Advising clients how to keep more of what they earn,
with no surprises.
Who Should Have Access to the QuickBooks file?
Do not discount the time and thought needed in determining who should have access to what areas of the program, including the ability to edit and delete transactions. The best way to improve internal controls is to only provide access to users on an as needed basis.
The Admin password in QuickBooks provides access to various aspects of the program including Company Preferences & creating an Accountant’s Copy, etc. Because of this, it is important that the client have the Admin access, but that the password is kept confidential. In addition, we suggest that no one uses the Admin password for day-to-day transactional data entry. It should only be used for setting up new users and performing tasks that require the Admin password.
If a user should no longer have access to the data file, the proper procedure is to edit the name and/or password. DO NOT DELETE THE USER. If the user is deleted, the audit trail will be blank in the user column so the historical information is compromised. DO NOT change the user name and password to that of the new person. Again, the historical transactions will be updated to reflect the change and if there is ever a need to know who specifically has touched the transactions, the report will no longer be as useful. If fraud is discovered, an accurate audit trail report may be the most complete, if not the only proof, that is available of what has transpired.
Each user will need to be set up individually. The specific areas that are available for no access, full access, or selective access (i.e. create transactions, create and print transactions, or create transactions and generate reports) are as follows:
- Sales and Accounts Receivable (including view complete customer credit card numbers)
- Purchases and Accounts Payable
- Checking and Credit Cards
- Inventory
- Time Tracking
- Payroll
- Sensitive Accounting Activities (includes online banking, transfer funds, and journal entries)
- Sensitive Financial Reporting
- Changing and deleting transactions in A. permitted areas and/or B. closed periods
The user’s job requirements should be considered when deciding whether to allow no access, full access or selective access for the above areas.
©2010. No part of this newsletter may be reproduced or redistributed without the express written permission of the copyright holder. Although the information in this newsletter is believed to be reliable, we do not guarantee its accuracy, and such information may be condensed or incomplete. This newsletter is intended for information purposes only, and it is not intended as financial, investment, legal or consulting advice.
