Supporting the Month-End Journal Entry

• These instructions assume you are running reports with the pre-defined system settings. If the settings for a report have been modified, you may want to restore the original settings via the Revert to Default Layout action.
• Before running any report, verify that the structure and accounting month criteria are correct.
• Journal entries are generated by agency, so you should run each report for each agency, or run the reports with a Major Sort of Agency and page break by agency.
• When running a report for multiple agencies, verify that all agencies have the same settings in Accounting Methods Configuration. The Income posting breakdown setting is system-wide, but agencies may differ in their Agency Commission, Producer Commission, and Broker Commission posting methods.
• To verify postings to Income or Expense accounts, you may want to run reports for structure levels other than agency.
• To verify figures for subaccounts, make sure you sort the reports accordingly. For example, sort by Billing Company when running the Account Current Report.
• Remember that it is determined at the individual account detail level whether a producer will post to the General Ledger (via the Automatically post to GL checkbox). If this option is not selected, the producer will display on the report output but will not be represented in the month-end journal entry.
• Remember that the subaccount to which a company/producer/broker posts is not necessarily the same as the lookup code for that entity. Check the account detail for the entity to verify the subaccount.

• Criteria:
• Accounting Month: Current Default Month
• Pending Items: Exclude
• Reversed Transactions: Exclude Reversed Transactions in Same Month
• Transaction Code: Exclude codes with a Class code of FEES, MSUD, and SCHG.
• Sum the Agency Commission amount per agency.

• Criteria:
• • Include all structures/companies
  • Accounting Month: Current Default Month
  • Adjustments: Include
  • Reversed Transactions: Include
• Layout
• • If your system is set up to enable binder bill transactions, use the Binder Detail layout; otherwise, use the Complete Detail layout.
• If your system is set to recognize installment revenue immediately, instead run the Production Report for Transaction Classes ACUR, FEAC, and TXAC, excluding installments.
• • In this case, the Net Premium would be the Transaction Amount total minus the Agency Commission Amount total.
  • To match the Account Current Report layout, add a Major Sort of Commission.Billing Company Code.
• To verify the debit entry to Accounts Receivable, check the total premium amount at the end of the report.
• To verify the Premium Payables credit entries, check the net premium amounts per premium payable entity.
• To verify the Binder Bill Payables entries, check the amount in the Net Binder Premium column per premium payable entity.
• To verify the Unearned or Accrued Income amount, check the total agency commission amount at the end of the report. To support entries that include income posting breakdown, do the following:
• • By Premium Payable: Look at the agency commission amount per premium payable entity.
  • By Policy Status: Run the report with a Major Sort of Commission.TransactionLineStatusCode and look at the agency commission amount per line status per branch and department.
  • By Policy Type Class: Run the report with a Major Sort of Commission.LineTypeClassCode and look at the agency commission amount per line type class.
  • By Producer/Broker: Run the report with a Major Sort of Commission.Producer/Broker.Producer/BrokerCode and look at the agency commission amount per producer/broker.

• Criteria:
• • Accounting Month: Current Accounting Month
  • Transaction Class: OPEN
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment: Include
• Major Sort by Agency
• Compare the total transaction amount to the journal entry figure

• Criteria:

• Accounting Month: Current Default Month

• Pending Items: Exclude

• Reversed Transactions: Exclude Reversed Transactions in Same Month

• Transaction Code: Select codes with a Class code of WROF.

• Sum the Unearned Commission amount per agency.

• Criteria:
• • Accounting Month: Current Default Month
  • Receivable Write-Off: Include
  • Premium Payable Write-Offs: Exclude
• To verify the debit entry associated with each account, run the report with a Major Sort of Transaction Code and sum the write-off amount per GL account.
• • If the agency is not on an Accrual basis, sum the results of all transactions offsetting an Income account and compare this amount with the debit entry to Agency Bill Unearned Income.
• To verify the credit entry to Accounts Receivable, sum the write-off amount for the entire report.

• Criteria:
• • Accounting Month: Current Default Month
  • Transaction Class: DBIL, FEDB, TXDB, include adjustments
• To verify the debit entry to Direct Bill Commission Receivable, sum the agency commission amount for the report.
• • If the agency is installed to post receivable by premium payable entity, you will need to run the report with a Major Sort of Commission.PremiumPayableCode and sum the agency commission amount per premium payable entity.
• To verify the credit entry to Direct Bill Income, sum the agency commission amount for the report. To support entries that include income posting breakdown, do the following:
• • By Premium Payable: Run the report with a Major Sort of Commission.PremiumPayableCode and total the agency commission amount per premium payable entity.
  • By Policy Status: Run the report with a Major Sort of Commission.TransactionStatusCode and total the agency commission amount per line status.
  • By Policy Type Class: Run the report with a Major Sort of Commission.LineTypeClassCode and total the agency commission amount per line type class.
  • By Producer/Broker: Run the report with a Major Sort of Commission.Producer/Broker.Producer/BrokerCode and total the agency commission amount per producer/broker.

• Criteria:
• • Accounting Month: Current Month
  • Receivable Write-Off: Exclude
  • Premium Payable Write-Off: Exclude
  • Direct Bill Write-Off: Include
• Verify the Direct Bill Income debit entry by summing the Unearned Agency Commission Amount for the report if there is no Income Posting Breakdown.
• To support Income Posting Breakdown entries, do the following:
• • Verify the Premium Payable entry by adding Commission.PremiumPayableCode as a major sort and totaling the Unearned Agency Commission Amount per premium payable entity.
  • Verify Policy Status by adding Commission.TransactionLineStatusCode as a major sort and totaling the Unearned Agency Commission Amount per status code.
  • Verify Policy Type Class by adding Commission.LineTypeClassCode as a major sort and totaling the Unearned Agency Commission Amount per type classification
  • Verify Producer/Broker by adding Commission.Producer/Broker.Producer/BrokerCode as a major sort and totaling the Unearned Agency Commission Amount per broker/producer
• To verify the Direct Bill Commission Receivable credit entry:
• • Add the Direct Bill Commission Write-offs criterion to the Criteria list and set it to Include direct bill commission write-offs.
  • Sum the Unearned Agency Commission Amount for the report if Post receivable by premium payable entity is unchecked.
  • Edit the report layout to add Commission.PremiumPayableCode as a major sort, and then sum the Unearned Agency Commission Amount per major sort if Post receivable by premium payable entity is checked.

• Broker Commissions Deferred: Debits Broker Commission Expense
• Broker Commissions Now Due: Debits Deferred Broker Commission + broker subaccount
• Broker Commission Write-Offs: Debits Deferred Broker Commission + broker subaccount

• Broker Commissions Deferred- Credits Deferred Broker Commission + broker subaccount
• Broker Commissions Now Due- Credits Broker Commission Payable + broker subaccount
• Broker Commission Write-Offs- Credits Broker Commission Expense

• Criteria:
  Note: If you recognize installment revenue immediately, ensure that the Accounting Month and Production Month criteria are set to All and the General Ledger Transaction Month criterion is set to the current accounting month.
• • Accounting Month: Current Default Month
  • Retained Commission: Exclude
  • Pr/Br Agency Bill Commission: Accounting Method
  • Pr/Br Direct Bill Commission: Accounting Method
  • Broker External/Internal: External
• Layout:
• • Major Sort by Agency
  • Major Sort by BrokerCommissionReport.PrBrType
  • Major Sort by BrokerCommissionReport.BrokerCode
  • Add Subtotals for Transaction Amt, Agency Comm Amt, and Broker Comm Amt in the footer for all major sorts
• If not deferring commission:
• • To verify the debit entry to Broker Commission Expense, total the broker commission amount for all brokers.
  • To verify the credit entry to Broker Commission Payables + broker subaccount, total the broker commission amount for each broker individually.
• If deferring commission:
• • Broker Commissions Deferred
  • • Run the report with the Pr/Br Agency Bill Commission and Pr/Br Direct Bill Commission criteria set to Invoiced.
    • To verify the debit entry to Broker Commission Expense, total the broker commission amount for all brokers.
    • To verify the credit entry to Deferred Broker Commission + broker subaccount, total the broker commission amount for each broker individually.
  • Broker Commissions Now Due
  • • Run the report with the Pr/Br Agency Bill Commission and Pr/Br Direct Bill Commission criteria set to Accounting Method.
    • To verify the debit entry to Deferred Broker Commission + broker subaccount, total the broker commission amount for each broker individually.
    • To verify the credit entry to Deferred Broker Commission + broker subaccount, total the broker commission amount for each broker individually.
  • Broker Commission Write-Offs
  • • Run the Write-Off Report.
    • To verify the debit entry to Deferred Broker Commission + broker subaccount, sum the unearned commission amount per broker.
    • To verify the credit entry to Broker Commission Expense, sum the unearned commission amount for all brokers.

• Criteria:
• • Accounting Month: Current Default Month
  • Retained Commission: Include
  • Pr/Br Agency Bill Commission: Exclude
  • Pr/Br Direct Bill Commission: Exclude
  • Zero Broker Commission: Exclude
  • Broker External/Internal: External
• Layout:
• • Major Sort by BrokerCommissionReport.Broker External/Internal
  • Add Subtotals for Transaction Amt, Agency Comm Amt, and Broker Comm Amt in the footer for the new major sort
• To verify the debit and credit entries, total the Broker Comm Amt column.

External Broker Expense Interagency Payables/Receivables

"Sharing structure" refers to the main transaction agency structure. "Receiving structure" refers to another structure sharing a percentage of the revenue.

Debits: Interagency Commission Receivable + main transaction agency subaccount (in sharing structure). This includes write-offs.

Credits: Sharing Income + main transaction agency subaccount (in receiving structure). This includes write-offs.

Verify with: Transaction Interagency Payables/Receivables Report

• Criteria:
• • Month: Current Default Month
  • Retained Commission: Include
  • Pr/Br Agency Bill Commission: Exclude
  • Pr/Br Direct Bill Commission: Exclude
  • Zero Broker Commission: Exclude
  • Broker External/Internal: Internal
• Total the Broker Com Amt column to verify the debit and credit amounts.

• Criteria:
• • Accounting Month: Current Default Month
  • Receivable Write-Off: Exclude
  • Premium Payable Write-Off: Exclude
  • Direct Bill Write-Off: Exclude
  • Broker Commission Write-Off (additional criteria): Include for brokers, Exclude for producers
  • Producer Commission Write-Off (additional criteria): Exclude for brokers, Include for producers
• Layout:
• • Major Sort by Commission.ProducerBroker.PrBrCode
  • Add Subtotals for Unearned Pr/Br Com Amt in the footer for the new major sort
• To verify the debit and credit entries, total the Unearned Pr/Br Com Amt.

• Criteria:
• • Statement Type: Reconcile Direct Bill Commissions and Record Direct Bill Commissions
  • Accounting Month: Current Default Month
  • Statement GL Type: Receipt (additional criteria)
• To verify the credit entry to Direct Bill Income, sum the agency commission amount for the report. To support entries that include income posting breakdown, do the following:
• • By Premium Payable: Run the report with a Major Sort of Commission.PremiumPayableCode and total the agency commission amount per premium payable entity.
  • By Policy Status: Run the report with a Major Sort of Commission.TransactionStatusCode and total the agency commission amount per line status.
  • By Policy Type Class: Run the report with a Major Sort of Commission.LineTypeClassCode and total the agency commission amount per line type class.
  • By Producer/Broker: Run the report with a Major Sort of Commission.Producer/Broker.Producer/BrokerCode and total the agency commission amount per producer/broker.

• Criteria:
• • Accounting Month: Current Default Month
  • Transaction Code: PYMT (additional criteria)
• To verify the debit entry to Cash on Account, check the Grand Total for the Commission Received field.
• • If the agency posts cash on account by premium payable entity, use the Commission Received field per premium payable entity.
• To verify the credit entry to Interagency Payables, check the Grand Total for the Commission Received field.
• To verify the debit entry to Interagency Receivables, check the Grand Total for the Agency Commission Amount field.

• Criteria:
• • Accounting Month: All
  • Production Month: Current Default Month
  • Transaction Class: ACUR, FEAC, TXAC
  • Installment: Only Installments
• Layout:
• • Major Sort by Commission.PremiumPayableCode.
  • Add the Closed Payables field to the Details section of the layout, and add a total for Closed Payables to the Major Sort Footer.
• To verify the debit and credit entries, total the Closed Payables for each premium payable entity.

• Criteria:
• • Accounting Month: Current Default Month
  • Transaction Class: ACUR, FEAC, TXAC
  • Production Month: Open through Current Accounting Month
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment: Only Installments
• Major Sort by Commission.PremiumPayableCode
• To verify the amounts, total the Transaction Amount minus Agency Commission Amount per premium payable entity.

• Criteria:
• • Production Month: All
  • Accounting Month: Current Default Month
  • Retained Commission: Include
  • Pr/Br Agency Bill Commission: Exclude
  • Pr/Br Direct Bill Commission: Exclude
  • Installment Plan #: 1 - 999999
• To verify the debit entry to Deferred Receivables and the credit entry to Accounts Receivable, total the broker commission amount.

• Two possible options:
• • Option 1
  • • Run the Production Report for Class codes ACUR, FEAC, and TXAC
    • Also run the Miscellaneous Production Report for Tax, Fee, Service Charge, and Miscellaneous User-Defined transactions offsetting an Income account.
  • Option 2
  • • Run the Production Report for all transaction classes with an additional Transaction Code criterion including the following:
    • • All Tax, Fee, Service Charge, and Miscellaneous User-Defined transactions offsetting an Income account
      • All Account Current, Company Fee, and Company Tax transactions
• Criteria:
• • Accounting Month: Current Accounting Month
  • Production Month: Open through Current Accounting Month -1
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment: Only Installments
• To verify the debit entry to Accounts Receivable and the credit entry to Deferred Receivables, total the transaction amount.

• Criteria:
• • Transaction Class: FEES
  • Accounting Month: Current Default Month
  • Production Month: All
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment: Include
  • Revenue Deferral Schedule: Only (additional criterion)
  • Transaction Service Fee: Only (additional criterion)
• To verify the debit and credit entries, total the transaction amount per agency.

• Criteria:
• • Transaction Class: FEES
  • Accounting Month: Current Default Month
  • Production Month: All
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment - Include
  • Revenue Deferral Schedule: Include (additional criterion)
  • Transaction Service Fee: Only (additional criterion)
• To verify the debit and credit entries, total the transaction amount per agency.

• Criteria:
• Accounting Month: Current Default Month
• Pending Items: Exclude
• Reversed Transactions: Exclude Reversed Transactions in Same Month
• Sum the Unearned Commission amount per agency and subtract the sum of the Agency Commission Amounts.

• Criteria:
• • Accounting Month: Current Default Month
  • Agency Bill Commission: Accounting Method
  • Direct Bill Commission: Exclude
  • Reversed Transactions: Include
  • Zero Agency Commission: Exclude
  • Transaction Code - Exclude AFEE - Agency Fee
• If your system is not installed to post income by premium payable entity, you also need to run the Write-Off Report with the following criteria:
• • Accounting Month: Current Default Month
  • Receivable Write-Off: Include
  • Premium Payable Write-Off: Exclude
• To verify the debit entry to Unearned Income, total the two amounts described below.
• To verify the credit entry to Agency Bill Income, total the agency commission amount from the Earned Commission Report. To support entries that include income posting breakdown, do the following:
• • By Premium Payable: Run the report with a Major Sort of Commission.PremiumPayableCode and total the agency commission amount per premium payable entity.
  • By Policy Status: Run the report with a Major Sort of Commission.TransactionStatusCode and total the agency commission amount per line status.
  • By Policy Type Class: Run the report with a Major Sort of Commission.LineTypeClassCode and total the agency commission amount per line type class.
  • By Producer/Broker: Run the report with a Major Sort of Commission.Producer/Broker.Producer/BrokerCode and total the agency commission amount per producer/broker.
• To verify the credit entry to the GL accounts offsetting the write-off accounts (if applicable), total the unearned agency commission amount from the Write-Off Report.

Broker Retained Commission

• Criteria:
• • Production Month: Current Default Month
  • Accounting Month: All
  • Retained Commission: Include
  • Pr/Br Agency Bill Commission: Exclude
  • Pr/Br Direct Bill Commission: Exclude
  • Installment Plan #: 1 - 999999
• Layout:
• • Major Sort by BrokerCommissionReport.Broker External/Internal
  • Add subtotals for Transaction Amt, Agency Comm Amt, and Broker Comm Amt in the footer for the new major sort
• To verify the debit entry to Broker Commission Expense and the credit entry to Deferred Receivables, total the broker commission amount.

External Broker Retained Commission Expense

• Criteria:
• • Production Month: Current Default Month
  • Accounting Month: All
  • Retained Commission: Include
  • Pr/Br Agency Bill Commission: Exclude
  • Pr/Br Direct Bill Commission: Exclude
  • Installment Plan #: 1 - 999999
  • Broker External/Internal: External
• Layout
• • Select the Complete Detail - Share Expense layout
  • Add a major sort by BrokerCommissionReport.Broker.External/Internal
  • Add subtotals for Transaction Amt, Agency Comm Amt, and Broker Comm Amt in the footer for the new major sort
• To verify the debit entry to Broker Commission Expense (Broker Retained Commission - External Brokers), total the Broker Com Amt column in the External footer.

Internal Broker Retained Commission Expense

• Criteria:
• • Production Month: Current Default Month
  • Accounting Month: All
  • Retained Commission: Include
  • Pr/Br Agency Bill Commission: Exclude
  • Pr/Br Direct Bill Commission: Exclude
  • Installment Plan #: 1 - 999999
  • Broker External/Internal: Internal
• Layout
• • Select the Complete Detail - Payable layout
  • Add a major sort by BrokerCommissionReport.Broker.External/Internal
  • Add subtotals for Transaction Amt, Agency Comm Amt, and Broker Comm Amt in the footer for the new major sort
• To verify the debit entry to Sharing Expense, sum the Broker Com Amt column in the Internal - Not in System and Internal - xxx footers.

• Criteria:
• • Accounting Month: All
  • Production Month: Current Default Month
  • Transaction Class: ACUR, FEAC, TXAC
    Note: If any Miscellaneous User-Defined, Agency Fee, or Service Charge transactions offset an Income account, you will need to include these as well. Click here for further instructions.

    Do one of the following to ensure that these transactions are included:

    • Run the report for ACUR, FEAC, TXAC, MSUD, FEES, and SCHG transaction classes, with an additional criteria to exclude any transaction codes that do not offset income.
    • Run the report for specific transaction codes, including all Account Current, Company Fee, and Company Tax codes.
    • Run two reports, one for the ACUR, FEAC, and TXAC classes and a second for the specific additional codes that should be included.
  • Installment: Only Installments
  • Broker External/Internal: If internal broker premium payables exist, generate for only the internal brokers to verify the Interagency Deferred Broker Premium Payables entry, or use a major sort to obtain separate totals for external and internal brokers.
• Layout:
• • If your system is set up to enable binder bill transactions, add the Open Payables field to the Details section of the layout and add a total for Open Payables to the Major Sort Footer.
• To verify the debit entry to Deferred Receivables, total the transaction amount for all items, do the following.
• To verify the credit entry to Agency Bill Income, total the agency commission amount for all items. To support entries that include income posting breakdown:
• • By Premium Payable: Run the report with a Major Sort of Commission.PremiumPayableCode and total the agency commission amount per premium payable entity.
  • By Policy Status: Run the report with a Major Sort of Commission.TransactionStatusCode and total the agency commission amount per policy status.
  • By Policy Type Class: Run the report with a Major Sort of Commission.LineTypeClassCode and total the agency commission amount per policy type class.
  • By Producer/Broker: Run the report with a Major Sort of Commission.Producer/Broker.Producer/BrokerCode and total the agency commission amount per producer/broker.
• To verify the credit entries to Deferred Broker Premium Payables and Interagency Deferred Broker Premium Payables, run the report with a Major Sort of Commission.PremiumPayableCode.
• • If binder bill transactions are not enabled, calculate the Transaction Amount minus Agency Commission Amount per premium payable entity.
  • If binder bill transactions are enabled, calculate the Transaction Amount minus Agency Commission Amount minus Open Payables per premium payable entity.
• To verify the credit entries to Binder Bill Payables, run the report with a Major Sort of Commission.PremiumPayableCode and total the Open Payables per premium payable entity.

• Criteria:
• • Transaction Class: FEES
  • Accounting Month: Current Accounting Month
  • Production Month: All
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment: Include
  • Revenue Deferral Schedule: Include (additional criterion)
  • Transaction Service Fee: Only (additional criterion)
• To verify the debit entry to Deferred Income, total the transaction amount per agency.
• To verify the credit entries to the Income accounts, do the following:
• • Run the report with a Major Sort of Transaction Code.
  • Total the transaction amount for each code. This is the amount credited to the GL account that each transaction code offsets. If multiple transaction codes offset the same GL account, total those codes to verify the credit entry to the account.

• Criteria:

• Accounting Month: Current Default Month

• Pending Items: Exclude

• Reversed Transactions: Exclude Reversed Transactions in Same Month

• Transaction Code: Select codes that offset an Income account with a Class code of FEES.

• Sum the Unearned Commission amount per agency.

• Criteria:
• • Accounting Month: Current Default Month
  • Transaction Class: FEES
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment
  • • If agency is set up to recognize installment revenue immediately: Exclude
    • If agency is not set up to recognize installment revenue immediately: Include
  • Transaction Service Fee: Exclude (additional criterion)
• Layout:
• • Major Sort by Agency
  • Major Sort by Transaction Code
• To verify the debit entry to Accounts Receivable, use the total transaction amount.
• To verify the credit entries, total the transaction amount for each transaction code. If multiple transaction codes offset the same GL account, total the transaction amounts for the codes offsetting each account.

• Criteria:
• • Structure: All
  • Accounting Month: Current Default Month
  • Transaction Class: GFEE and GTAX
• Layout: Run with a Major Sort of Transaction Taxes/Fees.GovernmentEntityCode and add a subtotal for the sort.
• To verify the debit entry to Accounts Receivable, total the Trans Amount subtotals for all vendors.
• To verify the credit entries to Government Payables, review the Trans Amount subtotal for each vendor.

• Interagency Commissions Deferred: Debits Sharing Expense (in transaction agency), Interagency Deferred Commission Receivable + transaction agency subaccount (in internal broker's agency)
• Interagency Commissions Now Due: Debits Interagency Deferred Commission Payable + agency subaccount (in transaction agency), Interagency Commission Receivable + transaction agency subaccount (in internal broker's agency)

• Interagency Commissions Deferred: Credits Interagency Commission Payable + agency subaccount if the broker is associated to an agency (in transaction agency), Sharing Income + transaction agency subaccount (in internal broker's agency)
• Interagency Commissions Now Due: Credits Interagency Commission Payable + agency subaccount if the broker is associated to an agency (in transaction agency), Interagency Commission Receivable + transaction agency subaccount (in internal broker's agency)

• Criteria:
• • Accounting Month: Current Default Month
  • Receivable Write-Off: Accounting Method
  • Payable Write-Off: Accounting Method
  • Broker External/Internal: Internal
• To verify the debit entry to Interagency Deferred Commission Payable + broker subaccount, sum the Unearned Pr/Br Com Amt per broker.
• To verify the credit entry to Sharing Expense, sum the Unearned Pr/Br Com Amt for all brokers.
• To verify the debit entry to Interagency Deferred Commission Receivable in the internal broker's agency, sum the Unearned Pr/Br Com Amt per broker.
• To verify the credit entry to Sharing Income in the internal broker's agency, sum the Unearned Pr/Br Com Amt per transaction agency.

• Criteria:
  Note: If you recognize installment revenue immediately, ensure that the Accounting Month and Production Month criteria are set to All and the General Ledger Transaction Month criterion is set to the current accounting month.
• • Accounting Month: Current Default Month
  • Retained Commission: Exclude
  • Pr/Br Agency Bill Commission: Accounting Method
  • Pr/Br Direct Bill Commission: Accounting Method
  • Broker External/Internal: Exclude External
• Layout:
• • Major Sort by Agency
  • Major Sort by BrokerCommissionReport.PrBrType
  • Major Sort by BrokerCommissionReport.BrokerCode
• If you are not deferring commission, do the following:
• • To verify the debit entry to Sharing Expense and the credit entry to Interagency Commission Payable, total the Br Com Amt column.
  • For the entries below in the internal broker's agency, exclude the Internal: <Not in System> option from the report.
  • To verify the debit entry to Interagency Commission Payable and the credit entry to Sharing Income (in the internal broker's agency), total the Br Com Amt column per internal broker agency.
• If you are deferring commission, do the following:
• • Interagency Commissions Deferred
  • • Run the report with the Pr/Br Agency Bill Commission and Pr/Br Direct Bill Commission criteria set to Invoiced.
    • To verify the debit entry to Sharing Expense and the credit entry to Interagency Deferred Commission Payable, total the Br Com Amt column.
    • For the entries below in the internal broker's agency, exclude the Internal: <Not in System> option from the report.
    • To verify the debit entry to Interagency Deferred Commission Receivable and the credit entry to Sharing Income (in the internal broker's agency), total the Br Com Amt column per transaction agency.
  • Interagency Commissions Now Due
  • • Run the report with the Pr/Br Agency Bill Commission and Pr/Br Direct Bill Commission criteria set to Accounting Method.
    • To verify the debit entry to Interagency Deferred Commission and the credit entry to Interagency Commission Payable, total the Br Com Amt column per internal broker agency.
    • For the entries below in the internal broker's agency, exclude the Internal: <Not in System> option from the report.
    • To verify the debit entry to Interagency Commission Receivable and the credit entry to Interagency Deferred Commission Receivable (in the internal broker's agency), total the Br Com Amt column per transaction agency.

• Criteria:

• Accounting Month: Current Default Month

• Pending Items: Exclude

• Reversed Transactions: Exclude Reversed Transactions in Same Month

• Transaction Code: Select codes that offset an Income account with a Class code of MSUD.

• Sum the Unearned Commission amount per agency.

• Criteria:
• • Accounting Month: Current Default Month
  • Transaction Class: MSUD
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment
  • • If agency is set up to recognize installment revenue immediately: Exclude
    • If agency is not set up to recognize installment revenue immediately: Include
• Layout:
• • Major Sort by Agency
  • Major Sort by Transaction Code
• To verify the debit entry to Accounts Receivable, use the total transaction amount.
• To verify the credit entries, total the transaction amount for each transaction code. If multiple transaction codes offset the same GL account, total the transaction amounts for the codes offsetting each account.

• Criteria:

• Accounting Month: Current Default Month

• Pending Items: Exclude

• Reversed Transactions: Exclude Reversed Transactions in Same Month

• Transaction Code: Select codes with a Class code of WOPM.

• Sum the Unearned Commissions amount per agency.

• Criteria:
• • Accounting Month: Current Default Month
  • Receivable Write-Off: Exclude
  • Company Payable Write-Off: Include
  • Broker External/Internal: If internal brokers exist, add a filter or sort to obtain separate totals for external and internal brokers.
• Major Sort by Commission.PremiumPayableCode
• To verify the debit and credit entries (other than the debit entry to Unearned Income, if applicable), total the write-off amount per premium payable entity.
• To verify the debit entry to Unearned Income (if installed to post by premium payable), total the unearned agency commission amount.

• Producer Commissions Deferred: Debits Producer Commission Expense
• Producer Commissions Now Due: Debits Deferred Producer Commission + producer subaccount
• Producer Commission Write-Offs: Debits Deferred Producer Commission + producer subaccount

• Producer Commissions Deferred: Credits Deferred Producer Commission + producer subaccount
• Producer Commissions Now Due: Credits Producer Commission Payable + producer subaccount
• Producer Commission Write-Offs: Credits Producer Commission Expense

• Criteria:
  Note: If you recognize installment revenue immediately, ensure that the Accounting Month and Production Month criteria are set to All and the General Ledger Transaction Month criterion is set to the current accounting month.
• • Accounting Month: Current Default Month
  • Pr/Br Agency Bill Commission: Accounting Method
  • Pr/Br Direct Bill Commission: Accounting Method
  • Producer: Only include producers set to post automatically to the GL
• If you are not deferring commission, do the following:
• • To verify the debit entry to Producer Commission Expense, total the producer commission amount for all producers.
  • To verify the credit entry to Producer Commission Payables + producer subaccount, total the producer commission amount for each producer individually.
• If you are deferring commission, do the following:
• • Producer Commissions Deferred
  • • Run the report with the Pr/Br Agency Bill Commission and Pr/Br Direct Bill Commission criteria set to Invoiced.
    • To verify the debit entry to Producer Commission Expense, total the producer commission amount for all producers.
    • To verify the credit entry to Deferred Producer Commission + producer subaccount, total the producer commission amount for each producer individually.
  • Producer Commissions Now Due
  • • Run the report with the Pr/Br Agency Bill Commission and Pr/Br Direct Bill Commission criteria set to Accounting Method.
    • To verify the debit entries to Deferred Producer Commission + producer subaccount and the credit entries to Producer Commission Payables + producer subaccount, total the producer commission amount for each producer individually.
  • Producer Commission Write-Offs
  • • Run the Write-Off Report.
    • To verify the debit entries to Deferred Producer Commission + producer subaccount, sum the unearned commission amount per producer.
    • To verify the credit entry to Producer Commission Expense, sum the unearned commission amount for all producers.

• Criteria:

• Accounting Month: Current Default Month

• Pending Items: Exclude

• Reversed Transactions: Exclude Reversed Transactions in Same Month

• Transaction Code: Select codes that offset an Income account with a Class code of SCHG.

• Sum the Unearned Commission amount per agency.

• Criteria:
• • Accounting Month: Current Default Month
  • Transaction Class: SCHG
  • Adjustments: Include
  • Financed Transactions: Include
  • Installment
  • • If agency is set up to recognize installment revenue immediately: Exclude
    • If agency is not set up to recognize installment revenue immediately: Include
• Layout:
• • Major Sort by Agency
  • Major Sort by Transaction Code
• To verify the debit entry to Accounts Receivable, use the total transaction amount.
• To verify the credit entries, total the transaction amount for each transaction code. If multiple transaction codes offset the same GL account, total the transaction amounts for the codes offsetting each account.

• Criteria
• • Accounting Month: Current Default Month
  • Transaction Class: SUPP
• Layout
• • Major Sort by Agency
  • Major Sort by Transaction
  • Add a subtotal for Agency Comm Amt in the footer of the Agency major sort
• To verify the debit entry to Direct Bill Commission Receivable, sum the agency commission amount for the report.
• • If the agency is installed to post receivable by premium payable entity, you will need to run the report with a Major Sort of Commission.PremiumPayableCode and sum the agency commission amount per premium payable entity.

• To verify the credit entries, total the transaction amount for each transaction code. If multiple transaction codes offset the same GL account, total the transaction amounts for the codes offsetting each account.