This article explains how the Cashflow Forecast works in Magnifi. It outlines how the forecast is generated from the Balance Sheet Projection, how accounts are classified, how to re-forecast using actual results, and how to update values.
Refer to this guide when you want to:
View projected bank balances for your bank accounts.
Understand how inflows and outflows are classified in the Cashflow Forecast.
Re-forecast cashflow based on actual results.
Update or adjust Balance Sheet projections that flow through to Cashflow.
The Cashflow Forecast is an outcome of the Balance Sheet Projection. You must complete the Balance Sheet Projection for the forecast to be accurate.
The forecast displays projected balances for any bank account linked to a Profit and Loss account in the Chart of Accounts.
All values shown in the Cashflow Forecast are GST inclusive.
Accounts appear under the following labels:
Direct Deposits – any P&L account linked directly to a bank account in the Chart of Accounts.
Accounts Receivable / Payable – any P&L account linked to a Receivables or Payables account in the Chart of Accounts.
Taxes / Levies – GST, PAYGW, Payroll Tax, and Superannuation. Timing is driven by the Compliance Terms set for each account.
Other Receipts – Balance Sheet projections linked to a bank account, classified in the Balance Sheet as either Operating or Non-Operating.
Other Payments – Balance Sheet projections linked to a bank account, classified in the Balance Sheet as either Operating or Non-Operating.
Income Tax – either:
a P&L account with Account Category = Income Tax and linked to a bank account, or
Balance Sheet projections classified as Income Tax.
Dividends – either:
a P&L account with Account Category = Dividends and linked to a bank account, or
Balance Sheet projections classified as Dividends.
First, import the actual results under Cashflow → Balance Sheet.
Tick the Include Actuals option to display actuals up to the last imported month.
The opening and closing bank balances will reflect the actual balances.
Budgets are then re-forecast based on actual results.
Example: If actual income is $100,000 in September with 60-day terms, the forecast will show $100,000 collected in November.
Compliance accounts (GST, PAYGW, Superannuation, Payroll Tax) are also automatically re-forecast based on actual results.
You can update values for any Balance Sheet projection directly in the Cashflow Forecast.
Select Save to update the calculations.
To enter projections against a new account, you must first add it under Balance Sheet → Add Projection.
Do I need to set up the Balance Sheet first?
Yes. The Cashflow Forecast is entirely based on the Balance Sheet Projection.
Can I edit Cashflow directly?
You can edit values for existing Balance Sheet projections, but new projections must always be added through the Balance Sheet.
Are forecasts GST inclusive?
Yes. All values in the Cashflow Forecast include GST.
Can I produce a chart?
Yes. Click the chart option to display a graph showing actual results to date and budgets for the remainder of the period.