Accounting for advanced dependent group

What is an advanced dependent group?

If you are wondering which Advanced group to choose - advanced or dependent - here is a list of checkpoints to ensure you are making the right decision. Checking just one box is enough to be sure that you are a dependent group:

• If on your platform, you navigate to the Accounting menu and you don't see - at the very bottom - the "Settings" option
• If on the main menu, you click on Settings > Accounting and you land on a page indicating that the organization is not a legally distinct entity 
• If in Accounting > Documents, you do not have a Statement of Financial Position tab.

In “real life”, a dependent advanced group refers to a section that is legally dependent on another nonprofit organization. One of the consequences of this dependence is in accounting where all the accounting is consolidated at the level of the nonprofit that has the legal existence.

Settings

As your group is legally linked to the main platform, your accounting settings are limited.

Accounting level

Springly allows you to choose your appropriate level in the Accounting feature. The level allows you to adapt the software (documents, features, etc.) to your needs and to your level of expertise.

There are 2 levels available 

When you are a dependent group, your level depends in part on the level chosen by the higher platform.

The parent platform has chosen:

• Cash Accounting 
• Accrual Accounting

For more details on what each level means, read the article Choosing the Accounting Level.

Bank Account management

By default, you can use your own bank accounts and set up the information yourself (Account name, numbers, etc.).

• If another advanced group within your network wishes to use your bank account, you have the option to transfer your rights to the main organization.

• It will then be authorized to share permissions for this account with all the groups that request access.

By transferring the rights to your account, you will lose the ability to edit it, archive it, or manage bank reconciliation. However, the existing accounting entries will remain within your group’s accounting records.

• Conversely, if you wish to use the accounts of the parent organization, no setup is required. You will automatically have access to all the main organization’s accounts, although it may also choose to fine-tune permissions on a group-by-group basis.

Period and initial balance

The accounting period and the opening balance are filled in by the upper platform.

Chart of accounts and third-party accounts

The chart of accounts and the third-party accounts are managed at the level of the parent platform.

If you wish to add accounts, please contact one of the administrators of this platform.

Advanced options

If the parent-level platform has activated Cost Accounting (Learn more), and you wish to add new budgets, contact an administrator of that platform.