Airbase books entries for recurring expenses in your General Ledger using Virtual Card Rules.
Virtual Card Rules need to be set up for a Virtual Card only once. Every future expense against a Vendor will be booked according to the Vendor's corresponding rule.
A Virtual Card Rule includes all the information needed to make an entry in the GL,
- GL Vendor.
- Line Level Tags.
- Transaction Level Tags.
Here is how Virtual Cards Rules work:
1. Create a Recurring Virtual Card.
While creating a Virtual Card for a recurring expense, the user will be prompted to add the Category and Tags.
When a new expense is created and paid for using the Virtual Card, Airbase will prompt you to review its Virtual Card Rule before it is booked in the General Ledger for the first time.
2. Approve Virtual Card Rule.
Once the card is created, you will see an option to Approve the Virtual Card Rule in the card details page.
The rule will include the category and tags that were set while creating the card.
While approving the Virtual Card Rule, there are additional options that will tell Airbase how to sync the entries:
- Amortization: Amortize Virtual Card transactions. Checking this option will book a single Virtual Card amount over several months.
- Auto-Sync: If the Auto-Sync is checked while approving the Virtual Card Rule, future transactions will have the category, tags, and GL vendor pre-set and synced to the GL.
If Auto-Sync is not checked, you need to manually approve the ledger entry every time the card is charged.
To book entries for transactions based on the Virtual Card Rule, it needs to be approved only once.
Edit the Virtual Card Rule using Edit Virtual Card Rule option.
Alternatively, you can approve the rule from the Accounting page:
- Go to Accounting > Virtual Card Rules > Pending Review.
- Find the Virtual Card from the list.
- Hover over the card to find the Edit option.
- Make changes, if needed.
- Click Save and Approve Rule.
You can approve Virtual Card Rules in bulk here.
Once the Virtual Card Rule is approved, all future transactions with the vendor will have the category, tags, and GL vendor pre-set according to the corresponding Virtual Card Rule.
Transactions will not be booked into the GL till the Virtual Card Rule is approved and Auto-Sync is selected.
To approve a Virtual Card Rule, Manage Accounting User Permission is needed.