The Back Office - Accounting & Insurance tab contains activities associated with Accounting and Insurance control which are normally conducted by the back office administrative staff.
Filopto uses the real-time accounting methodology. This means that no batch processing is required. Everything you enter is accounted for immediately. Filopto requires a bare minimum of accounting knowledge. You need to understand a chart of accounts and the different types of accounts on it.
In the world of bookkeeping. keeping the books involves a method called double-entry bookkeeping, you have to make a least two entries ” a debit and a credit ” into your bookkeeping system for every transaction. Whether that debit or credit adds or subtracts from an account depends solely upon the type of account. Although Filopto does not require you to identify an entry as a Debit or Cred, a basic understanding of your Chart of account will help you understand the requirements for the proper recording of a transaction when doing common task such as making a refund or adjustment to an invoice.
For example, when doing an adjustment the user must understand if they are trying to reduce or increase the amount of an invoice or a payment. A basic understanding of the Chart of Accounts can be beneficial in understanding the effect of making such adjustments.
