Setting an Opening Balance for a Bank Account

Most people will choose to start entering data into Landlord Vision from a given day, usually the start of the current tax year.  If you want to set your bank balance to be the amount you had on that day, go to Settings > Chart of Accounts > Bank Accounts and then click on the name of the account.  Enter the Opening Balance in the relevant space in the pop up window.


Setting an Opening Balance if you have added previous transactions

The opening balance assumes that there are no previous transactions, so it just adds or substracts to the balance.  Here is what to do if you have some transactions in from before your start date

1. Go to Reports > All Reports > Balance Sheet, set To Date to your LV start date and click Apply to update the report. Write down the balance against the bank account. For the purposes of this example, let's assume that the balance is £10,000.

2. Using your bank statements, check the opening balance of your bank account on the same day.  Write down the balance. Let's assume the bank balance was £25,000.

3. Go to Account Manager > Bank Accounts > hover the mouse pointer over the bank account and choose Edit Account from the cog menu.  Enter the difference between the actual bank account balance (see step 2) and the Property account balance in Landlord Vision (see step 1). If the difference is positive then enter the opening balance as a 'Debit'. If the difference is negative then enter the opening balance as a 'Credit'. Using the sample figures above the difference is £25,000 - £10,000 = £15,000 and therefore we will enter the opening balance as a £15,000 'Debit'. Now the bank account balance in LV should match the actual bank account balance as at 6th April 2017. What is remaining is to also load the actual bank balance in Landlord Vision - please see next steps.

4. Go to Account Manager > Bank Accounts > click on the bank account > Bank Statements > click Import Bank Statement and click on template for manual bank statements to download a template for bank statements.

5. Open the bank statement template in your spreadsheet software and enter your LV start date in the Date column and the opening balance of your bank account as at the same day (see step 2) in the Amount column. Save the spreadsheet as CSV file.

6. Back in Landlord Vision, Go to Account Manager > Bank Accounts > click on the bank account > Bank Statements > click Import Bank Statement, click Choose File' choose the updated bank statement file (see step 5) and click Upload.

Once you have imported and reconciled all the bank statements since your LV start date, Statement Balance should match Account Balance.

Please note that the bank statement imported on step 6 above should remain as unreconciled. The reason is that you have a number of transactions in Landlord Vision prior to the LV start date but not all the transactions and that is the reason why the opening balance of your actual bank account and the account in Landlord Vision as at the LV start date differ and you cannot reconcile the two opening balances.

If you don't want to have any historical transactions, set the Start Date of the Payment Schedule to be your Landlord Vision start date.  See the Tenants section of this guide for more information.

Remember that the Debit and Credit options in the balance type follow the golden rules of accounting. Therefore, a Debit will add an amount on to the balance and a Credit will take it off.