In the Recurring Journals of Dynamics NAV, there is a Recurring Method "Balance". This is probably the least used method, but according to the standard training material and the help files, this method could be useful to redistribute general expenses to (for example) a cost centre at the end of the month.

An Example: a company purchases from time to time office supplies. Because all the departments are using these office supplies, the purchase is posted to a general dimension. At the end of the month the "general" office supplies could be redistributed by using Recurring Journals.

Description	Debit	Credit	Dimension	Allocation
Purchase office supplies during month	1000		GENERAL
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"		1000	GENERAL
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	600		ADM	60%
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	300		SALES	30%
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	100		PROD	10%

 

This is the theory, but it's not always obvious to put theory into practice. However, in this case it's not that difficult. But when I first tried this, it didn't work out as I wanted because of the following reason. And this reason is a requirement in order to use the above principle in a successful way:

It is important only to use the general dimension during the posting of the office supplies during the month.

For example: the accountancy department purchases office supplies that will be used only in their department. Normally this purchase could be posted directly to the dimension ADM. But if you do this on the same G/L account as you would post the general office supplies, at the end of the month while redistributing using the Recurring Journal, also the ADM office supplies will be redistributed using the allocation key.

The way most users want it

Description	Debit	Credit	Dimension	Allocation
Purchase office supplies during month for general purpose	1000		GENERAL
Purchase office supplies during month for Accountancy Department	200		ADM
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"		1000	GENERAL
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	600		ADM	60%
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	300		SALES	30%
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	100		PROD	10%

 

The way NAV does it

Description	Debit	Credit	Dimension	Allocation
Purchase office supplies during month for general purpose	1000		GENERAL
Purchase office supplies during month for Accountancy Department	200		ADM
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"		1200	GENERAL
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	720		ADM	60%
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	360		SALES	30%
Recurring Journal: Method "Balance" – G/L Account "Office Supplies"	120		PROD	10%

 

You notice the difference?

An alternative is using 2 G/L accounts for office supplies: one for the assignable expenses and one for the non-assignable expenses. It would be the last one that you then can redistribute using a recurring journal.