Currencies

If you buy from foreign suppliers or sell to overseas Customers, CifraHQ handles the conversion for you. Each currency you add carries an exchange rate, and every transaction in that currency is converted to your base currency at the rate in effect when it posts — keeping your Financial Reports consistent regardless of how many currencies your business operates in.

Where to find it

Go to Master Data > Accounting > Currencies.

How to add a currency

1. Click New.
2. Enter the Code (ISO 4217 standard — e.g., EUR, PAB, COP).
3. Enter the Symbol (e.g., €, B/., COP$).
4. Enter the current Rate — the number of your base currency units equal to 1 unit of this foreign currency.
5. Save.

Understanding exchange rates

The rate is expressed as: 1 foreign unit = X base currency units.

For example, if your base currency is USD and you're adding EUR with a rate of 1.08:

• 1 EUR = 1.08 USD
• An invoice of €1,000 is recorded in your books as $1,080 USD

Updating rates

Exchange rates move daily. Update the rate on each currency record before posting transactions in that currency — or use the rate shown on your bank statement for the transaction date. Accurate rates mean accurate P&L and a balance sheet that reflects reality.

The base currency

Your base currency is set during initial Setup and cannot be changed. It appears in bold on the currency list and cannot be edited or deleted. All Financial Reports are presented in your base currency regardless of what currency individual transactions were made in.

Tips

• If you transact regularly in a foreign currency, update the rate at least weekly. A stale rate can produce P&L figures that look right until you reconcile with your bank.
• The exchange rate on a posted transaction is locked at the time of posting. It cannot be adjusted retroactively — if the rate was wrong, void the document and repost with the correct rate.
• Make sure your financial institution (bank account) is set to the correct currency. A mismatch between the bank account currency and the transaction currency will cause reconciliation errors.

Related: Bank Transfers · Vendors · Customers · Invoices · Vendor Bills · Bank Transactions