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What is 0510 account used to - Algemene reserve

door Leart

Hello,

I have a question about understanding of one the accounts that are used in the Netherlands.

 

Account 0510 - Algemene reserve, 

From the trial balance it's shown only in the new finaciel year, and not the last one.

 

When you go to account by detail, no transactions are done to this account.

 

Leart_0-1671549136179.png

 

Leart_1-1671549254264.png

 

I wanted to know how the account is accumulated and where it gets the amount from.

 

Thanks in regards

 

3 ANTWOORDEN 3

door Roland van Belle - Consolit (Bijgewerkt ‎20-12-2022 16:50 door Roland van Belle - Consolit PARTNER )

The account 'Algemene reserve' is booked automaticly by the system with the result of previous bookyear.

You will find the account in General Ledger Preferences (Retained Earnings Account).

RolandvanBelleConsolit_0-1671551224535.png

The amount on the YTD Net Income Account of end 2022 will be automaticly booked on the Retained Earnings Account in period 01-2023.

 

Leart
CONTRIBUTOR *

door Leart

Thanks for the clarification.

Is their a way of not including it? as we don't have use of it.

door sanderdercksen

If you make sure that in the previous year the accumulated YTD Net Income is zero, the balance of 0510 will also remains zero. The retained earnings account just accumulates the net income over years. 

By the way it's possible to change the account to be used as retained earnings account in the General Ledger Preferences