Using Controlled Money Accounts (AUS)

In this article:

• Adding a Controlled Money Account to Actionstep
• Linking the GL Account to the Controlled Money Bank Account
• Opening a Controlled Money Account on a Matter
• About Controlled Money Account Transactions
• Reporting on Controlled Money Accounts

In Australia, your clients can open a new bank account with an approved bank and make your firm the manager of the account. This way, funds always belong to the client but the account is managed by your firm.

To enable this workflow, you basically set up the right number of bank accounts (as you would for a regular trust current or investment) except when adding the trust bank account in Admin > Trust accounting, you select the bank Account Type as Controlled Money Account. From there, it works like any other trust current/investment except when you open a new matter account, you must specify additional data like the bank name + account number.

Adding a Controlled Money Account to Actionstep

To do this:

1. In Actionstep, go to Accounting > Accounts > Accounts List. The Accounts List page appears.
2. Click the Display drop-down list and choose to Master Accounts.
   
3. In the Trust Funds section, click the green plus icon.
   The Add Account window appears.
4. Provide the following information:
   • Account number: Enter the GL account number, not the bank account number.
   • Account name: Enter the GL account name.
   • Account type: Select Bank.
5. Click Save. (Do not link the bank account at this stage.)
   

Linking the GL Account to the Controlled Money Bank Account

The next step in this process is to link the GL account with the controlled money bank account.

To do this:

1. In Actionstep, go to Admin > Trust accounting. The Trust Accounts page appears.
2. In the Bank accounts section, click the plus icon to add a new bank account.The Add Trust Bank Account window appears.
   
3. Click the GL Account drop-down list and choose the newly created GL account you created in the previous section. 
4. Click the Account Type drop-down list and choose Controlled Money. 
5. Set the Status to Open. 
6. Click the Bank contact record drop-down list and choose the contact you've set up that represents the bank.
7. Set the next two required fields to be generic since you will set the client's CMA account details in the matter itself:
   
   • Account number: Enter the text Not Applicable.
   • Account Name: Enter a name like Controlled Money Account (or something similar).
8. Click Save to save your changes and create the account.

Opening a Controlled Money Account on a Matter

To do this:

1. In Actionstep, view the matter you want to use with a controlled money account. (See Editing a Matter for help.) 
2. Click the Trust account menu icon. The Trust page appears.
3. Make sure you're viewing the Overview tab, and click Add an account (located in the This Matter card).
   
4. Click the Trust account drop-down list and choose the account for your controlled money account.
5. Set the Account Opening Date.
6. In the Controlled Money Account Information section, add individual account information for the specific clients controlled money account.
   
7. Click Save to save your changes.

The account is now open and you can receive funds as you would any other trust account. 

About Controlled Money Account Transactions

All transactions for a controlled money account must be entered using a receipt or a payment. Unless specified when adding the bank account, the first receipt will be numbered as 1. 

You can enter transactions from/to the controlled money account without needing to process it through your Current Trust account. 

The matter trust balance on the Billing > Overview page will reflect the total trust monies held on the matter, including the Current Trust Account and the Controlled Money Account. The Trust > Overview page shows the breakdown between any trust accounts on the matter.

Reporting on Controlled Money Accounts

 A controlled money account is not available for reconciling. The following reports are available to assist with your reconciliations for your controlled money accounts. They can be accessed by going to Reports > Trust Reports > Trust Accounting Reports.