First, Kudos to the ERPNext team for such a simple and elegant ERP Software.
We are in the process of implementing ERPNext into our company. But we have decided to do it in the second quarter of our financial year. I did go through the manual about preference to implement at the beginning of a Financial year but, we really want to start off as this would help us streamline our method of operation. And now that is where I really really need help.
I am not much in to accounting so my knowledge is a limited. I have got a fair knowledge of opening balance and manual entries of unpaid invoices for tracking. But we want to import the accounting data of the first quarter as well into ERPNext to be able to better track our progress this year. Basically we want to start with opening balance of the start of this Financial year, import all the sales, purchase, expenses, Taxes etc data of the first quarter and then from day “0” start all our transactions via ERPNext.
For us what would be the right method of entries to capture our old data. I am assuming, we can pass JV’s of all the data and debit/ credit it under respective accounts. Am I thinking right? if not what would be the correct method to the include old data into ERPNext.
if you are asking for the whole process it is not possible to answer it in one single post … try read documentation about data import tool if you were having issues in the process the community will be glad to answer.
I have gone through the documentation, but didn’t find a detailed content on data migration methodologies. My question is more of accounting related than ERPNext software. I believe its common knowledge so its not part of the documentation. But my knowledge is limited wrt accounting/book keeping.
If someone could guide me with an example in one of the entries on the double entry system that would be great start. I believe that logic will be common across all types and it would be a matter of choosing the right account for double entries.
Below is a trial entry i have made of the old sales from our legacy system. I believe this logic would remain same across all accounts (purchase, stock etc) wrt crediting and debiting to different accounts to keep the double entry system null.
Is my thinking right? or is there any other way to do it? If this is right, I am thinking I will import all the data using
Journal Entry - for Sales, Purchase data
Bank Entry - For payments made, received and Expenses
Cash Entry - For payments made, received and expenses.
I am thinking I will not make any stock entries of the old data, but I don’t know if that is right. My company is mainly into made to order items. So I am assuming I can forego the stock entries of all the old data and start off with data on what is currently in stock and production. Any tips on that?
The problem with starting in the middle of the financial year is that you would have to pull data from two different systems for audit.I would suggest to have a separate “Upload Account” configured for data upload as these numbers are easy to track then for audit.
Try to close as many Purchase and Sales Invoices as possible before the cutover to ERPNext.The remaining ones would need to be imported via Data Import Tool or manually keyed in based on the number. This will give you the debtors and creditors.
For bank, you can import the data using a JV upload. If you have any assets to be uploaded , you will need to think about those too.You will need to adjust the accumulated depreciation,remaining life before uploading accordingly.
I Guess that would be better way to start off. But my question was about the data entry itself. Even if I have to enter into upload account, is the process I mentioned in my earlier post correct? or is there any other way to do it?
Have a look at the data import tool, I think for Open Sales Invoices and Open Purchase Invoices to do a journal entry is not correct as you could potentially be doing receiving material against Open PO’s and receiving payments against invoices.
You can pass a JV for opening Bank entry and Cash Entry.
Journal entry are not for open invoices but for closed transactions. As I mentioned that we want to implementing ERPNext mid of the financial year, we need those old closed transactions in the ERPNext system.
You can then use Journal entry with appropriate references to old transactions.Although I am not sure what one would do with closed invoices in the new system, as closed invoices are already paid, so the amount received should be already part of your bank entry that you are planning to upload.
Hi, did manage to process migration? I was also trying to migrate in same way, but struggling with below 2 issues.
I have not imported old invoices. But while importing journal entry of old payment against these invoices, system is asking me to mark as advance.This I am not convinced with.
In multi currency entry system is not able to match debit with credit, first due to rounding off errors which is acceptable. But otherwise also it’s not able to calculate either debit or credit amount. So the difference is full credit or debit amount.
If you have faced any of above issues, please guide the solution. Also did the approach work for you?
I strongly suggest that you migrate master files and cut off balances only (GL and subledgers). Your PL statement will be fine if you have the year to date balances. You don’t need all the detail in the new system. For history (paid invoices, for example) you will have the detail on the old system. If you try to migrate historical transactions, it is way more complicated, and things will not balance since there are so many tables that are updated when you post a transaction. It will be very difficult to keep your subledgers in sync with the GL. You will have the same problem, even if you do it at the end of the year.
Hey @fblauer, Thanks for reply. Yes it was very complicated to have old transactions in the new system. But after many back and forth we managed to import 6 months records. Imported Purchase Invoice, Sales Invoice and all the journal entries after creating opening entry for 1-April-16. The payment allocation was done manually through system tool “Match Payments with Invoices”. Luckily eventually everything matched with old system, and results were astonishing.
But overall it was a very tedious task, I would not recommend it unless you have very demanding (&/or paying) management or client.
