NetSuite Tutorial: Amortization in NetSuite | Eide Bailly

NetSuite Tutorial: Amortization in NetSuite | Eide Bailly In this video from our NetSuite tutorial series, you'll learn everything you need to know about amortization schedules, templates and entries. FAQ about NetSuite Amortization Q: When Creating an Amortization which has a mid month end date (05/14/2020) how do I set it up so that the May allocation is not a full period amount? A: The best method to use is straight-line – prorate first and last period (period-rate). That will allow you to prorate the first and last period based on the actual start and end dates of the contract. Q: Is there a module or report that would allow me to see the total amortization expense in a selected period and the breakdown of that total amount which shows where each individual amortized amount comes from? Is it possible to use that same report (or another one) to forecast amortization expense with the amortization schedules currently entered into Netsuite? A: If you are utilizing the “Amortization Schedules” feature in NetSuite (Included in the NetSuite Financial Management Cloud Service (formerly Advanced Financials) module), you will have the ability to view both of the reports you indicated. Using an Amortization Schedules Saved Search, we can add a filter for the Posting Period to show, by transaction, how much has been recognized in a specific period including the total lifetime amount amortized and remaining deferred balance. The Amortization Forecast report will show you, by transaction, the forecasted amortization amount for each transaction. Since this report uses the standard NetSuite report writer, you have the ability to stratify this by accounting periods, viewing each period as a column to see a forecast for whatever period of time you’d like to see. Q: Is there a way to change the description on the Memo field to not show as ""Amortization Destination""? We want the memo field on the amortization journal entry to show the description of the expense. A: There is not a native way to do this in NetSuite. For clients that have had this requirement in the past, our team has created a script or workflow that will allow you to choose a field on the amortization schedule and source that into the memo field for each journal entry line, based on the associated amortization schedule. Q: What module is required in NetSuite to be able to do Amortization? Is it Advanced Expense Management? A: It is NetSuite Financials Cloud Service. Q: If you dont want to run Amortization schedule anymore, what are the options to stop it? A: To stop an in-process amortization schedule, open the amortization schedule in edit mode and select the first period in which you want to stop amortizing. Check the checkbox in the column “Is Recognized” for the period and for each of the remaining periods. This will prevent any of the remaining periods from being included when you run your amortization journal entry process. Please note that the remaining deferred balance will stay in your deferral account if you stop this process as indicated. Additionally, the setting “ALLOW USERS TO MODIFY AMORTIZATION SCHEDULE” must be checked under Company - Accounting Preferences - General - Amortization. Why choose Eide Bailly to be your NetSuite partner? • Five-time NetSuite America’s Partner of the Year | 2021, 2020, 2019, 2018, 2017 • NetSuite Worldwide Partner of the Year |2015 • Top 5 Global NetSuite Consulting Partner • 55 NetSuite Consultants with 10+ Years Average ERP Experience and 100+ NetSuite Certifications • 500+ Successful NetSuite Implementations For more information about how NetSuite can transform your organization, visit https://www.eidebailly.com/netsuite