Some jurisdictions allow you to accept and retain client funds in your firm’s operating account. You can track these funds using the Operating Retainer feature. Add an Operating Retainer Navigation There are a few areas in which you can add an operating retainer deposit: From the main matters page – Click on the three dots at the end …
The account register allows you to view, add, and edit individual transactions associated with some GL accounts that display on the Accounting > Chart of Accounts (COA) screen. Caution: Because the account register affects your General Ledger balance we recommend that you consult with your Accountant or a Certified CosmoLex Consultant before adding, deleting, or editing any …
You can record, track, and mark firm bills paid through accounts payable. Note: Your firm is recording your AP billing activity rather than paying the bill through the application. Add a New Bill When you add a new bill, you have options such as: Holding bill payment Posting it as a matter expense Posting it to …
Sometimes you may need to make a journal entry that affects specific general ledger accounts. The journal entry feature allows you to create journal entries when needed.
Caution: The system will not permit you to use the journal entry function
Though the application provides a complete Chart of Accounts (COA) for your firm, you may need to add your own accounts, change account types, or create sub-accounts. Before customizing your COA, we recommend you consult with your accountant.
If you frequently or regularly submit payments to vendors or payees, you can set up a default chart of account for them. This will save you time and ensure reporting accuracy.
Sometimes firms need to track business and hard cost expenses charged to an attorney’s or staff member’s personal credit card. If you want to track all business and personal credit card transactions, consult with your accountant to determine whether it is appropriate, and if so, how you can properly record the transactions applicable to personal charges.
Under certain circumstances, you may move client funds from your operating account to your trust account. To track this transfer for accounting purposes, you must record it in CosmoLex. Step 1. Create Credit Memo for Operating Funds Transfer
Easily record external income arising from activities such as mediation and speaking events. Please be aware that these instructions specifically address income associated with your legal firm and do not cover income from business entities other than your legal firm.
The void function can be utilized to record: NSF (bounced) checks (from clients or vendors) Firm checks voided due to errors
You can edit an operating bank transaction even if it includes posted or reconciled items. To edit a transaction that includes a posted or reconciled item, you must first either
With our matter-to-matter internal transfer tool, you can transfer funds between: Trust accounts for the same matter and client Operating accounts for the same matter and client
You can document internal fund transfers between operating accounts or between credit and operating accounts. There are two options:
You can add an operating bank transaction within your application. To add an operating bank transaction: From the left navigation panel, click Banking.
You can use our Excel template to e-file your 1099-MISC Form. Important: This service is independent from your CosmoLex account. New users must create an account to use the site.
You can flag payees that qualify as 1099-eligible and produce reports to monitor your firm’s payments to those payees.
