General Receipts Journal – Rule 3-61(1)(a)(i)

This journal lists all general deposits chronologically for all amounts received in connection with the law practice , other than trust funds,  and records for each amount:

  • the date of the receipt;
  • if from trust, the receipt and the invoice should be marked paid from trust;
  • from whom the funds were received;
  • amount received;
  • the purpose of the funds
    (e.g. paid on account, expense recovery);
  • invoice number, if applicable.

The following steps are required to process a deposit of general funds:

  1. Issue a receipt – the receipt ,usually pre-numbered, should contain full particulars about the transaction;
  2. Photocopy the deposit instrument and note the date, file number and purpose of the deposit on the photocopy. This is an optional procedure;
  3. Post the deposit to the General Cheque Book Register – record the deposit on the current cheque stub and update the running general account balance;
  4. Record the deposit in the General Receipt and Disbursement Journal. Record full particulars about the deposit in your journal.  Calculate your new running general account  balance in the journal;
  5. Post the deposit, if applicable, for payments of a client account receivable to the Account Receivable Ledger Card. Record full particulars of the payment on the Accounts Receivable Ledger Card and update the running accounts receivable balance;
  6. Record the deposit in the General Bank Deposit Book.  Record the file number and amount.  Total the general deposit for the day;
  7. Deposit all receipts as soon as practicable, preferably daily in the appropriate bank accounts.  Always retain a copy of the validated deposit receipt ,stamped with a bank stamp by the teller, using the duplicate deposit books supplied by the bank;
  8. Mark the general receipts in some fashion to indicate that the general records have been updated and the necessary entries have been recorded in the General Receipts and Disbursements Journal and the Accounts Receivable Ledger Card, if applicable.  An example would be the use of a ‘posted’ perma-stamp that you can date and initial.

Account Receivable Ledger Card - Rule 3-60(1)(b) – Sample

Account:               TIMS, JOHN
Re:                       Mortgage 456 6th Avenue
Client Matter:        #1016

DATE

PARTICULARS

DOC.#

EXPENSES

PST

GST

FEES

PAYMENT

BALANCE

Oct  01/2006

City of Vancouver

G8001

25.00

       

25.00

Oct  01/2006

LTO Paid for registry search

G8002

20.00

 

1.20

   

46.20

Oct  10/2006

Fees Invoice #6

   

28.00

24.00

400.00

 

498.20

Oct  15/2006

Trust Transfer Payment of Invoice #6

R456

       

498.20

NIL