How to set up a Transaction Code
The following article outlines the steps involved in setting up a new transaction code in the PMS.
Step 1: GL Accounts
The first step to setting up a new Transaction Code is to determine if the corresponding GL Account already exists in the PMS. If it does not, one will need to be added.
Go to System Configuration > Transaction Codes, and then proceed to the GL Accounts tab.
- If there is already a General Ledger Account that corresponds with the Transaction Code you are about to create then you may skip ahead to Step 2
- If none of your pre-existing General Ledger Accounts correspond with the Transaction Code you are about to create, then select the Add button to create a new General Ledger Account.
NOTE: You should never modify the name of a General Ledger Account (ie: changing A/R Guest to VISA). If you no longer need a General Ledger Account then simply uncheck the "Active" box to make the General Ledger Account inactive. Slight changes to the name is ok (ie: changing A/R Guest to Guest Ledger or changing A/R City to City Ledger)
If a new GL Account needs to be created, fill in the following information:
- Account Identifier – can be an abbreviated form of the General Account Name or the full name if desired (NOTE: If you are using an Accounting Export Interface such as Quickbooks then this should be the Quickbooks Account Number for the General Ledger Account you are Creating. This may also apply to any external accounting software package using numbered GL Accounts).
- Account Name – full name of the General Ledger Account
- Active – check this box to activate the General Ledger Account
- Receivable – The PMS only has 3 Receivable Accounts – A/R Guest, A/R City and Deposit Holdings. These are configured during the initial PMS setup. No other Receivable Accounts should ever be added.
Once complete, click OK to save.
Step 2: Codes
Proceed to the Codes tab.
First, you must decide what type of code you are creating:
- Room Charge Code – only Room Charge codes should be placed in this area as this is where your Average Daily Rate and Room Revenue figures pulled from. Transaction Codes such as "Meeting Room Rental" should be placed under the Other Charge Code area
- Other Charge Code – all Transaction Codes that are not a Room Charge Code or not a Payment Code should go under this area
- Special - Contains the Deposit Holdings and T/A Commission Transaction Codes. These codes are created when the PMS Database is setup, and are required for it to function properly - DO NOT CREATE OR ALTER Transaction Codes within this Code Type, or the function of the PMS will be compromised.
- Payment Code – all payment related Transaction Codes should go under this area Use the pull down menu to the right of your screen to select the code type
In this example, we are creating a Resort Fee code, which will fall under Other Charge. Using the drop down menu on the right, we can select Other Charge from the menu.
Now we can fill in the details for the Resort Fee transaction code.
- Code - abbreviated code for Transaction Code Name (this is the code that will appear when posting payments/charges)
- Description – full Transaction Code Name
- Tran Subgroup – there are two tran subgroups available in the PMS
Lift Tickets – developed for one specific property and should not to be used without consulting our Support Team first.
Cancellation Fee – Assign only to Transaction Codes intended to be used during the cancelling of a reservation (ie: Cancellation Fee or No Show Transaction Codes only)
- Sort Order Number - allows you to sort the order in which your transaction codes will appear in the PMS
- Active – checking this box will make your Transaction Code active however, this cannot be checked until AFTER the proper GL Accounts have been assigned to the Transaction Code
- Non Tax Transactions – this function allows you to have a transaction code change from a taxed Transaction Code to a non-taxed Transaction Code after a specific period of time. For example: You may set up your Room Charge Transaction Code (RCH) to change to your Room Charge Tax Exempt Transaction Code (RCHTE) on Day 30 of a guest's stay. This means, on the 30th day of the guest's stay, the Room Charge will begin to post without taxes
- Repeatable – select if this Transaction Code is a repeatable charge
- Repeated – if Repeatable is yes, then you would select the charge will be repeated per STAY (only occurs once per stay), DAILY (occurs every day), WEEKLY (occurs once a week) or MONTHLY (occurs once a month)
- Per – select if this charge a Per Person or a Per Room charge
Attaching the correct General Ledger Accounts
- Once on the "Accounts" tab, ensure you have the correct Transaction Code selected at the top
- Click the Insert button to enter in the associated GL Accounts.
The purpose of this step is to provide the PMS with instructions on which GL Accounts to Credit and Debit, when a Charge or Payment is posted to either the Guest Ledger, or the City Ledger.
- After clicking Insert, for a Room Charge or Other Charge Transaction Code, the Date From, Debit and CL Debit fields will automatically populate with the correct General Ledger Accounts (for A/R Guest and A/R City only). This is highlighted in green below. You must select the correct GL Account for Credit and CL Credit (highlighted in pink below).
If you were creating a Payment Code, the Date From, Credit and CL Credit fields will automatically populate with the correct General Ledger Codes (A/R Guest and A/R City only). In this case, you must select the correct GL Account for Debit and CL Debit instead.
- Click on the Credit box (or Debit box if you are creating a payment), and a drop down menu will appear. Select the General Ledger Account that corresponds with the Transaction Code that you are setting up. (NOTE: The CL Credit will automatically populate with the same GL you selected as your Credit. If this was a payment, you would select the Debit and the CL Debit would automatically populate based on your Debit selection)
- The Date From field (highlighted in blue) indicates from which day these GL Account mapping instructions are to take effect. In most cases with any new codes, the Date From should be the current date. If you are changing an existing code's mapping instructions, do not delete the original instructions, as anything that was posted through this code prior to the current date will become "unmapped" revenue in the PMS, and will cause an imbalance in your General Ledgers. If the mapping is deleted, you will need to contact our Customer Support to have the code "Backdated" by our Development Team, which can take some time to process.
- The Date To field must be left blank (highlighted in orange)
In the below example, we are attaching our Resort Fee to it's own GL Account, also called Resort Fee. This One-To-One Transaction Code to GL Account relationship is quite common, and will allow us to track the revenue generated by the Resort Fee Transaction Code on it's own. If a property does not have a pre-existing set of rules laid out by their Accounting Department regarding linking codes to GL Accounts, a One-To-One Code to GL Account method is recommended.
Once done, click OK to save your selections.
IMPORTANT NOTE: If the Debit/CL Debit populated with something other than A/R Guest and A/R City for a Room Charge Code or the Credit/CL Credit populated with something other than A/R Guest and A/R City for a Payment, please contact Customer Support for assistance before proceeding or posting the code in the PMS.
With the correct GL Accounts now attached for the Resort Fee transaction code, it will behave as follows:
When the Resort Fee is posted on the Guest Ledger it will:
- Debit the A/R Guest GL Account (Debit)
- Credit the Resort Fee GL Account (Credit)
When the Resort Fee is posted on the City Ledger it will:
- Debit the A/R City GL Account (CL Debit)
- Credit the Resort Fee GL Account (CL Credit)
Attaching Taxes (if applicable)
If taxes apply to this transaction code, and need to be attached, proceed to the Taxes tab. Any existing Tax Codes in the PMS are displayed under Available Taxes.
- Select the desired tax from the Available Taxes column
- move it over to the Assigned Taxes column using the <- Add button. This must be done one tax at a time.
If you make a mistake, remove the tax by selecting it under the Assigned Taxes column and clicking the Remove -> button.
If the Transaction Code being created has a predetermined price, it is possible to apply that price to the code itself, so when posted in the PMS, it will default to that amount every time. For example, if the Resort Fee is $15.00 per day, then we can stipulate that every time the Resort Fee is posted in the PMS, either manually or automatically, it will always post at a rate of $15.00. This can be useful when setting up Transactions that are designed to repeat on a regular basis.
To input a Fixed Amount, select the Insert button.
- Date From - will automatically populate with the current date
- Date To - Click on the drop down box below Date To to insert and end date for this fixed price. If you leave the Date To blank, the fixed amount will remain until it is manually changed
- Fixed Amount - Input the dollar amount of the charge
- Commission - If a commission is charged on top of the fixed fee, enter the amount
- IsCommAmount - If the commission is a dollar amount, check the box under IsCommAmount, otherwise, the commission will calculate as a percentage.
Click OK to save any changes.