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You can add Add a tab in your Profit and Loss budget workbook in which you can created for your Balance Sheet budget . If required, you can tab and automatically derive your Cash Flow budget from the Profit and Loss and Balance Sheet budgets. You can then publish those budgets as streams in the Financial Statements module.

Add a Balance Sheet tab

Click the blue plus button (blue star) next to the Main tab, enter a name for the Balance Sheet tab, select Balance Sheet, then click Add.

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for 3-statement budgeting.

  1. Create or open the financial budget workbook, then add the tab using one of these methods:

    • Click the Tab menu > Add tab > Balance Sheet.

    • Click the Add button at the bottom of the workbook and select Balance Sheet.          

  2. Set up the Balance Sheet and Cash Flow as follows:

Expand
titleConfiguration

  1. Select the Balance Sheet

template

  1. statement. 

    • This setting determines the layout of the budget.

The options available depend on the types of Balance Sheet statements

    • A default statement is selected for you but you might have others to choose from if your organization has created them in the Financial Statements module.

If your organization only uses one Balance Sheet template, it will be applied by default. [insert screenshot of the setup wizard at 2 and then numbers on each piece of the screen with a reference to what each does]

Set the Balance Sheet budget hierarchy (determines how the dimensions are grouped in your workbook):

  • Select the dimension you want to sit at the top level in your budget hierarchy.

    • Add lower levels, if required: Click the blue plus button (blue star),

    2. Set the Balance Sheet budget hierarchy levels.

      • By default, the first level is the top-level group (category) for the Balance Sheet statement, and you can't change it.

      • You can't add levels here if there are no other levels in the P&L budget setup.

      • Where levels are available, you can have fewer levels in your Balance Sheet than are in your P&L. For example, you might want to do your Balance Sheet and Cash Flow budgets at the company level but include your company and branch in your P&L.

      • To add a level, click Add level, then select the dimension you want to add at that level.

    Reorder the levels, if required:

      • The dimensions that are available in the list correspond to the levels in the P&L budget setup.

      • If you add multiple levels, you can reorder those levels to determine how the dimensions are grouped in your Balance Sheet budget. Click and hold the level's Move

    (blue star)

      • button (a blue box displays around the row), then drag the level up or down to its new position. 

    2. Select

    the Cash Flow option, if required. [insert link]

  • Select the Opening Balance stream, period end date (this date must be before your budget period start date) and measure. [should add more words around why you need to select opening balance, and also explain how there will be an opportunity to make adjustments to bridge the info to be the end-of-year balance sheet]

  • Click Create Balance Sheet.

  • Proceed to explore your new budget worksheet(s). A new tab is added to your budget workbook for the Balance Sheet budget. If you opted to add a Cash Flow budget, an additional tab is added for that budget.

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    • Explore the Balance Sheet budget

    [Need to also add a bit more detail on the ‘why’] Why do I have to put in an opening balance? Eg put in sept as opening balance then have to make adjustments to get to Dec. Because the BS is movements of the last period.

    Worth talking to Kaan about cash being the balancing figure for the balance sheet to keep it balancing- will explain tomorrow what I’m talking about here if you’re in.

    Click the Balance Sheet tab to view the budget, which has the following key elements, as identified by the numbers in the image below.

    1. Opening balance column with data brought in from the selected stream.

    2. Adjustments column where you can enter adjustments.

    3. Adjusted opening column displays the new opening balance after your adjustments are taken into account.

    4. Period columns

    The data in every column references the data in the column to its left. For example, January 2021 references the Adjusted Opening column and February 2021 references January 2021.

    If you enter a value in a cell, you will see that everything to the right of that cell will change.

    Add an adjustment line

    Gives you the ability to change the value above it

    A hidden sum row sits under the adjustment line that references the left column and as a result, the data in all the columns to the right of that column updates accordingly.

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    View Retained earnings

    The Retained Earnings (P&L Movement) value in the Balance Sheet is automatically inserted for you. This value comes from the Net Profit After Tax value in the Profit and Loss statement on the Main tab.

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    The Shareholder Equity plus the P&L Movement gives you the value for the next column.

    You can also add adjustment lines in this section of the Balance Sheet.

    Other

    You can reorder dimensions, add comparison rows.

    Publish a balance Sheet

    [info copied from elsewhere - to reword - from Dan: Publish a Balance Sheet- you refer to “I” a couple times when talking about publishing the difference but not sure it makes sense?]

    You can publish your Balance Sheet budget to a stream.

    Publishing a balance sheet is slightly different than publishing a budget. Instead of publishing the raw values which are in the cells, we have to publish the difference between where you are versus where you came from. So, for example, if I was published in the value for Feb 2021, I came from Jan 2021, and the difference here is zero. So I would publish a zero for Feb 2021.

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    On this page

    1. the opening balance stream. This is the stream from which your Balance Sheet values come. In most cases, this is the Balance Sheet stream but you might have other options to choose from.

    2. (Optional) Change the opening balance start date (previous period end date).

      • By default, this date is selected for you, as it is linked to the start date of your P&L budget setup. For example, if your budget period is April 2023 to March 2024, the Balance Sheet opening balance date is the month before that period, March 2023.

      • This date must be on or before your Balance Sheet budget period start date, as it informs the initial opening balance for your Balance Sheet budget and enables changes (movements) to be entered to create a sensible budget opening position. When the Balance Sheet budget starts in a future month, the opening balance helps you to form the bridge between the last closed period and the beginning of the budget period.

      • You can change this date in the future. For example, when you're in the budget period, you can actualize your Balance Sheet by bringing in the actual opening position for that budget period.

    3. (Optional) Change the measure. By default, the measure is selected for you, as it is linked to the stream you selected in step 5. The measure is typically the same as the measure used in the P&L budget.

    4. Set the measure format (prefix, decimal, and suffix) to determine how the measures (numerical values) display in the grid.

    5. (Optional) Select the Include tab checkbox to include a Cash Flow tab in this tab creation process, then select the Cash Flow statement and set the levels.

      • The Cash Flow budget will display on a separate tab in the workbook.

      • The values in the Cash Flow budget are automatically derived from the values in the P&L and Balance Sheet budgets. The budget hierarchy levels are inherited from the Balance Sheet budget but if available, you can add custom levels that will help you to group your Cash Flow statement.

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    6. (Optional) Select the Include mini drivers… checkbox to add drivers to the Balance Sheet. For more information about this feature, see Use mini drivers in the Balance Sheet budget.

    7. Click Next.

    Expand
    titleDrivers

    This step is applicable if you selected the Include mini drivers… checkbox in the previous step. Otherwise, you can ignore it and proceed to the Retained Earnings mapping step.

    You can add four types of drivers. This part of the setup can be complex, so see Use mini drivers in the Balance Sheet budget for detailed information.

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    After you add the drivers, click Next.    

    Expand
    titleRetained Earnings mapping

    1. Map the entities in the selected dimension to the Retained Earnings account(s).

      • This setting determines the General Ledger Retained Earnings account code(s) in the Balance Sheet budget to which the profit from the P&L budget is allocated. Retained Earnings represent the equity of the business (what the business is worth).

      • If you have no levels in the budget, such as in the case of a consolidated Balance Sheet budget, you will only have one Retained Earnings account to map. Otherwise, you might have multiple accounts to map. Depending on your account structure, you can use the same Retained Earnings account for several entities or use different accounts as required.

      • If you have a lot of entities, you can filter the list of entities and/or select the Not mapped option from the All dropdown list on the top right to help you complete the mapping.

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      • To map one entity, click the yellow box on the right and select the account from the list that displays.

      • To map multiple entities to one account, select the checkboxes of those entities or click the Select all button in the top left corner of the grid, then select the account from the list that displays.

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    2. Click Next.                     

    Expand
    titleCash account mapping

    1. Map the entities in the selected dimension to the Cash account(s).

      • This setting determines the General Ledger account code(s) in the Balance Sheet budget that captures all the changes to cash.

      • Depending on your account structure, you can use the same General Ledger Bank account code for several entities or use different accounts as required. Typically, you use a separate bank account for each entity. If you have no levels, such as in the case of a consolidated Balance Sheet budget, you will only have one bank account to map.

      • Map entities on the left to the Cash account code on the right as you mapped to the Retained Earnings accounts. The bank and/or cash accounts display at the top of the list (marked with a bank icon).

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    2. Click Save and finish. 

    1. Proceed to explore your new Balance Sheet and Cash Flow budgets, which are displayed in separate worksheet tabs.

    Expand
    titleWatch video

    Please note that some elements in the video look different from how they currently look, due to design changes. However, the process is the same.

    Create a Balance Sheet budget.mp4

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