The steps below can be followed when you need to transfer money between matters (either from the Matter Billing Activity or Matter Trust Activity), but the general ledger account (i.e. the bank account) that the money is associated with remains the same.
- Transferring Trust Money from One Matter to Another
- Transferring Billing Charges or Credits from One Matter to Another
Transferring Trust Money from One Matter to Another
- Verify that the money you are withdrawing from the matter is available on the date that you are withdrawing it by checking the trust balance in Matter Trust Activity (Trust > Matter Trust Activity).
- Navigate to G/L > Post Journal Entries. Click Add.
- Although this is being entered via Post Journal Entries, because we are entering a trust adjustment, it will NOT affect your general ledger at all. See this article for more information on how trust adjustments work.
- Select Trust Adjustment as the Type of Entry.
- Enter the Amount that you are withdrawing from the first matter. Also enter the Date, and Description.
- Click on the Trust Adj. Information tab.
- Set the Matter Number to the matter that you are withdrawing the funds from.
- Set the Debit/Credit Indicator to Credit (this will withdraw money).
- Set the Trust Checking Account Number to the G/L account that the funds are associated with. Although the trust adjustment will NOT affect your general ledger, this will determine what account the transaction is listed under in your Matter Trust Activity.
- Check Create Another, then click Done.
- Follow the same steps as above for the second trust adjustment, except enter the Matter Number that you would like to deposit the money into, and set the Debit/Credit Indicator to Debit (this will deposit money). Ensure that the Amount matches the amount that you are withdrawing from the first matter.
- Uncheck Create Another, then click Done.
- Highlight both trust adjustments on the Post General Ledger Journal Entries screen, and click Post.
Transferring Billing Charges or Credits from One Matter to Another
- Navigate to Billing > Costs & Adjustments. Click Add.
- Set the Date, and set the Matter Number to the matter that you are charging (or removing credit from).
- Set the Client Exp. Code. You may want to create a new Client Expense Code to describe the purpose of your transfer by clicking Add from the Client Expense Codes Browse, and entering your expense code as desired. Ensure that the Type of Code matches the type of charge (or credit) that you are transferring (e.g. if you are transferring a fee credit, such as from an operating retainer, ensure the Type of Code is set to Fee).
- Set the Amount and Description. Leave Debit/Credit at Debit (this will charge the matter).
- Set Bill Type to Billed, if you would like the transfer to not appear on the next bill on this matter (in this case, it will be factored into the Prior Balance total). If it is Unbilled, it will appear under the Cost Detail section of the bill.
- Check Create Another, then click Save.
- Follow the same steps as above for the second cost & adjustment, except enter the Matter Number that you would like to credit (or reduce the charges on), and change Debit/Credit to Credit. Ensure that the Amount matches the amount that you are charging the first matter.
- Uncheck Create Another, then click Save.
- On the Costs & Adjustments screen, highlight both entries that you just entered, then click Post.
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