---
title: "Creating and Configuring Current Account Interest Wizards"
description: "The wizard for the current account interest can be used in Lucanet to plan the automatic interest return of giro accounts and overdraft facilities."
source_url: https://support.lucanet.cloud/en/documentation/consolidation-financial-planning/planning/planning-wizards/current-account-interest
language: en
last_updated: 2023-08-16
---
# Creating and Configuring Current Account Interests

## Overview

The wizard for the current account interest can be used in Lucanet to plan the automatic interest return of giro accounts and overdraft facilities.

The wizard can be created for all reporting entities for values of ledgers and schedules in planning data levels, either within a **journal** or from a **ledger**.

## Creating a Current Account Interest Within a Journal

To create a current account interest within a journal:

{% stepper %}
{% stepper-step %}
Open the **Journal's** workspace.
{% /stepper-step %}
{% stepper-step %}
In the dimension bar, select the combination of a **planning data level** and **reporting entity** for which a current account interest wizard should be created.
{% /stepper-step %}
{% stepper-step %}
Right-click the root folder and choose **Create | Current account interest** from the context menu. The **Create Current Account Interest Wizard** dialog is displayed:

Creating a current account interest wizard

{% /stepper-step %}
{% stepper-step %}
Specify the **name** of the element and click **Continue**.

{% /stepper-step %}
{% /stepper %}
## Creating a Current Account Interest From a Ledger

To create a current account interest from a ledger:

{% stepper %}
{% stepper-step %}
Select the desired ledger (general ledger, sub-ledger or statistical ledger).

{% /stepper-step %}
{% stepper-step %}
In the dimension bar, select the combination of **planning data level** and **reporting entity** for which the wizard should be created.
{% /stepper-step %}
{% stepper-step %}
Right-click in the row of the ledger hierarchy for which a sheet should be created and choose **Create | Current acount interest**.

Creating a wizard from a ledger

{% /stepper-step %}
{% stepper-step %}
The **Create Current Account Interest Wizard** dialog is displayed:

Creating a current account interest wizard

{% /stepper-step %}
{% stepper-step %}
Specify the **name** of the element and click **Continue**.

{% /stepper-step %}
{% /stepper %}
## Configuring a Current Account Interest

To configure a current account interest, click the name of the desired element in the tree view, and then click **Edit** in the top right. The configuration is divided into general properties in the header and three configuration steps in the main section of the editing mode.

### General Properties

Configuration of general properties for a current account interest

The following properties can be configured in the header:

| Property | Description |
|---------|---------|
| Element name | Name of the wizard |
| Cost center | Cost center in which the posting is to be performed by the planning wizard |
| Currency | Currency in which the posting is to be performed by the planning wizard |
| Adjustment level | Adjustment level in which the posting is to be performed by the planning wizard |
| Basis | Adjustment level (group) used as the planning basis |

### Step 'Master data'

Configuration of master data in a current account interest

The following options can be configured in the **Master data** step:

### Calculation basis

#### Account or item

Accounts and/or items that should be taken into account when calculating the interest expense or interest income

#### Balance option

Balance to be used as the calculation basis. The following options are available:

- **Balance at start of month**
- **Balance at end of month**
- **Average balance of the month**

#### Option

Description

#### Interest rate table

- If the interest rate is always the same irrespective of the account balance, specify the desired interest rate.
- If the interest rate is dependent on the account balance, i.e. if different interest rates apply to different account balances:

{% stepper %}
{% stepper-step %}
Click the **Interest rate (%)** column and specify the desired interest rate.
{% /stepper-step %}
{% stepper-step %}
Click **\+ Add row.**
{% /stepper-step %}
{% stepper-step %}
Enter the value up to which the specified interest rate applies in the original row in the **To (exclusive)** column.

 The value is transferred to the new row as the starting value for the value range.
{% /stepper-step %}
{% stepper-step %}
In the new row, click the **Interest rate (%)** row and specify the desired interest rate.
{% /stepper-step %}
{% stepper-step %}
If applicable, add further rows and follow steps 2 to 4 in each case.

{% info-box %}
In the column **Interest rate**, you can also specify negative interest.
{% /info-box %}
{% /stepper-step %}
{% /stepper %}

#### Calculate interest per value range

Activate, if the interest should be calculated for each value range. In this case, the interest is based on the value of the calculation basis per value range and the interest rate of the respective value range.

{% info-box %}
If the check box is not activated, the interest is calculated on the total balance of the calculation basis with the interest rate of the value range within which the total balance is situated.
{% /info-box %}

#### Interest credit option

Allows selecting when the interest credits should be posted. The following options are available:

- **Every month**
- **Every last month of the calendar quarter**
- **Every last month of the calendar year**

#### Presentation in P&L

Allows selecting when the interest expense/income should be posted to the ledger. The following options are available:

- Present interest expense or income in each month
- Only present interest expense/income in the month of the interest credit

{% info-box %}
This option is only available if **Every last month of the calendar quarter** or **Every last month of the calendar year** is selected from **Select interest credit option.**
{% /info-box %}

### Interest

{% info-box %}
{% u %} **Note on adding a new time period in the Interest table** {% /u %}

If different interest rates apply to the same values for specific time periods in the planning data level, add and configure these periods as needed. Select **+Add time period**. In the **New Time Period** dialog, choose the first and last period for the time range with the deviating interest rates. The new period appears in the **Interest** table, where you can configure the interest rates as required.
{% /info-box %}

### Step 'Posting'

Configuration of posting details in a current account interest

In the **Posting** step, you specify the affected **accounts.**

If applicable, you can also select the desired **partner** from the drop-down list. The partner field is pre-populated with the default partner.

The following **accounts** must be specified:

#### Interest income (balance sheet account)

Balance sheet account to which the interest income is posted

#### Interest income (P&L account)

Income account on which the interest income is shown

#### Interest expense (balance sheet account)

Balance sheet account from which the interest payments are posted

{% info-box %}
If the check box is not activated, the interest is calculated on the total balance of the calculation basis with the interest rate of the value range within which the total balance is situated.
{% /info-box %}

#### Interest expense (P&L account)

Expense account on which the interest expenses are shown

#### Accrual account for interest (Balance sheet account)

Balance sheet account to which the accrual for the interest is posted

{% info-box %}
This option is only available if **Present interest expense/income in each month** is selected from **Presentation in P&L** from the **Master data** step **.**
{% /info-box %}

### Step 'Summary'

In the last step, a summary of the calculated interest amounts is displayed:

Summary of the calculated interest amounts

## Troubleshooting for Invalid Configuration due to Subsequent Debit/Credit Shift Activation

The configuration of the **Current account interest** wizard may become invalid due to a wrong **debit/credit shift** setup.

The error arises when the **Current account interest** wizard has been set up for an account for which a **debit/credit shift** is activated **subsequently** in its superordinate item, and in case that the specified accounts for the **interest income** and **interest expense** are in the same item as the debit/credit shift that was set up subsequently.

In this case, the wizard is displayed with a red warning icon:

Shows a journal and the details of a current account interest wizard. Highlighted in red are the wizard element with the red warning icon and the command 'Show error description'

To see the details of the error, click the command **Show error description** in the detail view of the wizard. The following message is displayed:

Error message

{% u %}To fix the error{% /u %}, you can do one of the following:

- Deactivate the debit/credit shift for the respective account.
- Include the opposite side of the debit/credit shift account to the wizard's calculation basis.
- Change the accounts used for posting the interest income and interest expense.