Receipting unknown monies; i.e. suspense amounts

The steps below outline how you can receipt and reconcile monies into your client account that you have not yet been able to identify; i.e. you have insufficient information to be able to record the receipt against the appropriate tenancy.

This article includes: 

How to prepare Alto to receive suspense amounts

To prepare Alto to receive unknown monies, you will need to create a dummy landlord account:

  1. Click Property on the main toolbar
  2. Click Add a Market Appraisal or Property
  3. The Add a Market Appraisal or Property window opens. Click Add New to create a new landlord
  4. Within the First Person section, enter the NameMx Suspense Account (no correspondence details are required)
  5. Within the Details section, set the Intention to Not looking
  6. Click Next
  7. In The Property section, click Add New to create a new property
  8. The Add New Property window opens. Enter any address you wish (it's not going to matter) using the Postcode finder to set the address, or manually enter the property address
  9. Within the Details section, ensure Market is set as To Let
  10. Click Next
  11. Click Finish

This landlord record is the one we are going to use in future when adding unknown receipts.

 Note

This dummy landlord record only needs to be added once

How to add a suspense amount

To receipt unknown monies, we are going to add a retained sum to our dummy landlords account:

  1. Click Accounts on the main toolbar
  2. Click Opening Balances on the side menu
  3. Click the Client Accounts top tab
  4. Click View on the relevant client account
  5. Change the Default Date to the date of the receipt (if different)
  6. In the dropdown menu, click Landlord Retention
  7. Find the suspense landlord using the Search Landlords bar
  8. Click Add
  9. The Add Retention window opens. Enter the amount received
  10. Click OK
  11. If you are prompted that "A transaction for the same value has previously been posted. Do you wish to continue?", click Yes
  12. Enter the same number into the Target Amount
  13. Click Post Bank Balances

When you next go to perform a bank reconciliation, you will see an entry corresponding to the transaction above and will thus be able to reconcile this to achieve the correct closing bank balance in Alto.

How to resolve an identified suspense amount

Once the source of the funds has been correctly identified, you can negate the previous receipt and 'move' it to the appropriate tenancy:

  1. Click Accounts on the main toolbar
  2. Click Opening Balances on the side menu
  3. Click the Client Accounts top tab
  4. Click View on the relevant client account
  5. Change the Default Date to the date of the receipt
  6. In the dropdown menu, click Landlord Retention
  7. Find the suspense landlord using the Search Landlords bar
  8. Click Add
  9. The Add Retention window opens. Enter the amount received again but this time precede the number with a minus to denote a negative amount
  10. Click OK
  11. If you are prompted that "A transaction for the same value has previously been posted. Do you wish to continue?", click Yes
  12. In the dropdown menu, change Landlord Retention to Tenancy
  13. Find the tenancy for the receipt using the Search Tenancies bar
  14. Click Add
  15. Select the type of Charge Item, eg. Landlord Income - Rent
  16. Change the Description to something more appropriate
  17. Enter the Net Amount, this time as a positive number
  18. Click OK
  19. Click Post Bank Balances

By doing this, you have reversed the receipt you'd previously recorded on the dummy landlords account and added the sum instead to the tenancy account where it belongs. On your bank reconciliation screen, you will now see these two transactions (which cancel each other out) to reconcile when you carry out your next bank reconciliation.

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