Interoffice cost sharing

Allocate costs across offices and departments

Overview 

The Interoffice Loan Account in Accountability is a system control account that ensures interoffice (aka "intercompany") transactions are captured for the offices involved.  There are 2 common scenarios: 

1. Non-billable costs is shared with multiple offices
2. Billable job has a different office than the supplier invoice office 

Non-billable costs is shared across offices

In this scenario, a supplier invoice is payable by a specific office (e.g. MAIN) but half of the total costs are shared with two other offices Accountability offices (e.g. 2ND, 3RD)

Steps:

1. Create a supplier invoice for office MAIN. 
2. To allocate an invoice line to a specific office, click the Dissect icon for that line. 
3. On the next page, specify the office responsible for that cost. 
4. Repeat steps 1 and 2 for the remainder of invoice line items that need to be allocated to a different office. 
5. Approve the supplier invoice as usual.  In this scenario, we have a total of USD 20,000 raised by the MAIN office allocated as follows:
   1. $10,000 to MAIN office
   2. $5,000  to 2ND office
   3. $5,000  to 3RD office
      
      

Postings: 

This non-billable supplier invoice transaction will create interoffice postings as follows:

Billable costs are shared across offices

In this scenario, the supplier invoice is assigned to Office A, but invoice line items are assigned to a job under Office B. 

The steps for creating the supplier invoice are the same as above.  For supplier invoices that originate from an expense claim, the dissection is automatically applied. 

Postings: 

This transaction will create an intercompany posting because Office A has incurred a cost on behalf of Office B.  The cost posted to the billable job is debited to the WIP account instead of a GL account.