Create accounts for a new cost centre or department

Find this screen

Open: Nominal > Create & Amend Nominal Accounts > Create Accounts for Cost Centre and Department

How to

Create a new cost centre and associated nominal accounts

  1. Choose Cost Centre from the Generate for drop-down list.
  2. Enter a Code and Name for the new cost centre and / or department.
  3. Choose the existing cost centre that you want to duplicate from the Source drop-down list.
  4. To create the nominal accounts, click OK.

Note: This may take some time depending on the number of accounts being created.

Create a new cost centre and department with associated nominal accounts

  1. Choose Cost Centre and department from the Generate for drop-down list.
  2. Enter a Code and Name for the new cost centre.
  3. Choose the existing cost centre that you want to duplicate from the Source drop-down list.
  4. Enter a Code and Name for the new department.
  5. Choose the existing department that you want to duplicate from the Source drop-down list.
  6. To create the nominal accounts, click OK.

Note: This may take some time depending on the number of accounts being created.


Useful info

About creating accounts this way

Use this to create a new cost centre (CC) or department (Dept) with an associated range of nominal accounts.

To do this, you choose an existing cost centre or department to base the new account range on. The new range of nominal accounts is identical to the those linked to the existing CC or CC/Dept combinations but using the new one(s).

For example, you have an existing range of nominal accounts using cost centre A. Once you've used this, you'll have the same nominal accounts but with new cost centre B.

This is particularly useful when you are adding a new cost centre or department to your organisation.

Using cost centres

You can use cost centres to segment parts of your business so that you can monitor income and expenses from individual areas in your company. You append a cost centre to profit and loss nominal accounts. Each nominal account has the same Code but different cost centres. For example, if you have several branch offices and you want to be able to produce a P & L for each office as well as one for the whole business, you could create a cost centre for each branch office. You then make sure that every profit and loss nominal account also using an account with the cost centre for each branch.

When you enter transactions, these are posted to the nominal account associated with this cost centre. When you produce your P & L, it reports the total of all accounts with the same code.

Tip: As all these nominal accounts are reporting the same thing, they should also have the same Report Category.

Cost centres are used to represent your funds. You'll need to select a cost centre (fund) for any nominal accounts that will be used to record the income and expenditure of your funds. This is likely to be the majority of your income and expense ( P & L) accounts. Most of your balance sheet nominal accounts will not need to be related to a fund, so these accounts don't need to have cost centres.

If you're an Academy, any nominal accounts linked to a cost centre with a fund type, and a SOFA category are included on the SOFA report.

Using departments

Departments are codes that you can add to profit and loss nominal accounts, to help keep track of your income and expenses.

Each nominal account has the same code but with different departments.

Departments are additional codes that you can add to profit and loss nominal accounts, to help keep track of your income and expenses in a particular area.

For example:

  • A primary school might set up a department for each year, from Nursery to Year 6.
  • A secondary school might set up a department for each teaching subject area, such as English, Mathematics and Art.

Each nominal account has the same code but with different departments.

Using report categories

Report categories are used to group your nominal accounts on your financial statements. Each category determines whether an account is for income or expenditure (Profit and Loss), or for your assets and liabilities (Balance sheet).

Every nominal account must have a report category, as this determines which report the balance of the account is included on and how it's reported.

Adding and amending report categories

When you first set up Sage 200cloud, we provided a set of report categories for you to reflect the broad group of things required by most businessesschools. You can't change or delete these, but you can add additional ones of your own. (Settings > Cash Book / Nominal Accounts > Report Categories).

For maintained schools, these report categories match the CFR codes. For academies, these are categories common for most schools.

Tip: If you add your own report categories, make sure you also add them to your Financial Statement layouts (printed reports) and the Financial Statement Designer Excel reports).