Overview
Once you've completed the Operating Accounting onboarding to PantherAccounting Plus you'll be able view and utilize accounts throughout PracticePanther.
Chart of Accounts and Hard Cost Expenses
When creating a reimbursable expense for a matter you will assign the expense payment to the relevant expense account. This ensures the payment is properly categorized and will be offset against the corresponding income once the expense is invoiced and paid by the client.
The chart of account defaults to the Client Cost Advance account which is a system generated account. You may use this default or select a different account, if needed, to match your firm's accounting practices. See below for updating chart of accounts on categories.
Note: This field is only visible for firms with PantherAccounting Plus. Click here for more information on creating hard cost expenses.
Chart of Accounts and Firm Payments
Firm payments are used to record and track operating expenses which are day to day costs you incur to run your law firm's business. These are not related to specific contacts or matters - they are general expenses needed to keep the firm open and functioning.
When creating a firm payment, whether a deposit or a withdrawal, you will assign it to a chart of accounts to categorize the transaction correctly.
For example:
A withdrawal to pay your office lease can be categorized under the Rent Expense account.
A payment for your monthly mobile phone bill can be assigned to the Telephone and Internet account.
Click here for more information on creating firm payments.
Chart of Accounts and Items and Categories
After onboarding to PantherAccounting Plus all items and categories will be automatically assigned a chart of account for the purposes of recording income when invoice line items using these items and categories are invoiced and paid by the client.
Items are associated to time entries and flat fee line items in PracticePanther. By default, all items are assigned the Fee Income chart of account. You may continue to use this default for all items or select a different account, if needed, to match your firm's accounting practices.
To view or edit the chart of accounts for your Items follow the steps below:
Navigate to Billing > Items & Categories.
View the Chart of Account listed for each item.
Hover over an Item name to use the Edit quick action to open an item and edit the chart of account.
Edit the Chart of Account, as needed using the dropdown list of available accounts.
Click Save.
What Happens Next?
This chart of account will now be associated with time entries and flat fees assigned to this item when invoiced and paid by the client. Click here for more information on journal entries created for payment applications.
Categories are associated to expenses in PracticePanther. By default, categories are assigned to the Miscellaneous Income chart of account. You may continue to use this default for all items or select a different account, if needed, to match your firm's accounting practices.
To view or edit the chart of accounts for your Categories follow the steps below:
Navigate to Billing > Items & Categories.
Click on Manage Categories.
View the Chart of Accounts for each Category.
Edit the Chart of Account, as needed by clicking in the field and using the dropdown list of available accounts.
Click Save.
What Happens Next?
This chart of account will now be associated with expenses assigned to this category when invoiced and paid by the client. Click here for more information on journal entries created for payment applications.