When should you stop an accrual?
You can stop an accrual if the accrual is no longer relevant.
This could be the case if an insurance policy is canceled early, for example.
When an accrual is stopped, periods that have already been posted are kept. A journal entry is created in the month the accrual is stopped. This entry contains the sum of all remaining future entries on the accrual.
If an insurance policy of DKK 12,000 is accrued from January to December, each period carries a cost of DKK 1,000.
If the accrual is stopped in June, DKK 6,000 is posted in June, corresponding to the remaining periods from July to December.
How to do it
Open the bill with the accrual you want to stop.
Click (...) and select Manage accruals.
Find the accrual you want to stop.
Click Stop.
Confirm the action.
What happens when you stop an accrual?
When an accrual is stopped:
Periods that have already been posted are kept.
Future periods are not posted.
The accrual is closed, and a final entry is created equal to the sum of the periods after the month you select.
If an accrual is stopped with a month in the future, it does not affect the existing posting. If an accrual is stopped with a month in the past, periods that have already been posted after that date are reversed.
Existing postings in your accounting system are not affected, because stopping an accrual only prevents future postings.
Note
If you want to cancel an accrual that already has posted periods, use Reverse instead of Stop.
A reversal creates reversing entries for periods that have already been posted, while Stop only prevents future periods from being posted.
Related articles
Reverse an accrual
How to accrue a bill
Overview of active and historical accruals