TrainingUser Guide

GL Accounts Setup

Introduction

Integrating LightSpeed with accounting software MYOB or QuickBooks first requires a once-only mapping of the GL Accounts exported from QuickBooks or MYOB and imported into LightSpeed. There are approximately 10 places where GL accounts must be mapped, outlined in a table at the bottom of this article.  Once they are mapped, LightSpeed knows to which GL accounts it should send its financial data. 

Setup

1. Import Your GL Accounts into LightSpeed and set your AR and AP accounts

First, you must export your GL accounts from MYOB or QuickBooks to a file that is saved on your desktop.

  • In MYOB, go to File > Export Data > Accounts > Account Information. Be sure that the default settings for the export are “Tab-delimited” for the file format, and “Header Record” for the first record. Click Continue. In the Export Data window that appears, click “Match All”, and then “Export”. Name and save the file.
  • In QuickBooks, go to File > Export > List to IIF File > Chart of Accounts. The settings for export are automatic.

Then, you must import this file into LightSpeed.

  • Open the GL Accounts Setup in LightSpeed in Tools > Setup and import the file you exported using the button that corresponds with the software you are using (QuickBooks or MYOB).  The account names, account numbers, and account types will be recognized automatically.  Click Save to register the account list. 
  • Select GL accounts for Accounts Receivable and Accounts Payable in the Linking section.

In QuickBooks, you have to choose between using account names or account numbers.

2. Setup Your Tax Accounts

  • Open Tools > Setup > Taxes
  • Select a Collected GL Acct and (if applicable) a Paid GL Acct for the taxes you have configured.

If your region calculates taxes with each product line item in regards to Purchases, check the checkbox marked (2) for that tax.

3. Setup your Payment Method Accounts

  • Open Tools > Setup > Payment Method 
  • Select a GL account for each Payment Method.

4. Setup your Products

  • Set the GL Accounts (Income, Inventory/Asset, Expense/COGS) for each Product in the Product card's GL tab, or by batch using Set Product Info found in the Tools menu. You can use the Defaults tab in the GL Accounts Setup window to automatically assign GL Accounts when a new Product is created.

The Asset and COGS accounts for non-inventoried Products will not be visible and cannot be assigned.

You need to set the Payable Expense Account only for those non-inventoried Products which will be applied to Supplier Invoices, such as freight/shipping.

To ensure that the GL accounts for your Products are set correctly, run the GL reports in the Troubleshooting section of the Reporting window, found in the Tools menu.

5. Setup your Locations (Multi-Store only)

  • Open each Supplier card that is created when you set up locations for Multi-Store Transfers.
  • Click the Transfers tab and select an asset/inventory GL account to account for your inventory while it’s in transit. This GL account should be the same for all locations.

MYOB File Export

GL Accounts Setup Window

Setting Product GL Accounts

Required GL Accounts

GL Account Type Location Notes
Accounts Receivable Accounts Receivable GL Account Setup Records the value of all money you are owed.
Accounts Payable Accounts Payable GL Account Setup Records the value of what you owe your Suppliers.
       
Income Income Product Card or GL Account Setup When you sell Products on Invoices, your income account is credited.
Inventory/Asset Asset " Records the value of goods that you have received, but not yet sold.
Expense/COGS Cost of Goods Sold " Records the value of goods that you have sold to Customers.
Payable Expense Expense / Payable " Required only for Services entered in Supplier Invoices, such as Shipping.
       
Each Method of Payment Bank / Holding Payment Method Setup Typically bank-type accounts that record the money taken in.
       
Each Tax Collected or Paid Liability Tax Setup Records the value of sales tax you have collected from your Customers, or paid to your Suppliers.
       
Each Location (Multi-Store) Asset Supplier Card

Records the value of inventory in “In Transit” status on Transfers Out.