This article provides a step-by-step guide for disbursing funds from a Client/Trust Account. You'll learn how to email owner statements and remittance advices, as well as how to reverse an incorrect disbursement. Following these steps helps maintain accurate records, ensures proper reconciliation, and supports audit readiness.
Preparation for a Disbursement
- Enter all expense invoices that need to be paid or held.
- Ensure payment and contact details are up to date for new owners and creditors.
- Run the Disbursement Preview Report or download Draft Owner Statements for an overview of the upcoming disbursement.
- Set up email templates for Owner Statements and Remittance Advices if this is your first disbursement.
- It’s recommended to reconcile your account beforehand, although this is not mandatory.
To begin, navigate to the Client/Trust Accounts tab, then click Disburse Funds.
Selecting a Disbursement Profile
- Select the appropriate disbursement profile from the dropdown menu.
- Choose to include all expenses due or define a specific date range.
- Set the statement date for the disbursement period.
- Click Save & Continue to proceed.
Processing Disbursements
Selecting Owners for Disbursement
Choose the owners to be included. If an owner has had no activity since the last disbursement and is excluded, they won’t receive a statement unless specific events occurred, such as received funds, transaction reversals, or changes in ownership. This step ensures that only relevant statements are issued.
Disbursing to Creditors
Review invoices related to the selected owners. Adjust payment amounts or withhold payments where needed. Invoices will not be selected for payment automatically if there are insufficient funds.
Disbursing Fees
Any fees associated with included owners will appear in this section. If sufficient funds are not available, they will not be auto-selected. You can choose to adjust, add, or remove fees as appropriate.
Disbursing to Owners
Manage how remaining funds are paid to owners. This is your final opportunity to adjust withhold amounts before moving to the summary screen.
Disbursement Summary and Completion
Review all details on the summary page. Once you download the bank file, the disbursement is final and cannot be cancelled—ensure everything is accurate before proceeding.
Download Bank File and Reporting
The bank file will align with your Trust Account configuration. After downloading it, you can choose to email or preview related reports and statements. These include a variety of management and audit reports that may be useful for accounting or compliance purposes.
Regional Terminology
The terms “Trust Account” and “Client Account” vary based on your region. Asia-Pacific customers will see “Trust Account,” while those in Europe will see “Client Account.” This feature is not available in North America. For more details, please refer to our Glossary of Regional Terminology.