010-86468608

Help

欢迎!

该社区面向专业人士和我们产品和服务的爱好者。
分享和讨论最好的内容和新的营销理念，建立您的专业形象，一起成为更好的营销人员。

隐藏简介 注册
0

Reconciling Multi-Currency Payments Can't Fully Log Exchange Difference (When Using MISC-Type Journal)

Avatar
odoo
accountingreconcilliationmulti-currenciesexchange difference
Avatar
Discard
2 Answers
0
Avatar
odoo
Best Answer

Hello Francis,



  Your situation involves the intricacies of handling multi-currency transactions and reconciliations in Odoo, which can indeed be complex. The behavior you're experiencing is partly by design, due to how Odoo handles exchange rate differences and the reconciliation process. Here's a brief explanation and steps you can take:

  The issue arises because Odoo calculates exchange rate differences based on the rates at the time of each transaction. When reconciling with a miscellaneous-type journal entry, Odoo uses the exchange rate of the transaction date, not the rate at the time of payment. This can lead to discrepancies if the actual payment exchange rate differs significantly.

  To address this, your workaround is a practical solution. Here are the steps for clarity:

  1. Review the exchange rate difference that Odoo has automatically calculated upon reconciliation.

  2. Manually calculate the actual exchange rate difference based on the payment's exchange rate.

  3. Create a manual journal entry to account for any additional exchange rate difference not captured by Odoo's automatic calculation.

  4. Proceed with the reconciliation process, ensuring that all entries, including your manual adjustment, are selected for a complete reconciliation.


For personalized assistance:
https://www.pragtech.co.in/contact-us-mql.html

Comment Share
1 Comment
Avatar
Discard
Avatar
odoo
-

Hi Rani - Thanks so much for your feedback!

I'm curious though that Odoo only calculates and automatically registers the Exchange Difference based on the rate Odoo has recorded for the payment date when the payment is done on a Miscellaneous type of journal entry. But if payment is made using a Bank-type of journal entry, it will calculate the difference based on the actual payment difference.

Your workaround makes sense though. I'm dreading a more manual process but I think that's a clean approach and would help me avoid having more than one Exchange Difference entries (I experienced that when I tried reconciling the residual as "write-off" for the partial reconciliation in the Accounting >> Reconcile view, where Odoo still creates an automatic Exchange Difference entry apart from the write-off you make).

0
Avatar
odoo
Best Answer

Hi,


What you are seeing is expected behavior in Odoo rather than a bug. When payments are made through a proper Bank or Cash journal, Odoo recognizes these as settlement events. In that case, the system automatically calculates the realized foreign exchange difference between the bill date and the payment date, posts a single adjustment entry to the Exchange Difference journal, and marks the reconciliation as fully closed.


However, when you use a Miscellaneous journal to clear a vendor bill, Odoo does not treat this as an actual payment. Instead, it only posts an unrealized exchange difference based on Odoo’s daily rates at the transaction dates, and then leaves the reconciliation as partial. If you try to finalize it by reconciling the residual, Odoo adds an extra adjustment: one for the manual write-off and another in the Exchange Difference journal. This is why you end up with two entries instead of one.


The partial reconciliation you see (the “P…” number) is Odoo’s safeguard to show that in its logic, the transaction is not fully settled in foreign currency terms. To avoid this, the recommended approach is to use Bank journals for payments whenever possible. If you must use a Miscellaneous journal, you need to either manually create the exchange difference entry before reconciliation or customize the reconciliation behavior so that Misc journals are treated like Bank journals.


Hope it helps

Comment Share
1 Comment
Avatar
Discard
Avatar
odoo
-

Thanks for this. Yeah, I have a very specific use case where I need to use a miscellaneous type of entry to recognize payment of a bill (e.g., for start-up situation where a shareholder directly pays for an expense and "charges" it to pending additional paid capital while company is still in the process of setting up a corporate bank account).

From what you mentioned about having two entries instead of one when doing final reconciliation of residual, actually there would be three additional... The first one would be the automatic entry once payment and bill are reconciled, and the other two would be the final reconciliation of residual (one the manual write-off, and the other the additional automatic exchange difference entry for some reason... Weirdly enough, sometimes even if the manual write-off has value before saving it, it ends up with ZERO value and the simultaneous automatic entry gets all the value). I've been trying to test this behavior in a test DB over and over and having somewhat inconsistent behavior.