Merging of chart of accounts helps to make the account balances from one account to transfer to another. We can merge two or more accounts into one if they are the same account type and the account that needs to merge has no attached subaccounts, and also the accounts have same subsidiary access. The account can be combined with parent accounts or subaccounts. Those accounts that will not satisfy the above points need to reimplement by creating accounts and adding/importing transactions/balances to these accounts. Closing of the accounting period will not affect the merging process of accounts, if they have transactions in closed period.
The following accounts cannot be merged:
- Accounts Payable
- Accounts Receivable
- Advances Paid
- Inventory Asset
- Undeposited Funds
- Failed ACH Transactions
- Intercompany Clearing
- Intercompany Payable/Receivable.
- Accrued Purchases
- Payroll Liabilities
- Refunds Payable
- Sales Taxes Payable
- Opening Balances
- Cost of Goods Sold
- Uncategorized Income
- Uncategorized Expense
- ALL non-posting registers
Note:
Merging bank and credit card accounts automatically un-reconciles the reconciled transactions in the Merge From account. The transactions needs to re-reconcile in the register of the Merge To account.
To merge accounts, Go to Setup > Accounting > Manage G/L > Chart of Accounts.
- Click the Edit link to the left of the account that need to merge into another account.
- Then from the Actions list, select Merge.
- On the Merge Accounts page, select the account into which we need to merge this account. Only similar account types show in the Merge Into list.
- Click Save.
- At the prompt to confirm the merge, click OK. The chart of accounts displays the combined accounts.
The information and transactions for this account are combined with those of the account into which we have merged. So the balance of new account will be the total of “Merge From” and “Merge To” accounts.