Rounding Error

This article is to assist you when your invoice has a 1 cent rounding error.

In some limited circumstances when working with invoices, there is a chance that you have experienced a rounding error where the invoice total is incorrect by 1c or, where you are trying to get to a fixed fee inclusive of GST and you are unable to get to an exact figure. For example, you are unable to produce a fixed fee invoice inclusive of GST for $500

This is due to the background mathematics when calculating GST.

Below is a workaround to combat this issue when it arises.

Add a -1c disbursement to the invoice.

For now, the workaround for this is to do a 1 cent disbursement on the invoice with no GST.

• Click on the Global Create Button and select Disbursement (under the Timesheet heading)

• Under the Template section, click on the drop down menu and select Create New.

Fill in the following fields:

• Description
• Unit of measure - Each
• Pricing - 0.01
• Keep the box GST inclusive checkbox ticked.
• Default Quantity - 1
• Account Code - 6-9999 Sales and Purchase Rounding Errors (add this to your general ledger if there is not one already)
• GST Code - N-T- No Tax (0.00%)

• Click Save

Once saved, you'd be creating a -0.01 disbursement section of the invoice which should correct the issue.

This workaround will add a -0.01 disbursement to your clients invoice. You can remove this line manually however, please note that the total of all the line items in the invoice will then not total correctly.

FAQ's

Q.

I have created a draft sales invoice and need to apply a discount to bring the invoice total down to match the funds held in trust. Unfortunately the fixed fee option when applying the discount only allows two decimal points. When I enter $431.45 as the fixed fee discount, the total of the invoice is 1 cent over what I need it to be. When I enter $431.46 as the fixed fee discount, the total of the invoice is 1 cent less than what i need it to be. Do you have a solution so I can match the figure?

A.

Create the invoice as 1 cent more than what you need it to be, apply the trust funds to the invoice so that you have 0.01 amount remaining. You can then write off the 1c. If you are using a Xero/QB integration you will need to create a credit note for 0.01 and apply the credit note 

Q.

I am experiencing a tax rounding error issue when creating a credit note for $144.37 where the non-taxable item of -$0.01 is being added. However, the credit note cannot be created in Xero and I receive this error message "XERO API Exception Detected:

#1: The document total does not equal the sum of the lines..". Is there a known way to get around this problem without causing any reporting errors?

A.

For this we want the total outstanding in Actionstep to be the same as Xero (we want all records to match).We will most likely want to credit this amount as you would not be using write offs if you have a Xero/QBintegration. Be careful that no one else is approving invoices or completing transactions that rely on the integration.

Go to Admin – Integrations – Click on Manage next to Xero – go to Xero Mapping and then turn off sales invoices (if you are having problems with credit notes/sales invoices). Remember: when you turn this off if you approve invoices they will not flow through to Xero/QB so be sure no is entering anything when you do this.

Find your invoice that you would like to credit – create the credit and note and apply it to the invoice. You will not get the warning message as you are no longer integrated with Xero.

Turn the sales invoices back on (as pictured above).

Then go to Xero and create a credit note for the same invoice. That way they both match.