Sage 100 Tip of the Month: Print an Indirect Cash Flow statement from General Ledger

Understanding where your cash is coming from, and where it’s going, is critical for making informed financial decisions. While many organizations rely on external spreadsheets or reporting tools to analyze cash flow, Sage 100 includes a built-in option that’s often overlooked: the Indirect Cash Flow Statement.

With the right account setup, Sage 100 can generate this report directly from the General Ledger, giving you clearer insight into your organization’s cash activity without leaving the system. This tip of the month blog explains why you should be using the Indirect Cash Flow Statement in Sage 100 with steps to run the statement.

Sage 100 allows users to print an Indirect Cash Flow Statement from the General Ledger’s Financial Reports menu. To successfully run this report, all balance sheet accounts must be assigned one of four cash flow codes. Income statement accounts should remain unassigned.

Once the cash flow codes are properly configured, Sage 100 can produce a cash flow statement that organizes activity into operating, investing, and financing categories. This makes it easier to analyze cash movement and support financial reporting needs.

1. Assign cash flow codes to balance sheet accounts
   Before running the report, each balance sheet account must be coded correctly. To do this, navigate to: General Ledger > Main > Account Maintenance. For each balance sheet account, assign one of the following cash flow codes:

    

   • Cash
     Used for bank accounts and petty cash accounts.
   • Financing
     Used for accounts related to financing activities, such as Notes Payable, Lease Payable, equipment financing, or owner distributions.
   • Investments
     Primarily used for Fixed Asset accounts (excluding Accumulated Depreciation and Amortization) and other balance sheet accounts that fall under investing activities.
   • Operations
     Used for most other balance sheet accounts, such as Accounts Payable, Accounts Receivable, Inventory, Accumulated Depreciation, Accumulated Amortization, and other assets or liabilities related to day-to-day operations.

   Important: Leave all Income Statement accounts, such as revenue, cost of sales, and expense accounts, set to a cash flow type of None.

2. Run the cash flow report
   Once all balance sheet accounts are properly coded, you can generate the report by navigating to: General Ledger > Reports > Financial Reports. Select and print the Indirect Cash Flow Statement to view your cash activity organized by operating, investing, and financing activities.

Having access to an Indirect Cash Flow Statement directly in Sage 100 helps finance teams gain better visibility into cash movement without relying on manual workarounds. By properly coding balance sheet accounts, organizations can streamline reporting, improve financial analysis, and support more informed decision-making, all using tools already available in Sage 100.

If you’d like help setting up cash flow codes, validating your account structure, or exploring other ways to get more value from Sage 100, our Sage 100 team is here to help. Contact us today to start a project. And be sure to check back next month for our next Sage 100 tip as we continue sharing practical ways to optimize your system.