national association of investors corporation · pdf filenational association of investors...

NATIONAL ASSOCIATION OF INVESTORS

CORPORATION

(NAIC)

CHAPTER ACCOUNTING WITH QUICKBOOKS

USER PROCEDURES

Version: 2.2

Last Revised

September 15, 2004

Table of Contents

1 PURPOSE OF THE USER PROCEDURES.....................................................................................................3

2 REQUIRED TASKS FOR EACH CHAPTER .................................................................................................3

3 SOFTWARE PACKAGE CONTENTS.............................................................................................................4

4 SETTING UP QUICKBOOKS 2002..................................................................................................................5

4.1 NOTE FOR CHAPTERS ALREADY USING QUICKBOOKS ...................................................................................... 5 4.2 INSTALLING QUICKBOOKS 2002........................................................................................................................ 5 4.3 SETTING UP A NEW COMPANY .......................................................................................................................... 6 4.4 LOADING STANDARD CHART OF ACCOUNTS INTO QUICKBOOKS .................................................................... 17 4.5 SETTING PREFERENCES ................................................................................................................................... 19

5 ENTERING BEGINNING BALANCES FOR EACH ACCOUNT ..............................................................23

6 JOURNAL TRANSACTIONS .........................................................................................................................24

7 CREATING THE ACCOUNT BALANCE FILE..........................................................................................33

8 SENDING THE ACCOUNT BALANCE FILE..............................................................................................43

9 BACKING UP YOUR DATA...........................................................................................................................43

10 HELP AND TECHNICAL SUPPORT ............................................................................................................43

APPENDIX A – CREATING SUBACCOUNTS ....................................................................................................44

APPENDIX B – EDITING JOURNAL ENTRIES .................................................................................................48

APPENDIX C - CHANGING ACCOUNT TYPE OF SAVINGS ACCOUNT ....................................................51

APPENDIX D – YEAR-END CLOSING IN QUICKBOOKS ..............................................................................54

APPENDIX E - MOVING QUICKBOOKS DATA TO ANOTHER COMPUTER............................................56

BACKING UP THE CHAPTER’S COMPANY DATA .......................................................................................................... 56 RESTORING THE CHAPTER’S COMPANY DATA ............................................................................................................ 60 UNINSTALLING QUICKBOOKS ..................................................................................................................................... 62

APPENDIX F – FOR QUICKBOOKS PRO, SAVE ACCOUNT BALANCE FILE AS A SPREADSHEET. .65

APPENDIX G - CHAPTER CHART OF ACCOUNTS……………………………………………………….....71

NAIC CHAPTER ACCOUNTING SYSTEM

USER PROCEDURES DOCUMENT

3

1 PURPOSE OF THE USER PROCEDURES

National Association of Investors Corporation (NAIC) is a non-profit organization that

includes all Chapters in the same legal entity. As part of NAIC, the Chapters must send a file

with the Chapter’s account balance information quarterly to NAIC headquarters, where

Chapter financials are integrated with the headquarters accounting system. A standard

accounting package, QuickBooks 2002, has been selected as the software to be implemented

at each of the Chapters.

This document specifies the steps necessary to install, configure, and use the QuickBooks

2002 Accounting Package at an NAIC Chapter to generate the quarterly accounting data file.

It is understood that the Chapters have various levels of experience with computers and

accounting software, and these procedures have been created to provide as much detail as

possible concerning the functions that must be performed to create this data file.

It is recommended that you read this document thoroughly before installing and using the

software. Additional help may also be found by using the Help functionality of QuickBooks

and by consulting the QuickBooks documentation.

2 REQUIRED TASKS FOR EACH CHAPTER

Although every effort has been made to make this process as simple as possible, each Chapter

will be required to perform the following tasks:

� Install and configure QuickBooks 2002 (one-time task)

� Load the standard chart of accounts into QuickBooks from diskette (one-time task)

� Enter beginning balances for each account (one-time task)

� Send the account balance file with the beginning balances to NAIC headquarters (one-

time task)

� Enter journal transactions for the Chapter’s accounting activity for that quarter

� Create the account balance file quarterly

� Send the account balance file to NAIC headquarters every quarter

The procedures in this document detail how to accomplish each of these tasks.

Note that each Chapter’s fiscal year is from October 1 to September 30. Since QuickBooks

automatically handles the transferring of income and expense balances to the Retained

Earnings account, journal entries for this will not need to be entered to close out a fiscal year.



4

3 SOFTWARE PACKAGE CONTENTS

The following items should have been received by your Chapter and are necessary to install

and use QuickBooks:

� QuickBooks 2002 software package, containing:

� CD-ROM containing the QuickBooks installation software

� QuickBooks 2002 User’s Guide

� A 3½” diskette containing the standard Chart of Accounts file for your Chapter

� This User Procedures document

� A document titled, ‘Getting Started’, which indicates your Chapter’s 3-digit chapter number.

New Treasurers should make sure they receive all of the above from their predecessor. If you are

missing any of the above items, please contact Bonnie Reyes at [email protected]

by calling NAIC headquarters.

4 ON THE BACK OF THE CD-ROM CASE IS A YELLOW STICKER INDICATING YOUR QUICKBOOKS INSTALLATION KEY CODE. IT IS VERY IMPORTANT

THAT YOU NOT LOSE THIS NUMBER, AS IT IS REQUIRED IN ORDER TO INSTALL

QUICKBOOKS. WRITE THIS NUMBER IN THE FRONT OF THE USER’S GUIDE,

ON PAGE II, TO ENSURE THAT IT IS NOT LOST.



5

4 SETTING UP QUICKBOOKS 2002

4.1 Note for Chapters Already Using QuickBooks

If you have either Quicken or a previous version of QuickBooks, you should upgrade your

current software to the QuickBooks 2002 version.

4.2 Installing QuickBooks 2002

The following procedure describes the steps necessary to install the QuickBooks 2002

software.

STEP TASK

1 Locate the QuickBooks 2002 User’s Guide that was provided with the software

package.

2 Install the software as specified by this Guide on pages 7 – 9 under the heading,

‘Installing QuickBooks’. Note if you are installing from 3½” diskettes, you will be

prompted to insert certain disks throughout the installation.

3 Register the software as specified by this Guide on page 12 under the heading,

‘Registering QuickBooks’. Make sure to record the registration number in the front

of the User’s Guide, on page ii.



6

4.3 Setting Up a New Company

In order to use QuickBooks, you must first create a new company, to which all the accounting

transactions will be associated. QuickBooks allows you to set up multiple companies, if

desired, so that several different businesses can be tracked. This procedure lists the steps

necessary to create the company required for creating the account balance file.

STEP TASK

1 Open QuickBooks 2002:

- Double-click the ‘QuickBooks Basic’ icon on the desktop

- OR -

- Click on ‘Start’ button,

- Touch ‘Programs’,

- Touch ‘QuickBooks Basic’,

- Click on ‘QuickBooks Basic’.

(Note: a ‘Reminder’ window may display at this point. You can close this window.)

This screen should now be displayed:



7

STEP TASK

2 Start the EasyStep Interview for creating a new company in QuickBooks

- Click on ‘Create a new company’,

- The EasyStep Interview window should display.

This screen should now be displayed:

Many of the windows in the EasyStep Interview do not require any information to be entered. To

familiarize yourself with QuickBooks, it is recommended that you still read the information in

these windows.

Use the ‘Next’ button to move

forward through the EasyStep

Interview.



8

STEP TASK

3 Click ‘Next’ to go to next window,

4 Click ‘Next’ to go to next window,

5 Click ‘Next’ on the window titled, ‘Setting up a new QuickBooks company’,

6 Click ‘Next’ on the window titled, ‘Navigating around the interview’,

7 Click ‘Next’ on the window titled, ‘Sections and topics’,

8 Click ‘Next’ on the window titled, ‘Feel free to change your answers!’,

9 Click ‘Next’ on the window titled, ‘Welcome completed’,

10 Click ‘Next’ on the window titled, ‘General: Company Information’.

This window should now be displayed:



9

STEP TASK

11 On the window titled, ‘Your company name’:

- In the field, ‘Company Name’, enter ‘NAIC Chapter ###’, substituting

your Chapter’s three digit chapter number for ‘###’. Note the chapter

number should not be your ‘K’ chapter number; it should be the three

digit chapter number that was indicated on the ‘Getting Started’ sheet

that you received with this documentation.

- In the field, ‘Legal Name’, enter the legal name for your Chapter. You

will need to abbreviate ‘National Association of Investors Corporation’

to ‘NAIC’.



10

STEP TASK

12 Click ‘Next’ to go to next window.

13 On the window titled, ‘Your company address’, enter your Chapter’s published

mailing address, phone number, email and web site (if any.)



11

STEP TASK


15 On the window titled, ‘Other company information’:

- Enter ‘382111435’ into the federal income tax ID number field.

- Select ‘October’ as the first month of the income tax year.

- Select ‘October’ as the first month in your fiscal year.



12

STEP TASK


17 On the window titled, ‘Your company income tax form’, select ‘<Other/None>’.



13

STEP TASK


19 A window will display asking for confirmation that ‘<Other/None>’ should be

used as the tax form. Click the ‘OK’ button.

20 On the window titled ‘Select your type of business’, select ‘Accounting/CPA’.



14

STEP TASK


22 Click ‘Next’ on the window titled, ‘As an accountant…’.

23 Click ‘Next’ on the window titled, ‘Setup tips for your business’.

24 Click ‘Next’ on the window titled, ‘We’re ready to create your company file now’.

25 On the window titled ‘Save As’, type ‘Chapter###’ for the file name to save, where

### is the three digit chapter number for your Chapter.

26 Click on ‘Save’.



15

STEP TASK

27 Wait for QuickBooks to finish creating the company file.

28 IMPORTANT STEP: On the window titled ‘Your income and expense

accounts’, click the button ‘NO, I’D LIKE TO CREATE MY OWN’.

MAKE SURE

THAT THIS

BUTTON IS

SELECTED



16

STEP TASK

29 Click ‘Next’ to go to the next window.

30 Although there are other steps in the company creation interview, they are not

needed for this application. Click the ‘Leave’ button.

When this screen is displayed, you may click the ‘Leave’ button to exit the EasyStep Interview

Click the ‘Leave’ button to exit

the EasyStep Interview.



17

4.4 Loading Standard Chart of Accounts into QuickBooks

Each Chapter will use a standard chart of accounts, provided by NAIC headquarters, for their

accounting. It is important that all transactions be made using these accounts. Do not create

any new accounts in addition to these standard accounts, as this will cause errors when the account balance file is sent to headquarters. You may, however, create sub-accounts to

the standard accounts. Please reference ‘APPENDIX A – CREATING SUB ACCOUNTS’

if you wish to set up sub accounts.

STEP TASK

1 Locate the diskette labeled, ‘Chart of Accounts for Chapter’, that was sent to your

chapter along with this user procedure document and the QuickBooks software.

2 Insert the diskette into your computer’s diskette drive.

3 Import the Chart of Accounts into QuickBooks:

- Click on ‘File’ on the top menu bar.

- Touch ‘Utilities’.

- Click on ‘Import’.

- Select ‘3½” Floppy’ by the header titled, ‘Look in’.

- Click on ‘ChartOfAccts###.iif’, where ### is your chapter number, so

that it is highlighted.

- Click the ‘Open’ button.

This is the Import window: Use this down arrow to select the

floppy disk drive after inserting

the diskette containing the

standard chart of accounts file.



18

STEP TASK

4 A window stating, ‘Your data has been imported’, should be displayed.

- If this window does not display or if you receive an error message,

please contact NAIC headquarters. See the section in this document,

‘HELP AND TECHNICAL SUPPORT’, for information on whom to

contact.

5 Click the ‘OK’ button to close the window.

This window should be displayed after the chart of accounts has been successfully

imported:



19

4.5 Setting Preferences

QuickBooks allows the setting of many preferences so users may configure the software to

meet their business needs. This section contains instructions on setting preferences that are

recommended for entering journal entries and creating the account balance file.

STEP TASK

1 Open the Preferences window:

- Click on ‘Edit’ on the top menu bar.

- Click on ‘Preferences’.

This window should now be displayed:

You can click on these tabs to

switch between the two

preference screens for each

preference type.

You can click an icon on

this menu to switch between

preference types.



20

When entering data into screens in other applications, the ENTER key is commonly used to

move from field to field. QuickBooks, by default, uses the ENTER key to allow the user to

close the current window displayed. It is recommended that you set the preference that will

allow you to use the ENTER key to move from field to field.

STEP TASK

2 On the ‘My Preferences’ screen of the ‘General’ preferences, click the box next to

the header, ‘Pressing Enter moves between fields’, so that it is checked.

Click on the ‘My Preferences’

tab to view this window.

Click on the ‘General’

icon in this menu



21

It may be helpful to be able to see the account number as well as the account description when

viewing and entering account information into QuickBooks. To see the account numbers, the

following steps must be taken to set the preferences:

STEP TASK

3 Click the ‘Accounting’ icon in the vertical list in the left of the window.

4 Click the ‘Yes’ button, in the ‘You made changes in …. Do you wish to save

them?’ window.

STEP TASK

5 Click the ‘Company Preferences’ tab.

6 Click the ‘Use account numbers’ checkbox.

STEP TASK

7 Click the ‘OK’ to close the window


them?’ window.



22

QuickBooks displays reminder messages that are not needed to perform the tasks in this

document. You may turn off these reminder messages, if desired, by performing the

following steps:

STEP TASK

9 If the Preferences window is not open, open the Preferences window:

- Click on ‘Edit’ on the top menu bar.

- Click on ‘Preferences’.

10 Click on the ‘Reminders’ icon in the vertical list in the left of the window. You

may need to scroll down this list to do this.

11 Click on the ‘Company Preferences’ tab.

12 Click the ‘Don’t Remind Me’ button for all reminders in this window.

This is the ‘Company Preferences’ window for ‘Reminders’:

STEP TASK

13 Click the ‘OK’ to close the window.


them?’ window.



23

5 ENTERING BEGINNING BALANCES FOR EACH ACCOUNT

At this point, QuickBooks is set up and ready for use. The first step is to enter the current

account balances for all accounts in the Chart of Accounts. This is accomplished by entering

journal transactions for each account with the full balance of that account. Please reference

the following section in this document, ‘ENTERING JOURNAL TRANSACTIONS’, for

details on how to use the Journal Entry screen. Note that the balances only need to be entered

one time, when the software is first installed and the standard chart of accounts has been

imported.

Keep in mind that there is a slight but very important difference between entering the

beginning balances for each account and the ongoing task of keeping the accounts up-to-date

so that the account balance file can be created and sent to NAIC headquarters every fiscal

quarter. Both of these processes require the entry of journal transactions. When the

beginning balances are entered, the balance amount will be entered as the transaction amount

for each account. After these beginning balances are entered, the Chapter will be required

every quarter to enter journal transactions for all the account activity since the last time the

account balance file was sent. When these journal transaction amounts are entered, the

amounts that are entered should only be the account activity since the last entries were made,

and should NOT be the current account balance.

The main point to remember is that after the beginning balances have been entered, all journal

transaction amounts from that point on should be transaction amounts representing the account

activity. Entering beginning balances is the ONLY time that journal entries should be entered

with the full balance amount for each account.

If you intend to set up sub accounts to allow more detailed tracking of your account

information, you may want to do so at this time, prior to entering the beginning balances for

each account. Please reference ‘APPENDIX A – CREATING SUB ACCOUNTS’ for

information on how to set up sub-accounts.



24

6 JOURNAL TRANSACTIONS

Each Chapter will be required to keep their account balances up-to-date within QuickBooks.

Account activity is entered into QuickBooks by entering journal transactions. The following

procedure explains how to enter journal transactions into QuickBooks:

STEP TASK

1 Start up QuickBooks Basic if it is not already running.

2 Open the company file if it is not already open:

- Click on ‘File’.

- Click on ‘Open Company’.

- Click on (highlight) the company file to open (Chapter###.QBW).

- Click on ‘Open’.

3 Make sure the QuickBooks Navigator window is displayed. If it is not, click on the

‘Company’ and then click on ‘Company Navigator’.

This is the Company Navigator window. It should now be displayed:



25

The first step is to open the General Journal Entry window.

STEP TASK

4 In the Company Navigator window, click on the ‘Chart of Accounts’ icon.

The General Journal Entry window should now be displayed:

5 Open the General Journal Entry window by clicking on the ‘Activities’ button.

6 Click on ‘Make Journal Entry’.



26

The first time you open the General Journal Entry window, the ‘Assigning Numbers to

Journal Entries’ window appears.

7 Click the ‘Do not display this message in the future’ checkbox.

8 Click the ‘OK’ to close the window.

The General Journal Entry window should now be displayed:



27

It is important that the correct transaction date be entered for the journal entries. Note that the

‘Date’ field defaults to the current date, which may not be correct for the journal entries that

are being made. As long as this date is a date in the fiscal quarter for the corresponding

account activity, the account balance file can be successfully created. Depending on how your

Chapter uses the QuickBooks accounting package to manage your business, you may track

your account activity more often than once a quarter, and may wish to be more detailed by

entering account activity for certain dates, which QuickBooks allows you to do.

If you are unsure of what date to use, enter or choose the last date of the fiscal quarter for

which the account activity is being entered.

STEP TASK

9 Enter the correct date for the account activity to be entered:

- Highlight and type over the date in the window by the ‘Date’ header.

- OR -

- Select the correct date from the built-in calendar by clicking on the box

immediately to the right of the Date entry field.

- Click on the arrow keys to choose the correct month and year.

- Click on the date in the calendar window.

This shows the calendar window, which may be used to select the correct date for the

journal transactions:

Click on the calendar

button to display the

calendar.

Click on the arrows to move

forward and backward

between months and years.



28

The General Journal Entry window allows for easy entry of both beginning balances and

account activity. You may enter as many account transactions as desired in one general

journal entry. An important thing to note about this window is that you may not complete the

journal entry (by clicking the ‘Save & Close’ or ‘Save & New buttons) unless the accounts are

in balance, meaning that the debits are equal to the credits.

The following are the steps required to enter a journal transaction:

STEP TASK

10 Click in the space under the ‘Account’ column. A down arrow should show next to

the cursor.

11 Click the down arrow to view a list of the chart of accounts.



29

STEP TASK

12 Clicking on an account will automatically choose that account and put the account

in the general journal account column.



30

The ‘Debit’ and ‘Credit’ columns are used to enter the corresponding debit or credit amount

for an account. To enter debit and credit amounts for the accounts:

STEP TASK

13 Click in the space under the ‘Debit’ or ‘Credit’ column.

- OR –

Use the TAB or ENTER key to move from field to field.

14 Enter the amount of the debit or credit in the field.



31

Continue entering transactions and their corresponding debit and credit amounts until all of

the account activity has been entered. You will notice that as you select accounts on the next

rows, QuickBooks automatically puts an amount in either the debit or credit column for the

amount that will balance the entire general journal entry. You may ignore this and continue

entering the correct debit and credit amounts for each account’s activity.

Note again that the debits must equal the total of the credits in order to complete the General

Journal Entry.

STEP TASK

15 After all the account activity has been entered, click ‘Save & Close’ to close the

window.

After the entries have been made for all the accounts, the window may look similar to

this. If the debits equal the credits, click the ‘Save & Close’ button to finish the entry.



32

Here are some tips and things to remember about entering General Journal transactions:

- QuickBooks will occasionally create accounts on its own. These accounts should not

be used when entering journal transactions. The accounts that should be used by your

chapter all have a 5-digit account number; the QuickBooks accounts, which should not

be used, usually have a 4-digit account number. For example, when viewing your chart

of accounts, you may see an account named ‘Opening Bal Equity’. This is an account

that QuickBooks created automatically. This account should never have a balance and

no journal entries should ever be entered for this account. If you are not sure whether

an account was created by QuickBooks, please reference the Chart of Accounts list that

you received with this procedure document.

- It will be helpful to enlarge the General Journal Entry window so that as much of the

account description can be viewed as possible. This can be accomplished by either

stretching the window, or by clicking the maximize button in the upper right hand

corner of the window.

- The ‘Memo’ and ‘Name’ columns do not require any entry. Feel free to enter notes on

journal transactions into the ‘Memo’ column, however.

- The ‘Retained Earnings’ is a special account that is used when a fiscal year ends.

QuickBooks automatically keeps the Retained Earnings account up-to-date and does

not require any special year-end closing procedure. The Chapter should not have to

enter any amounts for this account in the General Journal Entry window.



33

7 CREATING THE ACCOUNT BALANCE FILE

At the end of each fiscal quarter, each NAIC Chapter will be required to send a file to NAIC

headquarters containing the current account balances as of the end of that quarter. The file is

created in QuickBooks by printing the Trial Balance report to a file. This procedure details

how to create this account balance file.

ALTHOUGH CREATING THE FILE IS NOT COMPLICATED, IT IS IMPORTANT

THAT THIS PROCEDURE IS FOLLOWED SO THAT THE FILE IS CREATED

CORRECTLY AND IN THE PROPER FORMAT.

STEP TASK

1 Make sure the Company Navigator window is displayed.

2 Click on the ‘Reports’ pull-down menu.

3 Touch the ‘Accountant & Taxes’ item.

4 Click on the ‘Trial Balance’ item.



34

The ‘Trial Balance’ report window should be displayed. (Note that your Trial Balance

window may have accounts listed with their corresponding debit or credit amounts,

which is okay.):



35

The first step is to enter the correct date for the report. The date in the ‘From’ and ‘To’ should

be the same and should be the last day of the fiscal quarter. The last days of the NAIC fiscal

quarters are:

December 31

March 31

June 30

September 30

STEP TASK

5 Click in the ‘From’ field on the second line of the top menu.

6 Enter the date of the last day of the fiscal quarter for which the account balance file

is being created:

- Enter the date in the field.

- OR -

- Use the Calendar window by clicking on the calendar button directly to

the right of the ‘From’ field.

7 Click in the ‘To’ field on the second line of the top menu.

8 Enter the same date that was entered in the ‘From’ field.



36

Although the new dates have been entered at this point, the data that you see on the report is

still as of the current date. It is necessary to update or ‘refresh’ the data on the report, which

will recreate the report using the new dates that have been entered.

STEP TASK

9 Click on the ‘Refresh’ button, which will refresh the report amounts for the new

date.

You should now see the current balances for all the accounts as of the last day of the

fiscal quarter displayed in the Trial Balance report window. Check all these amounts

to ensure they are correct.



37

After ensuring the Trial Balance is correct, the next step is to save the report to a file. This file

should be saved to a floppy diskette, which you will then need to mail to NAIC headquarters.

STEP TASK

10 Click on the ‘Print’ button on the first line at the top of the Trial Balance window.

11 If the ‘New Printing Features’ window displays, check the box in front of ‘Do not

display this message in the future’ and click ‘OK’.

The ‘Print Reports’ window should now be displayed:



38

STEP TASK

12 Under the header ‘Print to’, click the button next to ‘File’ so that it is marked.



39

STEP TASK

13 Click the down arrow in the file type window, which is immediately to the right of

the ‘File’ header. This will display the file type options.



40

STEP TASK

14 IMPORTANT STEP: click ‘Tab delimited file’.



41

STEP TASK

15 Click ‘Print’. This will display the ‘Create Disk File’ window.



42

STEP TASK

16 If you are saving the file to a diskette, insert the diskette into the disk drive and

select ‘3½ Floppy (A:)’ in the ‘Save in’ field.

17 IMPORTANT STEP: in the ‘File name’ field, type ‘Chapter###’, where ### is

your Chapter number. Do not put a space between ‘Chapter’ and your Chapter

number in the file name.

18 Click on the ‘Save’ button to save the file.

This window shows an example of the file name that should be entered prior to clicking

the ‘Save’ button.



43

It would also be very helpful if a paper copy of the Trial Balance report could also be sent to

NAIC headquarters. If you have a printer attached to your computer or network, follow the

procedure above until you get to the step where the ‘Print’ button is clicked. At this point

choose the ‘Printer’ button under the ‘Print to’ header and choose your printer.

Sending the paper copy of the report should help NAIC headquarters resolve potential

problems with your account balance file.

8 SENDING THE ACCOUNT BALANCE FILE

Please send the diskette with the account balance file, a paper copy of your Trial Balance

report, and a copy of your bank statement (with reconciliation) to:

Bonnie Reyes

NAIC

711 West Thirteen Mile Road

Madison Heights, MI 48071

Also include the Bank Statement(s) for the Quarter End plus a copy of your bank reconciliation.

9 BACKING UP YOUR DATA

To help insure against data loss, it is important that you create backups regularly of your

QuickBooks data. The QuickBooks backup process will save your data to one or more

diskettes, which can later be restored into QuickBooks if you lose your data. Please reference

pages 84-85 in the QuickBooks User Guide for details on how to back up your data. It is

recommended that you back up your data whenever you enter data into QuickBooks, but

should definitely be done whenever a significant amount of journal transactions have been

entered.

10 HELP AND TECHNICAL SUPPORT

The procedures detailed above cover the minimum required tasks for each chapter.

QuickBooks contains many more screens that should simplify the accounting tasks at each

Chapter, and you are encouraged to investigate these other features. The appendix to this

document covers some additional QuickBooks features that may be helpful in accounting for

your Chapter.

Additional help in using QuickBooks may also be found in the User’s Guide that you should

have received with the software, and by using the ‘Support’ features in the software itself. If

you have any problems using QuickBooks or creating the account balance file, please contact

Bonnie Reyes at (877) 275-6242, ext 449, at NAIC headquarters for assistance. NAIC has

purchased Premier Plan support through QuickBooks, which includes access to QuickBooks’

online eSupport Center. The phone number is 888-446-8848, and the support agreement

number is 028013916476.



44

APPENDIX A – CREATING SUBACCOUNTS

Although the Chapters should not create any new accounts in QuickBooks in addition to the

standard chart of accounts, subaccounts may be created to allow more detailed tracking of

account information. This procedure details how to set up subaccounts in QuickBooks.

STEP TASK

1 Start QuickBooks and open the company file for your Chapter, if it not already

open. Make sure the Company Navigator window is displayed.

2 Select the ‘Taxes and Accounting’ tab in the Company Navigator window.

3 Click the icon, ‘Chart of Accounts’, in the top of the Company Navigator window

to display the Chart of Accounts window. You may wish to enlarge this window.

This is the Chart of Accounts window. Note that at this point, your window may not

have any balances listed for the accounts, which is okay.



45

STEP TASK

4 Click on the ‘Account’ button on the bottom of the window.

5 Click on ‘New’.



46

The ‘New Account’ window should now be displayed. This window will be used to set up

subaccounts.

For the purposes of this procedure, we will assume that the Chapter is going to set up a

subaccount for the account ‘Treasurers Workshop Income’ named ‘January Workshop’.

Any subaccounts that are set up must have the same account type as the parent account. The

account type is listed in the Chart of Accounts window. Continuing our example, we note that

the account, ‘Treasurer’s Workshop Income’, has an account type of ‘Income’. Therefore, our

new subaccount must also be an Income account.

STEP TASK

6 In the field, ‘Type’, choose the account type of the parent account to which the

subaccount will be created.



47

STEP TASK

7 In the field, ‘Name’, enter the name for this subaccount.

8 IMPORTANT STEP: click the checkbox next to the header, ‘Subaccount of’, so

that it is checked.

9 Click the down arrow in the field to the right of the header, ‘Subaccount of’, to

view a list of all accounts with an account type of ‘Income’. Choose the parent

account to this subaccount.

10 Click ‘OK’ to complete the subaccount set up.

The new sub account should now show under the parent account in the Chart of Accounts

window. The sub account will also be available in the General Journal Entry window when

selecting accounts.

Note on sub accounts:

� If sub accounts have been created, all journal transactions should be made to these sub

accounts, and not to the parent account to which it belongs.



48

APPENDIX B – EDITING JOURNAL ENTRIES

Although there is validation in the General Journal Entry screen to ensure the entry is in balance, it

is possible that a journal entry has been entered incorrectly. The easiest way to correct any errors

is to make another journal entry that corrects the data. If necessary, however, journal entries can

be edited.

The following procedure is just one of several ways to edit the journal transactions. Many of the

reports that can be viewed in QuickBooks allow you to click on specific accounts to see the journal

transactions.

STEP TASK

1 Open the Chart of Accounts window:

- Make sure the Company Navigator window is open.

- Click the ‘Chart of Accounts’ icon near the top/center of the window.

You may wish to enlarge this window.

2 Double-click on the account that needs to be edited. This will open a window

showing the transactions for that account.



49

STEP TASK

3 Double-click on the entry you wish to edit. The General Journal Entry window should

appear with the corresponding journal transaction.

STEP TASK

4 Correct the entry and click ‘Save & Close’ when complete.

STEP TASK

5 Click ‘Yes’ to record your changes.



50

STEP TASK

6 Click the ‘X’ button, in the upper right corner of the window, to close the account.



51

APPENDIX C - CHANGING ACCOUNT TYPE OF SAVINGS ACCOUNT

The following procedure indicates how to change the account type of the checking account

from ‘Other Current Asset’ to ‘Bank’, so that the QuickBooks bank account management

functionality can be used.

STEP TASK

1 If it is not already open, open the Company Navigator window in QuickBooks.

2 Open up the Chart of Accounts by clicking on the ‘Chart of Accounts’ icon.



52

STEP TASK

3 Click on the ‘SAVINGS ACCOUNT’ account so that it is highlighted.

4 Click on the ‘Account’ button at the bottom of the Chart of Accounts window

5 Click on ‘Edit’. The ‘Edit Account’ window should display.



53

STEP TASK

6 Click the down arrow next to the ‘Type’ field to display the account type menu.

7 Click on ‘Bank’.

8 Click on ‘OK’ to close the ‘Edit Account’ window.



54

APPENDIX D - YEAR-END CLOSING IN QUICKBOOKS

As part of the year-end closing process, balance amounts in income and expense accounts are

transferred to the Retained Earnings account at the end of the year. QuickBooks does not

require that any special journal entries or procedures be performed to close these accounts at

year-end; instead it automatically reflects year-end closing based on the dates entered on the

reports.

For example, the Trial Balance report below was generated for the last day of the fiscal year,

September 30. Note that the income and expense accounts have balances.

The dates for this Trial Balance report are

the last day of the fiscal year.

The income and

expense accounts

have balances.



55

Continuing with our example, the Trial Balance report below has been generated for the first day

of the new fiscal year, October 1. Note that the income and expense amounts have zero balances

(they are not displayed on the report), and that the net balance amount for all the income and

expense amounts has been moved to the Retained Earnings account. This transfer of the balances

to Retained Earnings for year-end closing is reflected automatically in QuickBooks based on the

date of the report; the Chapter does not have to make any journal entries to accomplish this.

The dates for the Trial Balance report are

the first day of the new fiscal year.

The Retained Earnings

account now contains

the net balance amount

for all income and

expense accounts.



56

APPENDIX E - MOVING QUICKBOOKS DATA TO ANOTHER

COMPUTER

If a Chapter switches treasurers or purchases a new computer, it may be necessary to move the

QuickBooks program and data from one computer to another. In order to move the data, a

backup must be created on the original computer. After the QuickBooks software is installed

on the new computer, this backup file will be restored, which should restore all the company

data.

The following procedure details how to move the QuickBooks data and how to uninstall the

QuickBooks software from a computer.

Backing Up the Chapter’s Company Data

STEP TASK

1 If it’s not already open, open QuickBooks on the original computer and open the

company file for the Chapter.

2 Insert a 3½” diskette into the disk drive on the original computer.

3 In QuickBooks, click on ‘File’ on the top menu to display the ‘File’ drop-down

menu. Click on ‘Back Up’.

4 The ‘Back Up Company To’ window should now be displayed.



57

Click the down arrow button to

display the drop-down menu of

drive and folder locations.

STEP TASK

5 If necessary, click on the down arrow next to the ‘Save in’ header to display the

drop down menu and select ‘3½ Floppy’.



58

STEP TASK

6 In the ‘File name’ field, type in ‘Chapter###’ for the file name, where ‘###’ is

your Chapter’s unique chapter number. QuickBooks may automatically fill this in

for you.

7 Click the ‘Save’ button to save the backup file to the diskette. A confirmation

window should be displayed after the file has been backed up successfully. Click

‘OK’ to close this window.

This window should be displayed if the data was backed up successfully. If this window

does not display or if you receive any error message while backing up, contact the

Technical Support person at NAIC headquarters as indicated in the User Procedures

binder.



59

STEP TASK

8 Get your chapter’s Registration Number from Quickbooks and write it down, and

keep it with the your backup disk and Quickbooks CD.

With Quickbooks open, press the "F2" key. A “Product Information” window

will open.

The Registration Number is the 3rd one down, on the left side of the window.



60

Restoring the Chapter’s Company Data

After a backup of the company data has been successfully created and saved on a diskette, the

next step is to restore the file to the new computer.

STEP TASK

1 On the new computer, install the QuickBooks software as indicated in the User

Procedures binder.

2 Register the software on the new computer. The registration number should be

written on the inside cover of the QuickBooks manuals, so it may not be necessary

to register online or call Intuit. If you cannot find the registration number, follow

the instructions on page 8 of the QuickBooks Installation and Conversion Guide to

register the software.

3 Insert the diskette containing the backup file into the computer’s disk drive.

4 Click on ‘File’ on the top menu in QuickBooks to display the drop-down menu.

Click on ‘Restore’.

The ‘Restore From’ window should now be displayed:

STEP TASK

5 Click on the down arrow next to the ‘Look in’ header and select ‘3½ Floppy’. The

backup file should now be displayed in the window.

6 Click on the file name to restore in the window, or type the name of the restore file

in the field next to the header, ‘File name’. This file name is most likely named,

‘Chapter###.QBB’, where ‘###’ is your Chapter number.

7 Click the ‘Open’ button. The ‘Restore to’ window should now be displayed.



61

STEP TASK

8 If it is not already entered in the ‘File Name’ field, type ‘Chapter###.QBW’ next

to the header, ‘File Name’, where ‘###’ is your Chapter’s unique chapter number.

9 Click ‘Save’ to save the company file.

10 A confirmation window below should be displayed after the file has been restored

successfully. Click ‘OK’ to close this window.

This window should be displayed if the data was backed up successfully. If this window

does not display or if you receive any error message while backing up, contact the

Technical Support person at NAIC headquarters as indicated in the User Procedures

binder, Section 10.

STEP TASK

11 Enter your chapter’s Registration Number.

Click on "File". Then choose "Register Quickbooks Basic".

Choose "Phone". Enter your Registration Number.



62

Uninstalling QuickBooks

After the Chapter’s accounting data has been successfully backed up and restored to another

computer, the last step is to remove the QuickBooks software from the original computer.

Note: Do not uninstall QuickBooks from the original computer if you received any error during the back up or restore processes.

STEP TASK

1 Open the Windows Control Panel:

- Click on the ‘Start’ button in the lower left hand corner of the screen.

- Click ‘Settings’.

- Click ‘Control Panel’.

2 Double-click the ‘Add or Remove Programs’ icon in the Control Panel.



63

3 Click on ‘QuickBooks 2002’ so that it is highlighted. You may need to scroll this

list down using the mouse or the arrow keys to find QuickBooks.



64

4 With QuickBooks 2002 highlighted, click the ‘Change/Remove’ button.

5 Click ‘OK’ on the window to complete the uninstall process.



65

APPENDIX F – FOR QUICKBOOKS PRO, SAVE ACCOUNT BALANCE

FILE AS A SPREADSHEET.

These instructions replace the steps in “7. Creating the Account Balance File”. Complete

steps 1 – 9 as normal. Step 14 is critical.

After ensuring the Trial Balance is correct, the next step is to save the report to a spreadsheet.

The file should be saved to a floppy diskette, which you will then need to mail to NAIC

headquarters.

STEP TASK

10 Click on the ‘Print’ button on the first line at the top of the Trial Balance window.

11 If the ‘New Printing Features’ window displays, click ‘OK’.

The ‘Print Reports’ window should now be displayed:



66

STEP TASK

12 Under the header ‘Print to’, click the button next to ‘File’ so that it is marked.



67

STEP TASK

13 Click the down arrow in the file type window, which is immediately to the right of

the ‘File’ header. This will display the file type options.



68

STEP TASK

14 IMPORTANT STEP: click ‘Excel/Lotus 123 Spreadsheet’.



69

STEP TASK

15 Click ‘Print’. This will display the ‘Create Disk File’ window.

Excel(*.xls)



70

STEP TASK

16 If you are saving the file to a diskette, insert the diskette into the disk drive and

select ‘3½ Floppy (A:)’ in the ‘Save In’ field.

17 IMPORTANT STEP: in the ‘File name’ field, type ‘Chapter###’, where ### is

your Chapter number. Do not put a space between ‘Chapter’ and your Chapter

number in the file name.

18 Click on the ‘Save’ button to save the file.

This window shows an example of the file name that should be entered prior to clicking

the ‘Save’ button:

M M

Excel(*.xls)



71

APPENDIX G – NAIC CHAPTERS STANDARD CHART OF

ACCOUNTS

The attached Chart of Accounts contains account numbers and descriptions of accounts to be

utilized by all NAIC Chapters. Please do not add accounts without discussing with the VP

Finance or Controller at NAIC Headquarters. Subaccounts can be added to account for

various types of classes and expenses; see Appendix A for detailed instructions.

national association of investors corporation · pdf filenational association of investors...

Documents