® General Discussions

I inadvertently posted a Do Not Post transaction in one of our accounts. The result is I can either have my Statement to Register out of balance OR my Cash Account out of balance. Does anyone know how to resolve this?

Comments

  • Nikki Baldwin
    Nikki Baldwin Blackbaud Employee
    Tenth Anniversary Kudos 4 Name Dropper Participant

    @David Hughes, we should definitely be able to resolve this – can you tell me a little more about the transaction that is set to 'Do not post'? Was it a bank adjustment created directly in the bank register? Has it been reconciled with that status?

  • David Hughes
    David Hughes
    Sixth Anniversary Name Dropper Participant Facilitator 1

    @Nikki Baldwin
    Thanks for your reply Nikki! Here is the whole story. In May 2024 TD Ameritrade merged with Charles Schwab resulting in the need to create a new account and transfer the TDA balance to Schwab. This resulted in a DNP transaction that worked and the new Schwab account balanced. In September, I changed the DNP status to Post and created my problem. I have found the Knowledge Base articles on what to do in a normal out of balance circumstance but thus far they have not brought me a solution. I am sure it is me, but at this point I am at wits end, so any help you can provide is appreciated.

  • Nikki Baldwin
    Nikki Baldwin Blackbaud Employee
    Tenth Anniversary Kudos 4 Name Dropper Participant

    @David Hughes thank you for the additional context here. There are some considerations to make around the posting dates to ensure they're all in the same period, but if you already posted the adjustment that was intended to be a DNP adjustment, the resolution would be to create the reversal of the bank adjustment in a manual journal entry and have it not create another bank adjustment.

    There should be a box in the middle at the top of the Journal Entry that would need to be unmarked in order to accomplish this ('Create Bank Adjustments'). If that box is grayed out to not let you uncheck it (for good reason), you'll just need to make a quick change to the business rule to allow you to create and post and then you can edit the business rule back to prevent any further issues.

    In Financial Edge NXT webview, you'd find this in General Ledger > Settings > Business Rules > Journal Entry. Mark the box to ‘Allow journal entries to cash accounts without adjusting the bank register’

  • David Hughes
    David Hughes
    Sixth Anniversary Name Dropper Participant Facilitator 1

    @Nikki Baldwin
    Thx Nikki! I have been out, so want to simplify this for me. If my Reg to Stmt is out by $1000 and the system is calling for a payment adjustment of $1000, the debit is to Schwab for the $1000 and the credit is to TD Ameritrade for $1000. If I follow your instruction I should come out in balance. Am I right?

  • Nikki Baldwin
    Nikki Baldwin Blackbaud Employee
    Tenth Anniversary Kudos 4 Name Dropper Participant

    @David Hughes, apologies, but I don't feel I can confirm the specific accounts for this transaction, having not seen it. However, I can advise that you'd want to create a reversal of the bank adjustment's distribution – if your Ameritrade account was the Dr account on the posted bank adjustment, it will become the Cr account on the reversing JE you need to create (and the same for the original Cr account becoming the Dr account). The main thing would be ensuring that the JE you create does NOT create a bank adjustment or you'd be duplicating that entry in the register and you'd still be out of balance. So make sure to follow those steps to edit that business rule and then I'd recommend locking that rule back down to prevent further issues.

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