Odoo Accounting Software with Financial Management offers you various benefits and advantages from Community edition (Free Version) as well as addons from Enterprise edition. Many Businesses have respective systems and departments for Accounting in any ERP Software, as per the size of a company as acquired these applications at different times and implemented each for its primary purpose an accounting package for the books and financial management, or ERP for operations or stock input management.
The concentration of Accounting is on the main aspect of any company depends on the virtual operation and the management of the various standards of finance in the company could bring in at most profit for the investment as well as reduce the losses. To manage the account and financial hours of employees and managers in the respective departments of the firm. There are specific Accounting packages available in the market that only maintains and manage Accounting areas of the business.
Odoo Accounting Module offers you with complete accounting software package including handling of other departments, In this blog post we would be covering complete and full Odoo accounting features that will help you to choose Odoo ERP software for your business. Globalteckz at times have even replaced standalone Accounting software with Odoo ERP Implementation.
Odoo ERP is one of the best Open-source ERP with its advantages over the operation of the accounting system of a company than other management solutions. The Accounting Module is considered as one of the best-advanced management software at the final stage of operation of a company. The Odoo Accounting Module is a user-friendly platform and provision with various advanced features along with the integration ability to add and taking various third party payment gateways into the business with Odoo.
Globalteckz being worked with more than 100+ clients on Odoo Implementation and development by replacing many stand-alone Accounting software with a single system for all departments ie: Odoo ERP. From our experience of following are the Advantages and Benefits of Odoo Accounting Module + Using other features such as Sales, Purchase, Inventory, HR, Manufacturing for benefitting the business with a complete ERP package.
Standalone accounting packages offer basic financial reports like income statements, balance sheets, and so forth. In contrast, Odoo ERP offers many more varied types of reports. Examples include cash flow projections based on inventory management and order statuses and accounts receivable aging overlaid with customer order pipeline. These reports give you more than just financial data. They help you manage your business more effectively.
Automation helps with productivity. By having Odoo ERP and accounting linked, it’s easier to automate workflows that cross between the two systems. When you use Odoo ERP for accounting, many accounting and financial tasks can be completely automated.
For instance, you can streamline accounts receivable and accounts payable management and cash management.
Automation also lets you track financial transactions more quickly.
Having separate systems usually means manual re-inputting of data from one software to the other. Integrating Odoo ERP and Accounting Module removes this tedious process of data entry and avoid duplications. Odoo Accounting Module makes data entry fast and consistent.
Manual data entry is egregious prone to error. These include exchange digits and incorrect client names, etc. These can cause calculation mistakes, which then take time to unwind. You can also see who did what, for each transaction, in case you need to track down someone who made a mistake.
Using Odoo ERP for Accounting & Financial management gives you more control over your business. You can see the bottom-line impact of events and decisions in real-time. Lets have a look on full and complete Accounting features of Odoo ERP software.
Below Screenshots have been taken using Odoo 14 Enterprise Edition for Odoo 12 & Odoo 11 Accounting module the functions somewhat remains the same with extra addition in functions. Forthcoming versions such as Odoo 15 may have add-on functions for betterment in Accounting and financial management. A Demo can be scheduled with our accounting experts for a detailed review of Odoo Accounting module in the latest version.
The accounting dashboard of Odoo 14 is accoutered with advanced options to run the financial aspects of the company. The menu options to deal with the customers, vendors and the advanced analytical reporting functionalities makes the modernized module to be user-friendly.
The Below image outlines the view of the accounting dashboard in that the user can view summarize tax invoice operation, invoice generation, connect with the bank, generate and view vendor bills, and many more for the home view of the accounting module.
In the Customer tab of the Invoice window, invoices for various customers could be directly created. The respective customer bill user can create as per the Product Purchased. The invoicing functionality is integrated with the point of sales of the Odoo platform.
All the generated invoices can be viewed from the invoice window and various actions can be taken upon them. The below image outlines the invoice creation window as per the user selection of the respective customer along with the product purchased.
The user can conduct various operations under the customer window other than invoice generation such as:
Customers: The user can view all the respective customer lists from the window and could add new ones as per the requirements.
Follow up report: The various follow-up operations on the invoice payment by the customers could be followed up on the delay and payment cancellation.
Products and Services: With clear and complete quotations of your products and services that your company is offering to the prospective customer you showcase your product in a more professional way. With the Odoo Account module, you can add descriptions, images, additional information by just drag and building blocks.
Accounting Dashboard provides the vendor’s menu with functional operations such as payments, refunds, creation of vendors, and many more. The Odoo platform by the user can be triggered by all the operations with respect to the list of vendors.
Bills: All types of Vendor Bill from the menu can be generated, the generated bill is based on the delivered product or the ordered ones as per the preference. The prices are discussed earlier in PO and an agreement is made with the Vendor. The below image states the bill creation menu where the bills are created for the respective vendors based on the products.
Refunds: In the case of exchange and return of the products such as operation based on various terminologies of business operation. The refind option allows the users to request for the amounts to be refunded based on the items being listed out in the window.
Payments: We can view all the payment type operations of the company towards the vendor bills. The aspect is connected with the accounting module to integrate a real-time operation.
Vendors: In this window can be seen as a list of the vendors. Many operations can conduct on the contact details along with the credentials aspects for every list in the detail.
In the Accounting Module menu, the user can make various accounting operations listed out. The journal entries can be reviewed and checked upon. There is a list of types of ledgers available on the platform and the operations on each is listed out. In addition, various management operations such as asset management, transfers, revenue management could be conducted from the respective windows and actions such as reconciliation and lock dates on various accounting aspects can be created
In Odoo Accounting Module the Reporting Function provides graphical analytical report generation options. The users are allowed to generate various financial reports such as profit and loss, balance statements, and etc. In the Indian region with the new update in Odoo allows the users to generate reports based on the GST operations
The Odoo provides the provision to the user to generate various generic reports such as:
Balance Sheet: The balance sheet is a legal, public document that must be provided to the state yearly. As the reflection of your accounting, it summarizes the company’s liabilities, assets and equities at a precise point in time. The Balance Sheet shows a snapshot of the assets, liabilities and equity of your organisation as at a particular date.The company’s all financial operations and the equity amount left in the company accounts are depicted here.
(P&L)Profit and loss balance sheet: All the profits and loss of the company’s business operations with help of various filtering can listed out all operations and also available by group options
Cash flow statement: The all-cash flow details of the company operations of all aspects of the operation are showcased.
Partner reports: The reporting module of Odoo allows the users to generate various reports based on the partner operations of the company. The reports such as partner ledger, aged receivable, aged payable. All the reports and analytical data based on these could be viewed and generated over here.
Run the Aged Payable Details report to display information on individual bills, credit notes and overpayments owed by you, and how long these have gone unpaid.
The Aged Receivables report shows the sales invoices that were awaiting payment during a selected month and several months prior
Chart of Accounts: Company can install predefined Chart of Account with respective region. A listing of all accounts grouped by class.
Executive summary: The summary report on the various financial aspects of the executive operations are showcased here.
The Executive Summary allows for a quick look at all the important figures you need to run your company.
In very basic terms, this is what each of the items in this section is reporting :
The audit function reports of the company could be derived from this window. These would be beneficial in understanding the company operations and the financial status of the company. The various audit reports such as general ledger, trial balance, consolidated journals, tax reports, and journal audits reports could be generated from this window.
These functionalities and advanced tools of the Odoo 14 accounting module will drive the user to rely on them for all the financial aspects of the company. In addition, the module could be considered as a handy tool to manage the assets and the liability operations which the company is responsible for.
The General Ledger is the primary accounting record for a business. It tracks all financial transactions and is used to generate the company’s financial statements, including the Income Statement and Balance Sheet
A trial balance is a list of all the general ledger accounts (both revenue and capital) contained in the ledger of a business. This list will contain the name of each nominal ledger account and the value of that nominal ledger balance. Each nominal ledger account will hold either a debit balance or a credit balance.
The consolidation method works by reporting the subsidiary’s balances in a combined statement along with the parent company’s balances, hence “consolidated”. Under the consolidation method, a parent company combines its own revenue with 100% of the revenue of the subsidiary.
A tax return is a form or forms filed with a tax authority that reports income, expenses, and other pertinent tax information. Tax returns allow taxpayers to calculate their tax liability, schedule tax payments, or request refunds for the overpayment of taxes.
Users can Configure the Journals Audit need to print
Journals Audit Report will print in PDF format
Payment Refactoring Option (Reconciliation)
The user can update the balance sheet in real-time and sync it with bank statements. The suspense account in the Bank journal has been improved, and it will help keep track of the ream time bank transactions. The user can keep a direct relation between the balance sheet and the bank account. Suspense accounts will be automatically updated as soon as the user reconciles their bank entries. Odoo has added new transfer account in its v14 accounting module, and they are:
Until reconciliation, all the bank payments will be tracked in these accounts. The user has an easier way to keep track of the statements that are needed for reconciliation. It could be tricky to find the differences between General Ledger and the bank statements because of manually inserting journal entries. Now, Odoo will notify its users about the accounting entries not reconciled by Bank Statements or Payments.
The above functions and features of Odoo Accounting App is based on version 14, There may be further customizations which can be performed based on the requirements. For further questions or a free demo to understand processes and functions of Odoo Accounting feel free to contact us on firstname.lastname@example.org