Accounts Root type defaults to Asset as from second child level?

ERPNext Accounting
1

I’m setting up ERPNext: v7.0.27, Frappe Framework: v7.0.22 and come accross a problem in accounts, root type.
Although other root types like Liability, Equity, Income or Expense are choosen, the root type falls back to asset always.
This puts a hold on further setup!

Is there any setting, which causes this unrequired situation or is this a bug?

Thanks for any help.
Gerard

2

If you are creating an account under “Asset” root node, you cannot select other than root type Asset. What’s the use case?

3

In the Dutch accounts system a 10 categories (decimal system) is used, in which Ledger compaction is applied.

Related ledger accounts are added together wherever possible, where the so-called decimal system of accounts is used.
The decimal accounting system ranks the ledger accounts into ten main groups, called sections. The ten categories are (google translation :slight_smile: ):

  1. Bills of fixed assets, equity and long-term debt
  2. Accounts receivables and short-term debt and (accounts) means of payment
  3. Suspense
  4. Bills of stocks of raw materials and consumables
  5. Help Bills equity, ie the cost accounts
  6. Bills of indirect costs
  7. Manufacturing Accounts
  8. Bills Stocks of commodities (in trading)
  9. Help Accounts of equity, being the sales accounts (sales accounts)
  10. Help Bills equity, ie accounts for exceptional results

Further distribution in sub accounts are made, which on turn belong to different Root Types. Hence the requirement for alternative root types as from the second child.

Common are Dutch root types, as shown in the table, which correspond with ErpNext as show, while ErpNext is comprehensive and uses some additional types, which are usefull to us too.

The second image will be sent by the following reply due to the limitation of one image for new users.

I hope you can accomplish the feature of different root types as from the second level downwards.

Thanks, Gerard

4

Example of setup of typical Chart of Accounts, in which the decimal system is applied.

Pasted image431×648 14 KB

5

It would not possible directly from erpnext.

But you can contribute chart of accounts for Germany using our portal https://charts.erpnext.com. There is already a template for SKR03 and SKR04, you can modify them or create your own. We will include contributed chart of accounts in the erpnext repository after some verification from other users.

6

Hi folks,

Same problem here in Spanish Chart of Account, we should have different root types in child level. For instance, inside Group 4, we have an asset child and a liability child.

Is there any way to do this? Cause without this, it seems impossible to us to create our Chart of accounts.

Kind Regards,

Rubén

7

I am starting implemention of ErpNext in the Netherlands. I am interested to share experience.
Are you still involved in the use of ERPNetx ?

8

Since account numbering is implemented, I started again to introduce ErpNext. Sofar installed ErpNext in a docker on our webserver and are setting up the chart of accounts. Idea is to introduce the various company processes step by step.

Are you yet involved ?

9

Yes,

I am starting again with R 12.

Met vriendelijke groeten, Kind regards,

``
Frank Messie

Braedius
Medical

Braedius Medical BV
Bikbergerweg 18
1272 PM Huizen,The Netherlands
Email: frank.messie@braedius.com
Phone: +31(0)358876100
Mobile: +31654665520
Web: www.braedius.com

10

Hi (Hola!)

First of all, thanks to the team for the nice software (this is my first post and I have to say it).

Spanish also here, same problem, we need child accounts to have different roots type in order to succeed in the implementation. Here is an example, the taxes the company pays when it receives an invoice from a supplier, and the taxes applied when the company bills an invoice to a customer.

Here is the screenshot of that part of the account chart:

imagen_coa
imagen_coa1325×579 77.1 KB

Also, I’ve a cvs file that imports correctly into erpnext, only after following this tip:

https://github.com/frappe/erpnext/commit/5541aeaa82f520881ad10eee4eed1df5042ed3d8

I have to say the columns “Account Type” and “Root Type” are still kind of messy and may need some work and revision, I was hoping that they could be edited once imported, the field “Account Type” yes, it is posible, but the field “Root Type” once created the account it cannot be changed and depends on the parent, so it needs to be worked out before importing the file.

I did the job to write all ~960 accounts (more or less), account groups (9), subgroups and ledger accounts, but the issue with “Root type” account really need to be fixed. I see from other european countries that they have the same trouble.

I’ll like to share the file, but I see https://charts.erpnext.com/ still not up, if you point me to the right place (or I find it myself) I’ll share it in order to finish the job (revision of account and root types).

Anyway, thanks again and I will look forward a solution to this, help with tests and hopefully contribute to the community, love to all Free/Open Source Software.

Best regards to all!!

1 Like
11

We are also facing the same issue with one of our client. They are following the GAAP accounts where asset and liability is coming under one class. But ERPNext won’t allow us to create subaccounts with separate root type.

12

Hi @ayito, did you actually succeed in configuring a proper chart of accounts as shown in your screenshot? And if so, do you have any pointers on how this can be achieved?