Set Default Accounts for Client Matter Costs

There are several default client cost accounts in your Chart of Accounts. When you set up your accounting, you will want to designate those accounts to which you will allocate your expenses for tax purposes.

Important: We recommend you consult with your accountant, bookkeeper, or a Certified Consultant when you set your accounting defaults.

Designate a Default Account for Expenses

To designate a default account for expense allocation:

1. From the left navigation panel, click Setup.
2. Atop the Setup left navigation, click Firm Settings.
3. From the tabs atop the Firm Settings screen, click Accounting.
4. Atop the Accounting screen from the Default Accounts for Client Costs Posted to Matters section drop-down, click the Hourly Matters field.
5. From the drop-down, click your desired default account.
6. To the far right of the field, click the check mark to confirm your selection.
7. Follow steps 5 – 6 for the remaining fields.

Change the Default Account for Client Costs

You may want to change your default account for client costs. For example, you may be using Advanced Client Costs (Asset Account) and now want to use Reimbursable Client Costs (Expense Account).

To change the default account:

1. Change the default account at the firm level as documented above.
2. Edit previously recorded costs
   • Edit unbilled expense cards and select the new account.
   • Edit unpaid invoices and select the new account.
   • Edit paid invoices
     1. Delete the payment recorded for the invoice.
     2. Edit the invoice, and then edit its affected expenses.
     3. Generate a new invoice.
     4. Re-apply payment to the invoice, whether via check, cash, electronic payment, or credit card.