Release Date: Tuesday, December 17, 2019
This document includes items released in version 6.3.0
New Release Webinar Recording
On Friday, December 13, we conducted a pre-release webinar for our current customers. You can view that recording below:
Bulk Trust to General Transfer
Often when following a routine billing cycle (ex: monthly) and holding client retainers in trust, you need to debit multiple client trust ledgers at a time to pay the firm.
Previously in CosmoLex, when utilizing the ‘Invoice Payment Using Existing Trust Retainer’ function, you could only apply trust funds to one matter at a time.
With the new Bulk Trust to General Transfer feature, you are now able to debit multiple matter ledgers and apply it to those matters’ unpaid balances in one transaction.
This creates exactly one money-out transaction from the chosen trust account and one money-in transaction into the chosen operating account.
This feature can be accessed under Activities > Invoices > Invoice Payment Using > Existing Trust Retainer.
You no longer need to select an invoice before using this function!
This will then launch the new ‘Invoice Payments from Existing Trust Retainers’ screen.
A few important changes to note on this screen:
- Instead of seeing a list of one matter’s invoices, you are seeing a list of matters which have an unpaid balance greater than zero and funds available in the selected bank (bank account selection made at top-left).
- Selecting a different trust bank on the left panel will refresh the matter grid to show those with available balances in that particular account.
- The memo of ‘Trust to General Transfer’ has been automatically populated. You can change this memo if needed.
- By default, when selecting a matter from the list, the system will apply all available funds (for that matter in that trust account) to their unpaid balance. If you would like to change that applied amount, you can click on the pencil icon (edit) next to each matter which allows you to adjust the amount applied.
- You can also change the applied amount on each individual invoice for that matter (by default, these payments will apply to the oldest invoice first). Next to that pencil icon, there is a details icon which, when clicked, will show the breakdown of that matter’s unpaid balance, and you can again utilize the edit icon to change the applied amounts or un-check an invoice completely so that no funds are applied to that invoice.
Once the applied amounts are designated and the transaction details are entered, click ‘Receive Payment’ as you normally would in order to apply the chosen amounts to their respective matters.
Transaction Detail Updates
Using the Bulk Trust to General Transfer function will produce one transaction on the trust bank level, but also individual entries on the matters affected.
When locating this transaction from the bank level (Accounting > Bank (Trust Account) > Details > Transactions), you will see a transaction for the full transfer amount.
- When the transaction is related to one client and one matter, the client and matter names will display as they normally do.
- When the transaction is related to multiple matters for one single client, the client name will be displayed as-is but the matter column will display *(Matter) to represent this transaction’s relationship to multiple matters.
- When the transaction involves multiple clients and multiple matters, the bank transaction grid will display *(Client) and *(Matter) in the client and matter column respectively to represent this transaction’s relationship to multiple clients and matters.
You will also see the pre-populated memo of ‘Trust to General Transfer’ (unless overwritten in payment screen).
If you click on the transaction details icon (orange arrow, far-right), you will see a breakdown of the total debit, the invoices affected, and the matter totals affected.
Note – not all entries are visible in this screenshot.
Upon editing this transaction, there is data, like most transactions, including date, amount, pay to, and account that cannot be edited. To make those changes, you will need to delete this transaction and reapply the payment.
Also, memo 2 (internal memo which prints on check stubs) now includes the file names of linked matters.
When viewing the transaction on the matter level (Matter Details > Banking), you will notice a new column titled ‘matter amount,’ in addition to the ‘amount’ column. This allows the transaction to reflect the total amount (which is linked to multiple matters) as well as the amount linked to this particular ledger. Only the matter amount will contribute to this matter’s ledger balance.
In Ontario, when transferring funds from trust to general electronically, you need to generate a form9A. With the introduction of the new Bulk Trust to General Transfer feature, this form has now been updated to list all linked matter ledgers if completing this bulk operation electronically.