Tabs3 Billing and GL payment integration is very sophisticated and flexible. It allows you to configure the integration according to how a payment is allocated to due amounts by specifying a payment posting method in the GLS Integration Setup window. Once a payment posting method is specified, GL accounts and journals can be mapped in an integration table. Tabs3 Billing can be configured to create journal entries for payments based on one of the following posting methods:

• Single Debit/Credit
• Working Timekeeper (for fees) / Cost Type (for costs)
• Client Category
• Client Location
• Payment Tcode
• Primary Timekeeper
• Secondary Timekeeper
• Originating Timekeeper

Or, Tabs3 Billing can be configured to create journal entries based on a combination of any two of the above methods. The following are just a few examples of combinations of posting methods:

• Client Location & Client Category
• "Working Timekeeper / Cost Type" & Client Location
• Client Category & "Working Timekeeper / Cost Type"
• Client Location & Payment Tcode
• and more!

Once the integration is configured, journal entries for payments are posted to GL when the following occurs:

• Payment Entry - A payment transaction is added, changed or deleted in Tabs3 Billing.
• Update Statements - An unallocated payment is allocated to an amount due. A client funds payment to firm is updated.
• Payment Adjustment - A payment transaction is reversed or refunded.
• Undo Updated Statements - An allocated payment is unallocated from an amount due.

Unapplied Payments: Before payments can be entered, Tabs3 Billing requires that GL debit and credit accounts and a journal number be configured for unapplied payments. This allows Tabs3 Billing to post unapplied payments to a "holding" account in GL until the payment is allocated. Once the payment is allocated, Tabs3 Billing will post journal entries that transfer the allocated amount from the holding account to the account(s) designated for the final payment allocation. Journal entries are created using the payment allocation date.

Note: When an unallocated payment becomes allocated, Tabs3 Billing will post journal entries that transfer the allocated amount from the holding account that is currently defined, regardless if that is the same account that the original entries were created for. In order to maintain accurate records in GL for payments that were unallocated and later become allocated, it is not recommended that the GL holding account defined in the GLS Integration Setup for unapplied payments be changed. Changing this account may require manual adjusting journal entries to be created.

Note: Making changes to a payment for which there are associated GL journal entries may result in an Error Report being generated. This typically occurs when a change is made that affects a journal entry that is marked in GL as cleared, deposited, or reconciled.

Tabs3 Billing allows you to optionally configure client funds transactions to integrate with GL by specifying a posting method in the GLS Integration Setup window. Once a posting method is specified, GL accounts and journals can be mapped in an integration table. Tabs3 Billing can be configured to create journal entries for client funds transactions based on one of the following posting methods:

• Single Debit/Credit
• Client Category
• Client Location
• Primary Timekeeper
• Secondary Timekeeper
• Originating Timekeeper

Or, Tabs3 Billing can be configured to create journal entries based on a combination of any two of the above methods.

Once the integration is configured, journal entries for client funds are posted to GL when the following occurs:

• Deposit Entry - A Deposit or Credit Card client funds transaction is added, changed or deleted in Tabs3 Billing.
• Withdrawal Entry - A Withdrawal client funds transaction is added, changed or deleted in Tabs3 Billing.
• Update Statements - A client funds Payment to Firm is updated.
• Undo Updated Statements - A client funds Payment to Firm is unupdated.

Withdrawals: Client funds Withdrawal transactions use the same GL account mappings as Deposit transactions; however, the GL journal entries are reversed (i.e., a credit journal entry is added to the Debit Account specified, and a deposit entry is added to the Credit Account).

Payments to Firm: Client funds Payment to Firm transactions use the current Payment Allocation account mappings.

Unapplied Payments: If client funds integration is enabled, before client funds transactions can be entered, Tabs3 Billing requires that GL debit and credit accounts and a journal number be configured for unapplied payments. This allows Tabs3 Billing to post unapplied payments created by Payment to Firm client funds transactions to a "holding" account in GL until the payment is allocated. Once the payment is allocated, Tabs3 Billing will post journal entries that transfer the allocated amount from the holding account to the account(s) designated for the final payment allocation. Journal entries are created using the payment allocation date.

As an option, you can periodically post GL journal entries for various Tabs3 Billing balances, thus providing the ability to print accrual basis financial statements. A posting utility in GL lets you post journal entries for accounts receivable balances, work-in-process balances and client funds balances. These journal entries can be firm wide or by primary reporting timekeeper and are broken down by fees, expenses, advances, and finance charges. The same GL posting utility can also post journal entries for bank account balances from Tabs3 Trust Accounting (Trust).

Note: The Tabs3 Billing and GL integration is designed primarily for firms on a cash basis or modified cash basis of accounting. This Accrual Integration option simply provides the ability to post net change journal entries to accrual accounts that are not normally included on the Balance Sheet and Income Statement. This Accrual Integration option does not provide transaction-based postings for true accrual accounting.