Automatic financial statement generation with software

Automatic financial statement generation is the function through which management software produces the condominium's annual accounting document from the movements already recorded during the year. Article 1130-bis of the Italian Civil Code sets a precise structure: the statement is made up of the accounting register, a financial summary and a synthetic explanatory note on the management. Software that derives all three elements from the same data base ensures the figures match and drastically reduces the closing time.

The structure required by law

Case law has clarified that the condominium financial statement follows a mixed system, combining the cash criterion and the accrual criterion. The accounting register chronologically records actual collections and payments, so it answers to the cash criterion. The financial summary and the balance sheet represent credits and debts, including items that mature between one year and the next, so they introduce accrual accounting. The synthetic explanatory note illustrates the salient aspects of the management, ongoing relationships and pending issues.

• Accounting register: chronology of collections and payments for the year.
• Financial summary: income and expenses by item, with balances.
• Balance sheet: funds, receivables from owners, payables to suppliers.
• Synthetic explanatory note: management facts, disputes, pending relationships.

How the software builds the document

The software does not ask the administrator to copy the totals. The register comes from the accounting movements of the year, the summary aggregates outflows by account and income by instalment, and the balance sheet sums the funds and computes the residual receivables from the owners starting from the instalments issued and the collections received. Every figure is traceable down to the movement that originates it, so if a question arises at the meeting the administrator can drill from the total to the single document in a few steps.

The synthetic explanatory note remains the drafted part, but the software helps here too, suggesting the objective data to comment on: the balance of the funds, the list of defaulters, the ongoing contracts and the extraordinary expenses resolved. The administrator adds the judgements, the software provides the structure and the figures.

The risk of figures that do not add up

A resolution approving the statement can be challenged when the document is incomplete or inconsistent, for example if the explanatory note is missing or if the summary does not reconcile with the register. In the manual method this inconsistency is almost inevitable, because the totals are copied from different sources. By generating everything from the same base of movements, the software makes reconciliation a property of the system rather than a check to run by hand every time.

Budget, year-end report and balancing charge

The statement does not live in isolation: it is compared with the approved budget and produces the balancing charge for the owners. Good software links the three phases. The budget defines the ordinary instalments, the year-end report measures the actual spending, the balancing charge allocates the difference using the same tables used for the instalments. Here too, consistency between the allocation criteria prevents an owner from paying instalments computed on one base and receiving a balancing charge computed on another.

Export and retention

The generated document must be retained and made available. The administrator is required to keep the accounting documentation and to allow the owners to inspect it. The software exports the statement in a readable and stable format, archives it together with the register and the supporting documents, and keeps it linked to the relevant financial year, so the following year the document remains available without reconstructions.

AmministraPro generates the statement from the recorded movements, with register, summary and balance sheet aligned by construction, and places the explanatory note alongside the data to comment on. The reporting functions are described at /funzioni, while the plans for offices that close many financial years each year are at /prezzi.