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Financial Reporting: Cost Centre Movements
Financial Reporting: Cost Centre Movements

Account for stakeholder movements in your expense report

Product Team avatar
Written by Product Team
Updated over 2 months ago

You can group expenses by cost centre by uploading stakeholder movements within the Financial Reporting product. Ledgy will allocate expenses to the correct cost centre based on your mobility amortization settings.

Please note:

  • You should upload movements for all stakeholders to ensure an accurate report. Stakeholders without movements will be "uncategorized" and the aggregated cost centre figures may have unallocated grants.

  • Ledgy has flexibility for you to enter whatever "type" of cost centre you want, but can only allocate expenses at one "level" of cost centre. For example, you can specify movements for either "legal entity" or "department" but you should not upload movements for both levels at the same time, as Ledgy will not distinguish between the two.

  • Stakeholder movements in Financial Reporting are independent from the stakeholder location history. These are separate data sources that do not interact with one another.

  • Cost centre allocations are handled at the tranche level.

How it works

1. Upload stakeholder movements

You can upload stakeholder movements by navigating to Cost centre movements within the report.

Click "Bulk edit" to access an Excel template for uploading your data. Each row represents one cost centre per stakeholder. Stakeholders with multiple movements should have multiple rows.

  • Stakeholder ID: identifier for existing stakeholder

  • Stakeholder name: name of the stakeholder

  • Cost centre: name of the cost centre (there is full flexibility to enter whatever you want, but naming must be consistent across all stakeholder movements)

  • Cost centre type: choose from the existing (this does not impact the calculations but is useful for record keeping)

  • Start date: the date the stakeholder moved to the cost centre (end dates will automatically be inferred based on the start date of the next cost centre)

Once uploaded, your data will be displayed in a table.

2. Choose mobility amortization settings

When generating a report period, select your mobility amortization method. This can be customized per settlement type.

Pro-rate means that the tranche expense will be spread across cost centres in proportion to the amount of vesting that occurred at a particular cost centre.

Current cost centre means 100% of the tranche expense will be moved to the latest cost centre, regardless of any overlap with the vesting schedule.

3. Review expensing report

Movements will generate additional tranche rows for each cost centre with detailed information on how the expense is allocated. Any view can be grouped by cost centre to see the aggregated expenses. There is a default "Cost centres" view that is already grouped for convenience.

FAQ

I already have a custom field for cost centre. Can I use that?

No, the cost centre logic does not read from custom fields. You must upload this data directly into financial reporting.

Can I sync stakeholder movements with my HR system?

Not at this time. Stakeholder movements must be uploaded using the Excel template.

Can I customize the mobility amortization method per grant?

Currently, you can only control this setting per settlement type, not at the grant level.

Can the Disclosures report be grouped by cost centre?

Yes, you can group Disclosures to see the quantities view by cost centre. Note that Disclosures allocates quantities to the "issuing" cost centre and does not pro-rate.

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