Currency exchange and exchange rate difference

When you need the “Currency exchange” document

You need the “Currency exchange” document when the company buys or sells currency: for example, buys 1,000 USD for hryvnia to pay a supplier invoice. If you simply transfer money between accounts, Bimp will not account for the exchange rate difference, and balances and profit in reports will diverge. An exchange records the actual rate and calculates the financial result.

How to process a currency exchange

You create an exchange in the “Other cash operations” section using the amounts from the bank statement.

1. Open Finance → Other cash operations, click Create and select Currency exchange.
2. Fill in the left part: “Comment” (optional), “Responsible”, “Creation date” (current; you can change it), “Document number” (automatic or your own), “Line of business”, “Project”.
3. In the Sale section, specify “Exchange amount” and “Currency” (what is debited), the settlement type (Non-cash or Cash) and the account or cash desk the money is taken from.
4. In the Purchase section, specify “Credited” and “Currency” (what is received), the settlement type and the account or cash desk the money is credited to.
5. Check the “Rate” fields in the sections and the “Exchange rate difference” below them.
6. Click Save.

Bimp calculates the cross rate itself from the amounts you enter: you do not need to enter it, just specify the amounts from the statement.

How the exchange rate difference works

Bimp compares the actual rate of the transaction with the internal currency rate from the reference list on the transaction date. If they differ, an exchange rate difference is accrued in the accounting currency.

Result	When it occurs
Expense from exchange	the currency was bought at a higher price or sold at a lower price than it is recorded in the system
Income from exchange	more base currency was received than was recorded before

Rates are set up in the reference list: see Currencies, rates and multi-currency accounting.

Exchange between two foreign currencies

Bimp lets you exchange foreign currencies directly, for example EUR for USD: select EUR as the debit currency and USD as the receipt currency. Bimp automatically converts the transaction to the base currency (UAH) using the internal rate on the transaction date. This is needed to show capital correctly in the Management balance sheet.

What to check after an exchange

After an exchange, check three places:

1. Cash flow: a debit in one currency and a receipt in another: Cash flow.
2. Account balances: whether the closing amounts match the bank’s.
3. Income and expenses (P&L): the line for income and expenses from currency operations: Income and expenses.

Common problems

You cannot change the currency in the document. Cause: the needed currency is not added or is disabled. Solution: open Directories → Currencies/Rates, then add and activate the currency.

The “Save” button in the currency reference list is inactive. Cause: required fields (rate, date) are not filled in, or your role lacks the “Edit directories” permission. Solution: check the fields, and if they are filled in, contact the administrator. They will check the role in Company settings → Access roles, see Access roles.

The “Cash desk/Card” field is constantly “Loading”. Cause: access to the financial account is not enabled for your profile. Solution: an administrator checks access in Company settings → Users → Access roles. For more about cash desks, see Bank accounts and cash desks.