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Unbilled Project revenue - Accrual Journal on Customer

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Posted on by Vaibhav S

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Project Managmenet, Revenue Reocongnition, Unbilled revenue, Acrrual Journal on Customer

There is a requirement to post unbilled sales/accruals (Project Management) automatically if the invoice to be recognized next month.

Currently they would like not to post Invoice proposal in case revenue need not to be recognized in current month but would like to post accrual journal on customer.

Project Management - When revienue is recognized, then need to create / post / trigger Acrrual Journal for Unbilled Revenue.

Anybody can help in this situation?

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André Arnaud de Cal... 301,035 Super User 2025 Season 2 on at

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Hi Vaibhav,

Is the unbilled revenue related to time and material or fixed price projects? What type of transactions are involved here?

If it is related to e.g. hours, it can be posted at time of timesheet posting.

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Ludwig Reinhard Microsoft Employee on at

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Hi Vaibhav S,

There is a lot of information provided and terms used in your questions.

Can you break the issue a bit down and probably provide an example of what you try to achieve?

Many thanks,

Ludwig

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Vaibhav S 240 on at

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Thanks Dr. Ludwig Reinhard

We(IT Support)/They (Accounting) use T&M Projects to bill / rebill to customer using the Fees Journal and then Project Invoices.

Projects are generally short term say 2 3 months.

Now as this month they created Fees journals for hours worked during this month. They dont want to create Project Invoices as Project invoicre will be raised once the project is finished say next month.

Now as they have booked fees journals, they wanted to recognize that much of revenue by using accrual journal on customer as unbilled revenue.

How we can achieve that?

Thanks in advance both of you...

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André Arnaud de Cal... 301,035 Super User 2025 Season 2 on at

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Hi Vaibhav,

On the project group, you can enable Accrued revenue when posting Fee journals. Then also ensure you have the ledger accounts setup for accrued revenue on the Project posting form.

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Ludwig Reinhard Microsoft Employee on at

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Hi Vaibhav S,

Turning this parameter on in your project group should create the accrual for you

Best regards,

Ludwig

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Ludwig Reinhard Microsoft Employee on at

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Good morning Vaibhav S.,

Have you been able to get this issue resolved in the meantime?

Would be great if you could let us know if you need any other help.

Best regards,

Ludwig

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