CounselLink Answer Center for Clients

Creating Accruals

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This article covers the following:

About Accruals

Accruals allow finance teams to record legal expenses that law firms have incurred but not yet invoiced. Clients request accrual submissions from law firms, review and adjust those submissions, and then provide the expense amounts to their accounting department.

You need the Financial Administrator role to create and manage accruals. The Accruals feature must also be enabled for your organization. Contact Customer Care for more information.

General Accrual Process

  1. Create an accrual.
  2. Request accrual amounts from law firms.
  3. Law firms submit their accruals before the due date.
  4. Review and accept submitted accruals for financial reporting.

Creating an Accrual

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You can create an accrual from the homepage or the Accruals Search page.

Click here to watch a video on this topic. You must have the Finance Administrator role to create accruals.

  1.  Open the Create Accrual page by one of the following methods:

    • Click +Create Accrual in the Billing homepage panel.

    • Click +Create Accrual in the upper-right hand corner of the Accruals Search page.

      The Create Accrual page displays.

  2. Complete the following fields:

    Fields marked with an asterisk (*)are required.

    Field Description

    Accrual Name*

    		 Enter a name for the accrual.

    Contact Office *

    		 Select the contact office for the accrual cycle.

    Client Contact*

    Select the user who will receive notifications for the accrual.

    You must have the Finance Administrator role to appear on the list.
    Accrual Submission Instructions Enter additional instructions for the law firms to complete the accrual cycle.
    Accrual Period*

    Select a predefined fiscal period or choose Custom to define start and end dates.

    If your organization uses an alternative fiscal calendar structure, you may select either calendar months or a fiscal calendar.

    Start Date/End Date*

    For standard periods, these dates auto-populate. For custom periods, select dates using the calendar picker.

    The date selected must be greater than the start date and the current date.

    Due Date Options*

    Select a predefined option or choose a custom date.

    Accrual Due Date*

    Select a due date. Based on the Due Date option selected, the date will pre-populate. For Custom dates, click the calendar icon and choose a date.

    A law firm user cannot modify an accrual after the due date.
    Accrual Threshold (per matter) Enter the minimum amount required for submission. For example, if set to $5,000, firms do not need to submit accruals below that amount.

    Currency*

    		 Defaults to your organization’s currency but may be changed.

    Exchange Rate Options*

    		 Select a rate based on the start, end, or due date, or choose a custom date.
    Exchange Rate Date Based on the start/end date, this will be pre-populated. For Custom dates, click the calendar icon to select a date.
    Show Accrual Columns Select up to three optional columns for additional context.
    Send Email Reminder Specify how many days before the due date to send a reminder.
  3. Click Save.

Adding a Law Firm to an Accrual

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Once the accrual is created, you must assign law firms. You can also add law firms later.

Only law firms with active matters may be added.

  1. Click on the Amounts tab on the Accrual Overview page.
  2. Perform one of the following:
    • If your accrual contains no law firms, select:
      • Select Law Firms: Manually select law firms. Continue to Step 3.
      • Include All Law Firms: Automatically assigns all active law firms with at least one active matter.
    • If your accrual contains law firms, click +Add Law Firm and continue to Step 3.

  3. Select the law firms by placing a check mark next to their name.

  4. Click Save.

Requesting an Accrual Amount from a Law Firm

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Accruals do not need associated matters before requesting submissions.

Law firm users do not see accruals with a "Not Requested" status.

  1. Click the Amounts tab on the Accrual Overview page.
  2. Place a check mark next to the law firm(s).

  3. Click Request.

    The Request Law Firm Office window displays.

  4. Click Yes.

The Accrual Requested Date and Request Status update, and an email notification is sent to law firm users with the appropriate role.

Adding Matters to Accruals

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Both your organization and law firms can add matters to an accrual. Added matters apply to all offices included in the accrual.

  1. Click the Amounts tab on the Accrual Overview page.

  2. Click +Add Matter. The Add Matters window displays.

  1. Select the matter(s). Search for them by using the search bar, filtering your results, or use the Law Office Name filters to narrow your list results.
    • Optional: Check the box by Matter Number to select all the matters on the page.

    • Optional: Click the drop down arrow next to the box. Choose Select All Pages to select all matters available, or choose Select This Page to choose only the matters listed on that results page.

  2. Click Add Matters.

To view assigned matters, expand the arrow next to the law firm’s name.

Accrual Overview Page

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In the top right corner of the overview, you can:

  • Edit (pencil icon): Edit accrual details.
  • Delete (trash can icon): Delete the accrual.

Accrual Details

The Accrual Details section displays the date it was created, the threshold level, and the currency.

Contact

The Contact section displays the user that is the point-of-contact on the accrual and the office to which its associated. Click either name to view more info.

Accrual Periods

The Periods section displays the start and end date for the Accrual period. Click the down button to add a new accrual period.

Tabs on the Accrual Overview Page

Tab Description
Amounts Contains the law firms and matters assigned. You can also request and accept accruals on this tab.
Comments Displays information related to the spend so far on the matter, including budget and reserves (if enabled for your organization).
History Displays the list of law firms assigned to a matter. You can also view details about a law firm's fees and discounts, if applicable.

Entering Accrual Amounts

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You can edit accrual amounts for one law firm at a time.

If a law firm has submitted an amount, editing is available only if your organization allows edits to submitted accruals.

  1. Click the Amounts tab on the Accrual Overview page.
  2. Place a check mark next to the law firm.

  3. Click Edit. The Edit Accrual Amounts page displays.

  4. Enter an amount in the Amount field.
  5. Complete other fields as needed. 

  6. Use the buttons at the top of the page or click the More Actions (three vertical dots) icon at the end of a row to make additional edits.

    Action Description
    Add Comment

    Click the three vertical dots at the end of a row to add or edit comments. The comment appears next to the matter as a note icon in the law firm's drop down list.
    Add Rows Add additional rows to the matter. For example, you may need to add rows to enter specific amounts for different months in an accrual quarterly period. Click Remove Row to remove an additional row.
    Add Unassigned Matter Add an unassigned matter to the law firm.
  7. Click Save.

Importing Accrual Entries

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You can import accrual entries using the provided Excel template. Imports are limited to one law firm at a time.

Imports are limited to one law firm at a time.

  1. Click the Amounts tab on the Accrual Overview page.
  2. Place a check mark next to the law firm.
  3. Click the More Actions drop-down menu.

  4. Select Import.

    The Import Accrual Entries window displays.

  5. Download the Accrual_Import_Template.xlsx file by clicking on the link.

    It is recommended to download the blank template file so that your upload file is formatted properly.

  6. Find the file in your downloads folder to open it.

  7. Complete the fields as required.

    You can enter amounts for matters that have previously been added to the law firm accrual or enter new matter references.

    Field Description
    Matter Title Enter the Matter Title.
    Client Matter ID For assigned matters, enter the Client Matter ID.
    Law Firm Matter ID For unassigned matters, enter the Law Firm Matter ID.
    Amount Enter an accrual amount.
    Currency Provide the currency as a three letter code (ex. USD).
    Dates of Service Only used if selected upon accrual creation. Enter the dates of service for the accrual required in MM/DD/YYYY format.
    LF Invoice Number Only used if selected upon accrual creation. Enter a law firm invoice number.
    Invoice Date Only used if selected upon accrual creation. Enter an invoice date for the accrual amount.
  8. Save the file to your computer.
  9. Choose the file in the window or drag and drop it.
  10. Click Import. The Import Accrual-Status window displays with a breakdown of the Count of Records:
    • Matter Accrual amounts will be updated: The accrual amounts are importing successfully for a previously added matter.
    • Matters will be added to the period with Accrual amounts: The matter was not previously added for this law firm office. The matter and accrual amounts are importing successfully.
    • Matter Accrual amounts have no changes: The matter and accrual information was previously added, and there is no change from this import.
    • Matter Accruals amounts have errors and will not be imported: There is an error with the record, such as an invalid currency.
  11. If necessary, click View Status Report to view a detailed description of any errors.
  12. Click Continue. The accrual amounts are updated.