Foreign Currency Bank/Credit Card Accounts

Overview

GoldFinch can track both GL Amount and Foreign Amount for Foreign Currency Bank/Credit Card GL Accounts. You can perform Bank Reconciliations using Foreign Amounts for these GL Accounts.

Setup

To set up Foreign Currency Bank/Credit Card Accounts, navigate to the GL Account page for your Bank/Credit Card. Enter a Foreign Currency Code.

The Foreign Currency Code must be different from the GL Account’s ISO Currency.

If you want to track multiple GL Ledgers with different Base Currency Codes, you should create separate Bank/Credit Card GL Accounts for each GL Ledger. You should not share the same Bank/Credit Card GL Accounts with multiple GL Ledgers.

You are allowed to change the Foreign Currency Code only when Amount and Foreign Amount are 0 on the Bank/Credit Card GL Account page.

If Amount and Foreign Amount are not 0, you must unpost all transactions for the Bank/Credit Card GL Account first.

Contact a GoldFinch consultant if you cannot unpost all transactions, and you want to Force Update Foreign Currency Code.

When posting Customer Receipts/Vendor Payments/General Journals, if all the following conditions are met:

• The transaction is a foreign currency transaction

• The Foreign Currency on the Bank account is not blank

Then, GoldFinch will populate the following three fields on the GL Entry:

• Foreign Currency Amount

• Foreign Currency

• Currency Factor

GoldFinch automatically calculates the total Foreign Amount on the Bank/Credit Card GL Account page.

Revalue Foreign Currency Amount

Before you close a month, you might want to revalue the Foreign Currency Amount at the Foreign Currency’s month-end exchange rate.

To post the difference:

1. Create a General Journal using the end-of-month date.

2. Enter a General Journal Line for the GL Account that tracks both GL Amount and Foreign Currency Amount.

   1. The Debit or Credit amount should be the currency revaluation difference.

   2. Enter the Foreign Currency Code.

   3. Enter 0 in the Foreign Amount field.

3. Enter another General Journal Line for the Unrealized Exchange Rate Gain/Loss GL Account.

4. Then Post.

You should Reverse Clone the General Journal and post it using the following month's first date.