Tutorial

Getting StartedTutorial

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WELCOME YOUR DATA FILE SPENDING AND RECEIVING MONEY PURCHASES AND VENDOR PAYMENTS SALES AND CUSTOMER PAYMENTS PAYING EMPLOYEES CUSTOMISE AND PRINT FORMS

Contents

About this tutorial

This tutorial will give you a quick introduction to your MYOBaccounting software, and help you understand a few account-ing concepts along the way.

This tutorial applies to the most current versions of MYOBAccounting, MYOB Accounting Plus and MYOB PremierAccounting, and we will refer to these products as ‘MYOB’.

Viewing this tutorial on screen

Use Acrobat Reader’s navigation and zoom tools to help youwork through this tutorial. You can use the toolbar thatappears below this tutorial page or access these tools using thedrop down menus.

If the screenshots do not appear clearly, try selecting 200% asthe zoom in the toolbar. How the screenshots appear dependson your monitor’s screen resolution and colour settings.

Zoom: You may want to zoomin to graphics that are difficultto read at the zoom setting youselect. 100% or 200% should beOK for most screens.

Navigate the pages usingthe arrow buttons, ortype a page numberdirectly in the whitefield.

Printing this tutorial

While this tutorial is designed to be viewed on screen, youmay choose to print it. You should be able to fit two tutorialpages on an A4 page (portrait orientation) if your printer hasthis feature.

click a topic below to jump to a lesson in this tutorial

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Your Company Data File

Introduction

Your data file is very important. When you first create a datafile, you give it a name and a location for it to be saved to.

The data file contains all the information you enter intoMYOB. While some information is stored in other folders onyour hard drive (for example, customised reports are saved ina Reports sub-folder on your hard drive), the actual recordsand transactions are stored in your data file.

Ensure you use MYOB’s backup system to make copies of thedata file to a safe location, for example, floppy disk or zip disk,and that you do this regularly. If your data file encounters anerror, or it is stolen, you will at least have a recent copy ofyour file to continue from.

Also you should run an integrity check of your data filestructure, called Verify Data to check for file corruption. Youwill be prompted to do so when opening your data file, andbefore backing up your data.

This first section of the tutorial shows you some features ofyour data file, and basics that will help you understand therest of the tutorial.

This window appears when you start your MYOB software.

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The Tutorial Data File

For the purpose of this tutorial, we have already created acompany data file. In Windows, it is called tutorial.dat (ortutorial.prm if you use MYOB Premier Accounting). If you usethe Macintosh version of MYOB, the file to choose is calledTutorial Clearwater Pty Ltd.

To open the tutorial data file, simply go to MYOB’s File menuand select Open, or click the Open button in MYOB’s Wel-come window.

Open the Tutorial folder and double-click the Clearwatertutorial data file.

When you open your data file, you will be prompted to entera User ID. This will identify you, and ‘tag’ the transactionsyou enter into the data file with your User ID. Some reportsallow you to view the User ID of the person who entered thetransaction. Enter your name and then click OK to thiswindow and the confirmation message that appears.

Click Yes to the ‘Verify Data’ message that next appears, andclick OK to the confirmation message.

The ‘Open’ dialog box. Your tutorial file is located in a Tutorial folder if youchose the ‘Typical’ MYOB installation. You can also copy the tutorial file from

the installation CD to your hard drive.

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The Command Centre

The MYOB Command Centre appears. The Com-mand Centre is the central location for MYOBfunctions, including Chequebook, Sales andPurchases.

Clicking the buttons across the top of the windowdisplays the functions of that particular commandcentre. In this screenshot you can see the Card Filecommand centre.

To the right of the flowchart is the command panel.You can use the command panel to access the To DoList, analysis tools, the Inquiry Registers to help youfind transactions, and the Reports menu.

The Card File command centre and command panel

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Navigating MYOB

Using MYOB is easy, but you should be familiar with theicons and keyboard commands used in MYOB that can helpyou complete tasks quickly.

For example, pressing Tab will move you from field to field ina window, and Shift+Tab will move you backwards.

You can also customise the way you use the Enter key inMYOB by going to MYOB’s Setup menu and selecting Prefer-ences and then the Windows tab.

Tip: There are shortcut keys for most windows in MYOB. Forexample, to access the General Ledger command centre usingthe keyboard, press Apple+1 (Macintosh) or Ctrl+1 (Windows).

Another example of a shortcut key is Apple+F, or Ctrl+F. Thiswill open the Card File list.

To move to the next field in a window, press

To go back to the previous field in a window, press

Tab

TabShift +

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Chart of Accounts

Your company data file contains the Chart ofAccounts. The Chart of Accounts is a group ofcategories for organising the accounting entriesof your business.

When you create the data file, you can selectfrom many preset chart of accounts, and thencustomise it to fit your business.

You can access the tutorial data file’s Chart ofAccounts (or Accounts List) by selecting theGeneral Ledger command centre button andclicking Chart of Accounts.

The Chart of Accounts

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Accounts

An Account is one of the categories in the Chart of Accounts.If you click a zoom arrow for the General Cheque Account inthe Chart of Accounts, you will get a window similar to thatshown here. The Cheque Account is where your companykeeps its operating money. This money is owned by thecompany, and in accounting terms, this type of account isclassified as an Asset. Notice the Account number 1-1000. The1- prefix indicates it is an asset, and the 1000 determines theposition this account will have in the Chart of Accounts.

The Chart of Accounts is divided into a number of sections:Assets (1-), Liabilities (2-), Equity (3-), Income (4-), Cost ofSales (5-), Expenses (6-), Other Income (8-) and Other Ex-penses (9-).

There are a few options available in the Edit Accountswindow, so see your MYOB User Guide’s General Ledgerchapter for information on each of these options, and for anexplanation of account tax codes, budgets and linked ac-counts.

Clicking the Edit button or the zoom arrows in the AccountsList displays the Edit Accounts window.

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Zoom Arrow and Search icon

The Zoom arrow and Search icon are unique to MYOBaccounting software.

Zoom arrow: these are displayed next to various fieldsthroughout MYOB, and allow you to see more detail about atransaction or record. A white zoom arrow indicates that youcan make changes to the detail of the transaction or record. Agrey or dotted arrow indicates that either it is not possible toedit the details, or you do not allow editing of transactionsonce recorded (You can change this option through MYOB’sSetup menu > Preferences > Security tab).

Search icon: these allow you to open a search list windowthat contains records you’ve previously entered in MYOB,such as customers or shipping methods. You can then select arecord from the search list.

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Spending and Receiving Money

Introduction

Spending and Receiving Money in MYOB ishandled in the Chequebook command centre.

You can use the Make a Deposit window totransfer money between your bank accounts,record interest, or miscellaneous cash receipts youreceive.

Use the Write Cheques window to record chequesthat you won’t be entering a purchase order forusing the Purchases command centre, such asstationery or postage, or owner drawings.

To ensure you have accurately entered yourtransactions, you can reconcile MYOB’s accountswith your bank statement using the ReconcileAccounts function in the Chequebook CommandCentre. The Chequebook command centre and command panel

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Making a deposit (1 of 3)

Let’s say that you need to deposit $30,000 into the businesscheque account to fund the initial activities of the company.

To record this entry,

1 Go to the Chequebook command centre and click on theMake a Deposit function. The Cheque account is alreadyselected in this window.

2 The cursor is in the Date field when the Make a Depositwindow is opened, and the system date is displayed.

Enter 1/7/2000 and press Tab. Note: You may receive awarning if you are completing this tutorial before the 1st ofJuly 2000. Click OK to ignore the message.

3 Enter $30,000 into the Amount field (you can simply enter30000 and MYOB will format the amount correctly.)

The Make a Deposit window

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4 The Payor field is where you can record the writer of thecheque. We will leave it blank in our example. Tab to theMemo field and type “Initial funding of the company.”

5 Tab to the Allocation Account field. Here you specify anaccount that can explain the increase in the cheque accountselected at the top of the window.

In our example, we can explain the increase as an input bythe owner (you) into the business. In accounting terms, youare increasing the equity or your share of the business, andthe appropriate account to use would be the Issued Capitalaccount.

If you can’t recall the exact account number to enter intothe Allocation Account fields, press tab to display the Selectfrom List window. Double-click the Equity account namedIssued Capital showing in the list, which is account number3-1000, and the Make a Deposit window will be updated.

Entering the Allocation Account and Amount

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6 Notice that the Tax column has been filled in for you withthe tax code N-T. When setting up an account, you canchoose to have a default tax code appear. For the IssuedCapital account, a default tax code has not been selected, sothe N-T (No Tax) code appears.

Our transaction does not attract GST, so replace the N-T taxcode with FRE (GST Free), and press Tab.

For more information on tax codes, please see the Setup andGST chapters in your MYOB User Guide.

7 Click Record. The entry will be saved and the windowcleared. Click Cancel and you will return to the Cheque-book command centre.

You have just completed the first entry in this Tutorial.

Let’s see how this affects MYOB’s Chart of Accounts:

• The Cheque Account has increased by $30,000

• The Issued Capital account has increased by $30,000.

In other words, your company now has $30,000 worth ofAssets, and your contribution to the company (Equity) hasincreased by $30,000.

Notice that there are two entries for this transaction. Youcould explain these entries by saying, “As a result of increas-ing the Cheque Account balance, my share of the company(Issued Capital) has increased”. Accountants call this double-entry accounting.

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Making a Payment (1 of 3)

We now have money to buy furniture and equipment. We’llbuy desks, chairs and a photocopier for $5,500 (including$500 GST) from Acme Business Supplies. We could also enterthis using the Purchases command centre, but since this willbe a ‘one-off’ purchase, we’ll use the Write Cheques window.

1 Go to the Chequebook command centre, and click WriteCheques..

2 Enter 1/7/2000 in the Date field and tab to the Amountfield.

3 Enter 5,500, and tab to the Card field.

The Write Cheques window

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Spending and Receiving MoneyMaking a Payment (2 of 3)

4 Type “Acme Business Supplies” and press tab.

5 Since Acme Business Supplies is new to MYOB,the Select from List window is displayed. ClickNew.

6 Complete the card file entry as shown. Bycreating a card for Acme Business Supplies, wecan track payments made to them, and easilyenter another payment for them in the future.Ensure the card type is set to Vendor.

7 Click OK and press tab. Note that the Payeefield in the Write Cheques window nowdisplays the name and address of AcmeBusiness Supplies.

Creating a Vendor Card

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Making a Payment (3 of 3)

7 Tab to the Memo field and enter a description of the transac-tion. Tab to the Allocation Account field and press tab oncemore.

8 Since an account is required in this field, MYOB displays theSelect from List window. Double click “Furniture andFixtures” and you will return to the Write Cheques window.

9 The cheque amount of $5,500 includes 10% GST, so we needto enter the GST 10% tax code into the Tax column. TypeGST, press tab and the cheque details will now show that$500 has been paid in GST.

(A tax code tells MYOB how much tax has been paid, and iscreated in the Tax Codes List window (choose from Setupmenu). The N-T code indicates that there is no default taxcode set up for the Furniture and Fixtures account. See theGeneral Ledger and GST chapters in your User Guide forinformation on setting default tax codes.)

11 Click Record and the cheque will be saved to your data file.

Completing the Write Cheques window

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Reconciling your bank accounts (1 of 4)

It is good business practice to reconcile your bankstatement with your MYOB accounts at least monthly.The frequency you need to do this depends on thevolume of transactions that go through the accounts.

Reconciling simply means ensuring that the transac-tions entered in MYOB match the bank statement,and picking up any errors made either by the bank orby the person entering the data into MYOB.

To reconcile, you will need to select the ReconcileAccounts button in the Chequebook command centre.

Note: In this tutorial, we will assume that the openingbalance of the bank account is zero, with nounpresented cheques or deposits that haven’t beencredited. If this were not the case, we would have hadto complete the Initial Bank Reconciliation proce-dure before completing the first month’s reconcilia-tion. See the Setup chapter in your MYOB User Guidefor more information.

The Reconcile Accounts window

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Let’s reconcile the cheque account used so far in thistutorial. Yes, we have only entered two transactions, butthis will show how the spending and receiving of cash,and the Reconciling are related. We will also add a bankcharge to make the example more realistic.

We receive a bank statement dated 7/7/2000. Theclosing balance showing on the statement is $24,495.

The statement shows three transactions:1 A deposit of $30,0002 A cheque of $5,5003 A bank charge of $5

In the Reconcile Accounts window,1. Select Cheque Account 1-1000 using the Account

search icon, or by typing the account number directlyinto the Account field.

2. Tab to the New Statement Balance, and enter $24,495.3. Enter the Bank Statement Date of 7/7/2000, and press

Tab.

You will notice that the out of balance amount showing is -$24,495,and the two transactions we have entered now appear (only transac-tions dated before or on the Bank Statement Date will appear).

Selecting an account to reconcile

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Now we need to match the transactions showingon the bank statement with those listed in theReconcile Accounts window.

Click in the column to the left of the transactionzoom arrows, and a cross (or if you are using aMacintosh, a tick) will appear. The Out of Balancefigure should reduce to $5.

The $5 Out of Balance amount suggests that thereis a difference of $5 between the bank statementand the cheque account in your MYOB data file.

In our case, the difference of $5 is due to the bankcharge not being entered into the MYOB data file.

Click the BankEntry button, and the Record Service Chargesand Interest Earned window will appear.

Enter the service charge of $5, and select the Bank Chargesexpense account (6-1900). In the Memo field, type Bank Fee,and press Record.

Reconciling and entering a bank service charge

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The Out of Balance amount should now be $0. This meansthat MYOB’s records match the bank’s records. We can beconfident that the Cheque Account transactions entered inMYOB are accurate. Click Reconcile and a confirmationwindow will appear. You can print the Reconciliation reportfor your records or just click Reconcile again to finish.

If we didn’t reconcile, we may have missed the bank charge,and our chequebook would show the incorrect balance.

Tip: A debit showing in your bank statement is actually shownas a credit in your MYOB accounts. This is because yourbank statement is shown from the bank’s perspective, whoconsider your bank account a liability (they owe you), whileyou consider it to be an Asset (if not overdrawn!).

A basic accounting principle is that a debit will increase anasset or decrease a liability, and a credit will decrease anasset or increase a liability.

Press Cancel to return to the Chequebook command centre.

Confirmation window that appears when your accountsuccessfully reconciles.

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Purchasing Items and ServicesIntroduction

MYOB’s Purchasing system allows for item, profes-sional and service purchases to be made. Thesepurchases and the payments you make to vendorsor suppliers are handled in the Purchases commandcentre. In this same command centre, you can alsosettle debit notes you may receive for returned ordamaged goods and refunds.

While you could enter some of your purchases usingthe Write Cheques window in the Chequebookcommand centre, by creating a purchase order youhave the ability to track your payables or tradecreditors, your discount expiry dates, and the agingof your outstanding purchases.

The Purchases command centre and command panel

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Purchasing Items and Services

Purchase Order Types

When you click the Purchases function inthe Purchases command centre, a newpurchase order window will be displayed.There are four types of purchase layouts ortypes that you can choose from.

To change the type of the purchase order,simply click the Type button before you startcompleting the window.

A brief overview of these Purchase Ordertypes follows, as well as a detailed look at theItem Purchases window.

Selecting the correct Purchase Order type to use

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3 Professional Purchases. When you want to track servicesprovided over a certain period, you can use the ProfessionalPurchase Order. It adds a Date column to the standardService order format. This means you can include the datethat applies to each service provided, all on the onepurchase order.

4 Miscellaneous Purchases. While your purchases require-ments should be met with the three formats just described,there may be occasions when you may want to use theMiscellaneous Purchase format. Since this format cannot beprinted, you may want to use it for adjustments and debitnotes you receive, and use the printable formats for yourother purchases.

Purchase Order Types

1 Item Purchases. If you regularly purchase a particular stockitem, you can create an Item record and use the ItemPurchase window to buy more of this stock. You can chooseto have MYOB track the quantity on hand and the averagecost of items you purchase.

2 Service Purchases. Use the Service type Purchase order foritems or services that have not been entered into MYOB’sItem list. Examples of services you purchase include repairs,insurance or monthly operating expenses.

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Item Purchases (1 of 5)

To purchase goods using the Item Purchases window,we need to create item records for those goods. Itemrecords are listed in the Inventory command centre’sItem List. The Item record contains historical andcurrent information about the item, including saleand purchase prices and sales history.

In this example, we will firstly create an item recordfor a stock item we purchase regularly-Widgets. Youdon’t need to have the item set up before you enterthe purchase order; you can create an item record asyou complete the Purchases window.

1 Go to the Purchases command centre, and clickthe Purchases function. If the format showing isnot an Item Purchase (as shown here), click theType button and select Item and press OK.

The Item Purchase Order window

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You need to purchase 100 Widgets from World of Gadgets at$5.50 (including GST). In this exercise we will be placing anorder with the supplier - no goods have been received yet.In MYOB terms, this is called a Pending Purchase order.

2 Type World of Gadgets Pty Ltd in the Vendor field, and presstab. MYOB will match the name with the card for thisvendor set up in the Card File.

3 Press tab twice to move to the Tax Inclusive checkbox, andselect it (if not selected already). Then tab to the Date fieldand type 9/7/2000.

4 We have purchased 100 widgets, so tab to the Receivedcolumn and type 100.

5 Press tab twice and type 100-101A5 in the Item Numbercolumn. This is the code that we want to use for Widgets inour inventory.

6 Press tab. As this item does not exist in our Item List, we willneed to click New from the Select from List window thatappears.

Selecting a vendor and selecting an item

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7 The Item Information window will appear withthe Item number field showing 100-101A5. Tabto the Name field and type Widgets.

8 Press Tab and select the I Buy The Item, I SellThe Item and I Inventory The Item checkboxes.

Continue to complete the Item Profile, BuyingDetails and Selling Details tabs as shown here.

We recommend that you read through theInventory chapter of your MYOB User Guidebefore you set up Item records in your own datafile. (If you are using MYOB Premier Account-ing, see your User Guide for information onyour advanced inventory options.)

Entering the details for the new item

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9 Press OK to return to the Purchase Order window,and Tab to the Price column and type “5.5”.

10 Press Tab and then the down arrow key on yourkeyboard to move to the Comment field. Type“Please deliver around the back”. In the PromisedDate field, type 14/7/2000 (the date we expect toreceive the goods).

11 As this is just an order, and we haven’t yetreceived these goods, click Pending, and MYOBwill clear the Purchase Order window.

While your inventory levels have not changed,MYOB will keep this purchase order as Pending.When you receive the goods you can record thepurchase as actual. The next exercise will assumewe have received these goods.

Click Cancel to return to the Purchases commandcentre.

Completing the Purchase Order and saving it as Pending

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Assume now that the 100 widgets arrive with an invoice fromthe vendor a few days later. You check the widgets have arrivedin good condition and that the invoice matches your order.

Follow these steps to record the Pending purchase order wecreated earlier as Actual (you can also do this using the MYOB ToDo List in the command panel).

1 In the Purchases Command Centre, click on the Purchasefunction and type World of Gadgets in the Vendor field.

2 Press tab and a Select from List window showing the pendingpurchase orders for this vendor will appear. Highlight thetransaction and press Use Pending P.O.

3 Enter the date as 14/07/00, and the vendor’s invoice number of88888. Click Record and then click Cancel to return to thePurchases command centre.

You have completed your first purchase, and now have 100widgets in stock showing in the Items List (accessed from theInventory command centre).

Recording a Pending invoice as actual will update the On Handquantities in the Items List (Inventory command centre).

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Vendor Payments

We now have a purchase order that is ‘payable’ ordue. To make a payment against this purchase, weneed to enter a Vendor Payment. We could haveused the Paid Today field in the Purchase Orderwindow if we were paying the purchase at thattime, but as we will be paying $500 by cheque onthe 16/7/00, we now need to use the VendorPayments function.

1 Go to the Purchases command centre and clickVendor Payments. Press tab to display the Selectfrom List window and double-click World ofGadgets. The vendor information will be filled inand the outstanding payables for that vendor arelisted.

2 Enter the date as 16/7/00 and the amount of$500. Tab to the Amount Applied column toallocate the payment against the purchase order.(It is important that the Amount field and theAmount Applied fields match.)

3 Click Record and the purchase order amount payableis reduced by $500, and the cheque account selectedin the Vendor Payments window is reduced by $500.

Entering a Vendor Payment for the Item Purchase

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Sales and Customer Payments

Introduction

MYOB’s Sales command centre has veryflexible invoicing and payment optionsavailable for your business needs.

Your sales can be entered in the Service, Item,Professional and Miscellaneous type invoicewindows (similar to the Purchase windows wedescribed earlier), and if you are using MYOBAccounting Plus or Premier Accounting, youcan also bill customers using the Time Billinginvoice. Time Billing is appropriate for servicebased businesses that bill for time andmiscellaneous services provided to clients.

Customer payments for invoices recorded inthe Sales command centre need to be enteredthrough the Customer Payments window, andnot the Make a Deposit window.

Credits given to customers are also createdand settled in the Sales command centre.

The Sales command centre and command panel

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Making a Sale (1 of 3)

We will make a sale to Widget Eaters Limited for 65widgets. We have already purchased 100 widgets, so wehave enough in stock to make this sale.

1 Go to the Sales command centre and click on theSales function.

2 We need to choose the Item invoice format as we areselling items from our inventory. Click the Typebutton and select the Item format.

3 Press tab in the Customer field to display the Selectfrom List window. Since you haven’t entered anycustomer details yet, click on the New button andthe Card File Entry window is displayed with thecard type ‘Customer’ selected. Complete the windowas shown.

4 Also complete the Terms details by pressing theTerms button in the Card File Entry window. ClickOK twice to return to the invoice.

Creating a new customer card and setting up credit terms

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Sales and Customer PaymentsMaking a Sale (2 of 3)

5 Press tab to fill in the Customer’s details automatically.

6 Tab to the Tax Inclusive checkbox and select it (if itisn’t already), then enter 24/7/2000 in the Date field.

7 Enter 9999 in the Customer PO # field (the Customerhad sent a purchase order numbered 9999).

8 Tab to the Ship field and enter 65 (the number ofwidgets we are selling).

9 Tab to the Item Number field and press tab. Doubleclick the Widgets item and the selling price, total andtax fields will be completed for you.

10 To move out of the body of the invoice, press thedown arrow key on your keyboard. (We won’t com-plete the optional fields below the body of the invoice,but these can be useful if you need to show thisinformation on the printed invoice.) We have all theinformation we need on the invoice, so press Record.

Completing and recording the Item invoice

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Making a Sale (3 of 3)

Let’s have a quick look at the entries MYOB has madefor this sale.

Go to the Sales command centre and click TransactionJournal. Enter the date range From: 24/7/2000 To: 24/7/2000. The debits and credits of the sale just entered willbe displayed.

The first two lines debit the Accounts Receivableaccount for the sale and GST amounts. This accountkeeps track of the money owed to you by your custom-ers.

The next entry reflects the GST exclusive proceeds ofthe sale.

The fourth entry is a credit to the account used to trackGST collected on sales, that is now payable to theAustralian Taxation Office.

The final two entries reflect the purchase value of the widgets(65 Widgets x the purchase price of $5.00 (tax exclusive price)= $325.00). This amount is transferred from our Inventoryaccount to the Cost of Sales account (an account that keepstrack of costs incurred in making your sales). The Profit andLoss statement will be updated at this point.

The Transaction Journal shows the accounting entries being made to the data file.

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Credit Notes (1 of 3)

Assume that the Widgets were shipped to Widget EatersLimited, but that 5 were damaged before they reached thecustomer.

You give the customer a credit note for the five damagedwidgets, which will be applied against their outstandinginvoice.

Creating a Credit Note follows the same procedure as makinga sale, except that the values in the invoice are entered asnegative (-) amounts.

If goods are returned and placed back into our inventory forreselling, we would need to use the Item Invoice format sothat our inventory is readjusted for the returns.

In this case, the goods were damaged, which means we won’tbe placing those goods back into our inventory. The cost ofthe damaged goods will be allocated to an income accountcalled Sales Returns, and the Miscellaneous type invoice willbe used. The Sales Returns account will offset the total salesvalue in the Profit & Loss Statement.

The Settle Returns & Credits function in the Sales command centre

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1 Go to the Sales Command Centre and click Sales.Click the Type button and select the Miscellaneoustype.

2 Select the Widget Eaters Limited customer and enterthe date as 26/7/2000

3 Tab to the Description field and type “Credit Note for5 damaged Widgets”.

4 Tab to the Allocation Account column and press tabto display your Accounts list. Select the Sales Returnsincome account and return to the Sales window.

5 Type -55 in the Amount column, and press Tab.

You have just created a credit note. After clickingRecord you can choose how to settle it - by applyingit against their existing account or refunding theamount. We will apply this credit against WidgetEaters’ outstanding balance in the next step.

Using a Miscellaneous type invoice to create a credit note

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6 Click the Settle Returns and Credits function inthe Sales command centre. You should see thecredit we have just created in the list that appears.

7 We need to apply this credit against the customer’saccount balance, so click Apply to Invoice.

8 The Settle Returns and Credits window will appearwith the customer’s outstanding transactionshown. Enter the date as 26/7/2000 and tab untilthe $55.00 credit amount appears in the AmountApplied column.

This tells MYOB that the outstanding balance forthat invoice needs to be reduced by the Creditamount applied.

9 Press Record to apply the credit, and the invoicebalance will be reduced by $55.00.

Settling the credit note by applying the amount against anoutstanding invoice

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Customer Payments (1 of 3)

You now receive a payment of $670 from WidgetEaters Limited for the sale of the Widgets.

1 Go to the Customer Payments window in theSales command centre, and select the WidgetEaters customer card.

2 The customer’s history is displayed. Enter the dateas 28/7/2000.

3 Type the payment amount of $670 in theAmount Received field.

4 In the Amount Applied column, you need toapply the whole payment to the correct invoices.

You notice that the customer has overpaid you by$10. Tab to the Amount Applied column of theinvoice 00000001. $660.00 will appear.

Entering a customer payment to pay for the sale

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Customer Payments (2 of 3)

5 To handle this customer overpayment, simplyreplace the $660 showing in the Amount Appliedfield with the full amount received ($670.00) andpress Tab.

6 Click Record, and MYOB will recognise that therehas been an overpayment for this invoice (theamount applied to the invoice is greater than theamount outstanding), and will automaticallycreate a credit note for the customer.

Click OK, and a credit note of $10.00 will be listedin the Settle Returns and Credits window in theSales command centre.

Enter $670 into the Amount Applied column and you willreceive this message when you click Record.

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Sales and Customer PaymentsCustomer Payments (3 of 3)

7 We decide to refund the $10 to the customer. Goto the Settle Returns and Credits window, selectthe credit note showing in the list, and pressRefund.

8 Complete the cheque as shown, and the credit willbe refunded to the customer. Click Record.

Refunding the overpayment to the customer

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Paying your employees

Introduction

If you use MYOB Accounting Plus or MYOB PremierAccounting, you can use the integrated Payrollcommand centre to write and print paycheques andcreate a bank file to direct credit the employee’s bankaccount.

This section is a brief overview of the Payrollfunction - it’s a very powerful system that, when setup correctly, can save you a lot of time whenpreparing Group Certificates. For this reason, werecommend that you review carefully the Payrollinformation in your User Guide / Plus Guide beforesetting it up.

In this exercise, we will create an employee card, setup payroll categories, write a paycheque and create abank file.

The Payroll command centre and command panel (MYOBAccounting Plus and MYOB Premier Accounting only)

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Payroll Categories

Payroll Categories need to be set up for each type of payrollpayment or entitlement.

Wage Categories: Set up a Wages payroll category for eachtype of payment you are likely to make, for example, thestandard salary or hourly payments, sick pay, holiday pay,bonuses, overtime etc. (Note: don’t change the Base Hourlyand Base Salary categories that appear in the Wages list.)

Entitlement Categories: MYOB can keep track of the numberof hours your employees are entitled to for Holiday Leave, SickLeave and Long Service Leave. The rates and settings areadjusted in the Entitlement Categories.

Deduction Categories: Where deductions are made from anemployee’s wage, for example, for Union fees, you can set up aDeduction Category.

Expense Categories: Also known as Employer Expenses. Youare most likely to use the Expenses categories for Superannua-tion and Workcover.

Taxes Categories: You can’t add a new Tax Category, but youcan view the income tax scales and their revision dates byclicking the PAYG Withholding zoom arrow.

When you create your employee cards, you can select whichof these categories apply to them. When you display the WritePaycheques window, only the linked payroll categories forthat employee will be displayed.

The Payroll Categories window accessed using the Payroll command centre

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Entitlement Categories (1 of 2)

Hourly Employees

As your employees work, MYOB can keep track of the HolidayLeave and Sick Leave hours they are entitled to.

Clearwater has an employee that is paid on an Hourly basis(rather than Salary), and is entitled to four weeks holidayleave per year. He is paid fortnightly.

1 In the Payroll command centre, click the Payroll Categoriesbutton.

2 Click the Entitlements tab and then the zoom arrow for theHoliday Leave Accrual category.

3 Complete the window as shown here (also adjust the name).4 Click OK to save the changes.

The 7.6923% will always accrue four weeks holiday leave, nomatter how many hours your employees usually work perweek, and is calculated as follows:

(holiday leave entitlement / weeks worked in a year) x 100.

4 weeks / 52 weeks = 7.6923%.

If an employee is paid fortnightly and works 80 hours, MYOBwill accrue 6.15 hours of holiday leave entitlement (80 x7.6923%) each paycheque.

Let’s check that the percentage works: - 6.15 hours will be accrued every fortnight. - In a year this would total 160 hours (26 x 6.15) .- 160 hours is 2 fortnights work for Clearwater (2 x 80 hours).

Setting up the Holiday Leave entitlement category for anHourly employee

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Entitlement Categories (2 of 2)

Salary employees

All Clearwater employees are paid on an hourly basis, but ifthere were employees paid on a Salary basis, you would needto set up a new entitlement category for them.

The entitlement category shown here is for an employee whois entitled to four weeks of 40 hours holiday leave (you canuse the Monthly or Pay Period basis rather than Yearly if youwant).

MYOB will divide the 160 hours according to the employee’spay frequency - for example, a fortnightly employee wouldhave 6.15 hours added to their holiday leave balance eachpaycheque (160/26).

Note: If you pay salary employees for more or less than theirstandard pay period on a particular paycheque, you may needto manually adjust the number of entitlement hours shownon the paycheque.

Setting up a Holiday Leave entitlement category for salaryemployees

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Expense Categories

Superannuation is set up as an Expense category. Click thezoom arrow for SGC Superannuation in the Expenses tab ofthe Payroll Categories window and set it up as shown (remem-ber to change the linked accounts).

We have chosen to use Gross Wages as the Expense basis sothat both salary and hourly employees can use this category.

Click the Exempt button and select the Overtime payrollcategories to exclude them from the Superannuation calcula-tion. (Note: there may be other categories that you shouldexclude from Super calculations. For further information youcan contact the ATO Superannuation Hotline on 13 1020).

As you don’t need to pay Superannuation for an employeeuntil they earn $450 in a month, set the minimum wagethreshold per month as shown.

Let’s look at an example of how this threshold works.

1 Assume that on the 2/7/2000, a paycheque with gross wagesof $250 is recorded. At this stage, no super will be accrued asthe employee is below the minimum wage threshold.

2 On the 9/7/2000, another paycheque with gross wages of$250 is recorded. Super of $40 is calculated and is based onthe combined paycheques of the 2 and 9 July. The mini-mum wage threshold for the month has now been sur-passed, and the super is back-calculated.

3 On the 16/7/2000, a paycheque with gross wages of $250 isrecorded. Super of $20 is calculated on the gross wages ofthis paycheque only.

Note: In these examples the Super rate of 8% has been used.

Setting up a Super Expense category for both salary and hourly employees

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Setting up an employee card.

We will now set up an employee card for Mary Efficiency.

1 Click the Cards function in the Card File commandcentre. Click New and enter Mary’s details as shown.Ensure the Card Type is set to Employee.

3 Click the Payroll button in her card, and completeMary’s general payroll details in the left panel.

4 Link the payroll categories that apply to this employeein the right panel by clicking in the Select column.

5 Click OK and return to the Payroll command centre.

Setting up a new employee andtheir payroll details

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Writing the paycheque.

The Write Paycheques window is accessed from the Payrollcommand centre, and is where you check the wage detailsfor the pay period, and make any adjustments.

Go to the Write Paycheques window, and enter the date as28/7/2000.

Select the card we just created for Mary Efficiency.

Note that the Hours column shows 80 hours worked forthis fortnight and that entitlements for Holiday Leave andSick Leave have been calculated. These entitlements will beadded to her current balances when the paycheque isrecorded.

The Superannuation showing is 8% of her wage for themonth, and the Tax amount showing is based on the TaxScale set in her card (note that the tax amount may vary ifyou have different tax scales installed).

Record the paycheque and close the Write Paychequeswindow.

Writing a paycheque for the new employee

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Paying your employees electronically (1 of 3)

You can choose to pay your employees by direct creditingtheir bank account. MYOB will create a ‘bank file’ that youthen import into your bank’s online business software.

Tip: You can also pay your vendor payments electronically ifyou have set up the vendor’s bank details in their card. Notethat cheques entered in the Write Cheques window in theChequebook command centre cannot be paid electronically.

In the tutorial file, Clearwater’s bank information has alreadybeen set up (in the Setup menu > Company Informationwindow). We now need to enter Mary’s bank details in hercard.

1 Go to the Card File command centre, click the Cardsfunction and display Mary’s card (click in the Employee tabto view all employees).

2 Click the Bank Info button and complete it as shown.

3 Click OK and return to the Command Centre.

Entering bank information for an employee

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1 Go to the Payroll command centre, and click the ElectronicPayments button.

2 The Type of payments we want to pay electronically isPaycheque.

3 The Account we need to select is the one our paychequeshave been written out of, which is the General ChequeAccount. (Tip: If you have a few employees, you shouldconsider using an ‘electronic payments clearing account’.See the Frequently Asked Questions section of the Pur-chases chapter in your User Guide for information onusing a clearing account for electronic payments.)

4 The Date for Bank Processing is simply the date we arecreating this file.

5 Select the Unprocessed Payments Only checkbox andclick OK.

Setting up the electronic payment file

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6 The Review Payments before Processing window appearswhich gives you the chance to check the transactions beforecontinuing. You can choose to exclude certain transactionsfrom this run, or view them using the zoom arrow.

7 Click the Process button and you will be required to savethis payroll information to a file on your hard disk. Youshould keep the filename MYOB automatically creates andremember where you have saved the file. In this tutorial,GCA is the Bank Code of Clearwater’s bank. Click OK orSave.

8 The final step is not completed within MYOB. You wouldneed to start up your bank’s online software, and import thepayroll information (the ABA file) into it. Your bank canhelp you with the importing of transactions and you shouldcheck that your banking software does accept the bank fileMYOB creates.

Selecting the payroll information, and saving the bank file

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Customising and Printing Forms

Introduction

Forms are the invoices, purchases, cheques, statements andmailing labels that you print using MYOB. You can customisethe way they look, for example, by adding a logo or addingand removing text.

If you have used simple drawing programs, you should becomfortable using the Customise Forms window.

This section gives a brief introduction to how forms can becustomised and printed. For complete customising informa-tion we recommend that you see your MYOB User Guide.

Customise your forms for your business

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Accessing Forms

Form ‘templates’ are saved on your hard drive in afolder called Forms. This folder must always be locatedwithin the folder your MYOB software has beeninstalled into.

You can have a number of templates for each formtype - for example, you could have an invoice formtemplate for quotes and another for standard invoices.

You can access the templates from the Print functionsin the command centres. For example, to access yourInvoice form templates, click Print Invoices in theSales command centre and the Forms Selectionwindow is displayed. Based on the Form Type youselect in this window you can access the availabletemplates by clicking the Selected Form for Invoicesdown arrow.

For the following examples, click Print Invoices in theSales command centre and make sure the Item Invoicetype has been selected in the Forms Selection window,and then click the Selected Form for Invoices downarrow.

Selecting a form template to customise or use

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Customising Forms

Select the GST Plain Paper Invoice format, (or if youdon’t have this form available, select MYOB’s PlainPaper Invoice) and click Use Form. This template hasbeen pre-customised to fit on plain A4 paper.

Click the Customise button and the Customise ItemInvoices window is displayed.

We will do the following:

1. Resize, move and format the Company Address field.2. Delete the Company Name field that currently

appears on the invoice.3. Add the Clearwater logo.

The Customise Forms window

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TEXT FIELD

DATA FIELD

ACTIVE FIELD

INACTIVE FIELD

Selection Tool Text Tool Picture Tool Rectangle Tool Line Tool


Customising Forms

Text fields: are fields that you can ‘create’ using the TextTool (A), or edit directly by double-clicking them.

Data fields: are preset fields on the invoice that MYOBautomatically fills when the invoice is printed. At thecustomising stage, data fields appear with brackets andthe field name. You can change the font, size andposition of the fields by double-clicking them.

Active and Inactive fields: An Active field is one thatwill be printed, while inactive fields appear as grey fieldsin the customising window and will not be printed. Textfields cannot be made Inactive -- they can only bedeleted. To change a field’s status, double-click it.

The Form Size: You can change how many forms youwant printed per page and set the page size using theForms Info command in the Forms menu that appearsin the menu bar when customising. If you need morethan one form printed per page, ensure the Form Size isset correctly in the Forms Info window (for example ifyou need two invoices per page, the Form Size’s heightshould be set to half of the page’s height).

Get to know the Customise Forms window

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Customising Forms

Resizing and Moving the Company Address field:

1 Click the [Company Address] data field once, and it will beoutlined with a black rectangle. A handle (a small blackbox) is at the lower right-hand corner of the rectangle. Clickand drag up the handle to reduce the height of the field byapproximately half its original size.

2 Now click the [Company Address] data field and hold themouse button down. The pointer changes to a hand. Dragthe mouse down and release the mouse button when thefield is just above the ABN fields.

The Customise window should now look like the secondscreenshot shown here.

Tip: Another more exact way to change the size and locationof the field is to double-click it and change its coordinatesfrom the Field Information window.

Resizing and moving the Company Address field

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Customising Forms

Changing the Font of the Company Address field:

Double-click the [Company Address] data field. The FieldInformation window appears. Change the font size and stylesto those shown in this screenshot, and then click OK.

If you are using the Macintosh version of MYOB, you mayneed to select an alternative font if Arial is not available.

Making the Company Name field inactive:

Double-click the [Company Name] data field and choose tomake the field inactive from the Field Information window.

The form should now look like this screenshot:

Changing the font and paragraph properties of the CompanyAddress field, and making the Company Name field inactive

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Adding the Company logo (1 of 2)

We will now place the Company logo in the space abovethe Company Address field.

1 Click the Picture tool in the toolbar once (the pictureframe).

2 Click once anywhere on the form. A new field iscreated with a picture frame as the default graphic.Double-click the graphic.

3 We will be importing a graphic into the form. (Analternative would be to copy the logo to the clipboardusing a graphics program and then paste it into MYOBusing the Paste Picture button in this window.)

Click the Load Picture button, and go to the Tutorialfolder located in the MYOB folder on your hard drive.

You will need to select and use the clear.bmp (Win-dows), or clear.pct (Macintosh) file.

Selecting a logo to import

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Customising and PrintingForms

Adding the Company logo (2 of 2).

4 Return to the File Information window, and youshould see a preview of the image we are import-ing.

5 Change the field size to approximately 2.15 cmhigh by 6.45 cm wide (the graphic’s size), and setthe field location to 0.50 cm from the top and3.50 cm from the left. (If your computer is set upto use inches, use the dimensions shown here inthe first screenshot). Click OK.

6. The form should now appear as shown. That’s it!You have now customised a form, and you shouldbe familiar with the Customise Forms window,and how to work with fields.

You may need to make minor adjustments to the position of the logo if itcovers the Company Address field, or is cropped by the top margin.

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Saving the form.

We can now save this form to our Forms folder on the harddrive (located within the program folder, eg c:\MYOB\Forms).

Click the Save Form As button in the Customise Formswindow and you will be prompted to give the form template aname and description.

Choose names that make sense to you. We have used ‘Test’ asthe name and ‘Tutorial Exercise’ as the description. The namewill appear in the Selected Form for Invoices field and willbecome the default form for printing Item Invoices.

Click OK, and then press Cancel to close the Customisewindow.

Note: Whenever you make a change to a form template, youshould backup or make a copy of the template file (stored inthe Forms folder), to avoid accidentally replacing it or losingit. If you use MYOB Premier Accounting, you would need tocopy the forms to each workstation if they need to use them.

Saving the form to your hard drive. It will now appear in theSelected Form for Invoices list in the Print Invoices window.

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Printing the form.

When you have completed the customising, try printing theItem invoice we created earlier in this tutorial:

1 Go the Sales command centre and click Print Invoices.Ensure the Type selected is Item, and that the Status is Closed(the invoice was fully paid).

2 Ensure that the Selected Form for Invoice field shows theform template name we customised. Click OK.

3 The Review Invoices Before Printing window appears withthe invoice we created. Notice that we can select how manycopies of the invoice we want to print from this window.

4 Click Print and the invoice will be printed using thecustomised form template.

If you need to make any adjustments to the invoice, use theCustomise Forms window to make your changes.

Selecting an invoice to print

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Congratulations!

You have now completed this tutorial! By now you should beable to find your way around the MYOB Command Centreand know where to enter your daily transactions.

Where do you go from here?

Well, start by having a look at your MYOB User Guide that hasdetailed information about every step we have looked at inthis tutorial.

Similar information is also available in MYOB’s help systemwhich is available from the Help menu. Use the ReferenceGuide to find out more about the window you are in, or go tothe Procedures Guide to look for detailed steps and tips.

If you do get stuck, and you have an MYOB Cover Plan, callMYOB’s expert technical support team for assistance. See yourGetting Started Guide for more information on gettingTechnical Support from MYOB Australia, and the benefits ofjoining MYOB Cover.

Sometimes you may need assistance that cannot be reasonablycompleted on the phone with a support representative.Remember that you can contact an MYOB Certified Consult-ant to help you onsite. We have included an Australia-wideCertified Consultants directory with your software - contactthem and find out more about how they can help you MindYour Own Business!

Tutorial

Documents

widget eaters

chequebook

sales command

purchases

receiving

vendor payments

payroll command

data file