Solicitor's Accounts - double entry???
can someone pls give me an overview of the basic double entry transactions involved with regards to a client's account.... i'm AAT qualified and have been doing bookkeeping for several years and my employer now wants to train me up in this area as well, he will be sending me on a specialist course soon but has advised me to start doing research before hand as part of the professional development etc... so i've had a look around and am trying to make sense of things, i have done 3-way reconciliations etc. and am aware of the client and office accounts as well... i'm just having trouble trying to put things into perspective as far as the double entry is concerned...and he has also told me to read through the Solicitor's Accounts Rules latest version, so that is something i am doing but in order to understand the handbook i need to have the fundamentals sorted first...
A client, Mr. Dean pays WK Solicitors £57,000 for his case....
WK Solicitors incur expenses on behalf of the client, and the money goes out from the client account... are these known as disbursements? these amount to £12,000, i am also aware that some transactions of this sort are settled via the office account, so they would transfer £12,000 from client to office a/c and pay the disbursement on behalf of the client in that way
WK Solicitors also have fees of £32,500 for the case
i know that there comes a point where a bill is raised to account for the above....
What would be the double entry for all this please? i've tried to come up with a solution but it doesn't make sense.... i'll continue researching and trying to come up with the answers but in the meantime will definitely appreciate any input from more experienced members on this site.... i know that they will go through this on the course, but that is months away and to be honest i would like to go in having at least the basics covered.... many thanks for your help!!
p.s. i've had a look through this site and have printed out the questions/answers related to this topic as well... however, they are not specifically relevant to my query...
- 31 Jan Procrastination Question: Computer Monitors 296 9
- Practice management 160 2
- Flat Conversion Allowance 69 1
- Watch out self-assessment scam e-mail 220 4
- Conversion from UK GAAP to IFRS 90 1
- IHT and cash gifts 86 1
- Childcare voucher schemes 143 7
- Clothing 188 4
- VAT registration transfer 160 3
- Previous auditor threatening to sue our firm for unpaid fees 593 30
- Sponsorship & VAT 91 1
- CT/CO'S HOUSE DATES ALLIGNMENT 125 2
- Director drawings 408 31
- IRIS opentax login problems?! 325 3
- Online Payroll with Auto Enrolment 104 1
- HMRC SA302s 214 3
- What does the "K" signify 440 7
- Director or self-employed 163 1
- The Copyright Licensing Agency 135 3
- Reporting foreign income in Self-Assessment Tax Return 144 3
- Form MR01 (Particulars of a charge) - does this need to be filed if you remortgage with the same lender? 909
- Underpaid VAT assessment and relation to SATR 615
- Did you realise Google will not patch android exploit ... 581
- Latest phishing scam 536
- Cashback for opening business bank acct = trading income? 380
- Corporate LLP with 30 June Year end - How to record on SA800? 349
- Auto Enrolment Questions Answered 283
- Loan benefit after person ceases as director/employee 203
- Capital allowances in first basis period 192
- Sabbatical payments 179