How to set up credit cards in Microsoft Dynamics NAV

Our customers often ask what is the best way to effectively set up credit cards, including Master cards, in Microsoft Dynamics NAV, so that they are easy to manage and reconcile periodically against the statements.

In this blog I will take you through the steps to set up credit cards in Microsoft Dynamics NAV. This can be done by following the below steps:

Setup
1. Create G/L Account for each Credit Card. Ensure that Direct Posting field is equal to ‘False’.

2. Create the Bank Account Posting Group that maps to each Credit/Master card – G/L Account.

3. Create the Bank Account card for each Credit/Master card and ensure Bank Account Posting Group field is mapped correctly.

4. Create the Vendor Posting Group that maps to each Credit/Master card – G/L Account.

5. Create Vendor Card for each Credit/Master card and ensure Vendor Posting Group field is mapped correctly.

Transaction Entry process
1. Record payment for the total Credit Card expenses using the Payment journal.

Enter it against the Credit/Master card Vendor (DR) and main Bank Account (CR) and then Post and Export the aba file.

Setting up credit cards in Microsoft Dynamics NAV im9.jpg

2. Record the individual expenses for the Credit/Master card using a General Journal. Enter it against expense G/L Account (DR) and Credit/Master card Bank Account (CR) and then post the journal.

Setting up credit cards in Microsoft Dynamics NAV im10

3. Do the Bank Account reconciliation for the each Credit/Master card Bank Account.

The clearing journal needs to be entered against the Credit/Master card Vendor (CR) and Credit/Master card Bank Account (DR).

This is required to clear the Credit/Master card Vendor to zero and update Credit/Master card Bank Account for reconciliation against the statement.

That’s it!  I hope the steps above will help you to easily set up credit cards in Microsoft Dynamics NAV.

This post was written by Elvin Narain, Microsoft Dynamics NAV Developer/Consultant at EBS.

If you have outdated business software that’s limited in its reporting and analytical capabilities – then you should to talk to EBS about a powerful business management software solution – Microsoft Dynamics NAV. To find out more about Microsoft Dynamics NAV or other Microsoft business management software solutions, please call Paul Woods at EBS for an obligation free discussion on 1300 303 973, email info@ebsys.com.au or visit ebsys.com.au

Microsoft Dynamics NAV is global enterprise resource planning (ERP) software that helps more than 100,000 companies worldwide manage their accounting and finances, supply chain, and operations. Start with what you need now, and easily adapt as your business needs change. In the Microsoft cloud or on your servers—the choice is yours.

Evolution Business Systems (EBS) is a business management software specialist that equips its clients with software designed to achieve their business goals.

Melbourne based EBS is a Microsoft Gold ERP Partner specialising in Microsoft Dynamics NAV and other Enterprise Resource Planning solutions that can be tailored to the needs of small to medium sized businesses. We can automate your core business processes and integrate your specialist applications with the right financial management solution. Our suite of Microsoft Cloud products suit businesses who have outgrown their accounting system giving them a full featured ERP system: Microsoft Dynamics NAV, Microsoft Office 365 and Microsoft Azure packaged at an affordable monthly subscription price. We work alongside our clients to understand their business and vision, and offer solutions to support these both now and into the future.

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