Zero Balance Bank Accounts or Sweep (bank) Accounts

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Posted on by 72camaross

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Hey,

I'm working with a client that uses a lot of ZBA (Zero Balance Accounts) bank accounts meaning they get swept every night into 1 single bank account.

They do not have a 1-to-1 relationship with their bank accounts and their Main Accounts in their CoA. Basically, each business unit has 1 Main Account in the CoA and they use dimensions to track. I suggested we give each physical bank account a Main Account number and then we can record the sweeps each day in a journal. This would allow us to track cash better but they did not like that.

Curious if anyone has run into this before and how you handle bank accounts like that. Thanks!

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BillurSamdancioglu 20,825 Most Valuable Professional on at

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Hi,

What about to use bridging accounts functionality?

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Ramit Paul 22,805 Most Valuable Professional on at

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In your scenario the best possible solution is to have one main account for all bank accounts per BU, and per bank account= one financial dimension.

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72camaross 324 on at

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The cleanest way:

- 1 main account for each Bank Account.

- Record the sweeps in a journal entry at the end of the month.

They ended up doing something similar to this.

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