FAQs about Brightpearl accounting

Invoices and payments

Do I use a vendor invoice or a bank payment?

Bank payments should be used for payments that are not on credit (those that are paid for at the time of purchase) such as stamps, stationery and smaller items, wage payments, bank interest, VAT payments etc.

Vendor invoices should be used for inventory purchases, purchases where the vendor has given you credit, or for payments where you would like to keep a close track of transactions relating to that particular vendor. Examples of this would be telecoms bills, rent payments and so on.

Entering vendor invoices will require the balance to be settled with a second entry (allocating the payment to the invoice).

I'm getting an error saying I can't post an invoice because my financial year has ended. 

Go to Accounting > Accounting periods and set up a new accounting period.

When I go into a PP, SR, BP or BR type journal, I can't edit the bank account line or cancel the journal.

Check the journal for the bank account nominal code to see if it's grayed out.

If it is, it means the journal has either been saved against a bank reconciliation or been bank matched and can no longer be edited. If you need to make an amendment, you'll need to undo the bank reconciliation or unmatch the transaction.

You can tell whether it's been reconciled or matched as follows:

  • Reconciled: Beneath the row, you'll see some text saying "Reconciled on [Statement Name]"
  • Matched: Beneath the row, you'll see some text saying "Matched to an imported bank transaction".

Alternatively, go to Accounting > Activity report > Select the bank account and check the "Reconciled" and "Matched" columns.

Note that a transaction can be both reconciled and matched. If that's the case, it will need to be both unreconciled and unmatched to be edited.

Learn more about undoing bank reconciliations and bank matching at the above links.

Tax and VAT

How do I change my tax scheme?

Your Brightpearl account's tax scheme is either Sales Tax (USA) or VAT (UK, Ireland etc).

Your tax scheme is set at Settings > Tax > Tax settings. Once you have started using Brightpearl and accounting entries exist, you cannot change the tax scheme.

If you do need to switch schemes you will have to reset all your accounting data at Settings > Data/import > System reset. This will remove all accounting entries and enable you to select a different tax scheme.

The ability to reset your data is locked after a certain number of accounting entries have been made to avoid accidental data loss, so you will need to contact Support to do it for you.

If you want to change your VAT method between Standard or Cash you can simply change the setting within your Brightpearl account at Settings > Tax > Tax settings > VAT method. Be aware that our tax methods are not simply a reporting layer and that your accounting entries can be significantly different. Existing accounting will not be updated to suit your new scheme.

You should speak with your accountant about making the switch and deciding on an appropriate time, e.g. at the end of a tax period when you are able to complete a VAT return and then make the switch.

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