The old and new accounting systems. Our country’s economy is developing rapidly, and the times are constantly changing. The old accounting system can no longer meet the development needs of today’s society. To ensure the steady development of the economy and adapt to the progress of society, the Party Central Committee has adjusted the government accounting system accordingly. As a result, a new accounting system has emerged. Compared with the old system, the new system has undergone many changes, so there have been many problems in the convergence process of the old and new systems.
Here are the articles to answer, the doubts about a convergence of the old and new accounting systems!
This article analyzes this problem. First, it introduces the changes in the new system compared to the old system, secondly, it points out the existing problems in the convergence of the old and new systems, and finally, it proposes corresponding solutions to the existing problems.
Introduction
With the continuous development of our country’s economy and the deepening of the reform of the fiscal system, the scale of our country’s public finances has gradually expanded, and the old accounting system is no longer suitable for the current situation. Therefore, my country implemented a new government accounting system on January 1, 2019.
Compared with the old system, the new system has changed at many levels, promoting the development of government work, but a series of problems have also emerged in the process of connecting the old and new systems, hindering the further improvement of the new system. Based on this, this article analyzes these problems and proposes corresponding solutions, hoping to effectively use the advantages of the new system to ensure the efficient development of government work.
The background, significance, and changes of the new system change
(1) The background of the change of the new accounting system.
My country has gone through more than 40 years of ups and downs since its reform and opening up in 1978. Correspondingly, it took about 40 years for my government’s accounting reform from the initial reform and adjustment stage to the current breakthrough stage of comprehensive reform.No matter what era it is, to make the country strong, the nation rich and strong, adapt to rapid development of the global economy and the ever-changing changes times, they are all making their efforts.
In the context of the new era, to be able to more intuitively understand the real financial income and expenditure situation and ensure the efficient operation of the government’s various tasks, the government has revised the “Accounting System of Administrative Units”, “Accounting Standards of Public Institutions”, “Accounting System of Public Institutions” and other systems since 2010, basically meeting the needs of the current government budget work.
The collection and payment realization system originally adopted by the government cannot accurately reflect the government’s financial income and expenditure status, and therefore cannot prepare reasonable and accurate financial reports, which is not conducive to the government’s next work plan. Because of the above-mentioned problems, the government has had to make institutional changes over and over again to adapt to different types of work needs.
(2) The significance of the change in the new accounting system.
The reform of the government accounting system is an important measure to conform to the development of the times and implement the spirit of the 19th National Congress of the Party. As the so-called details determine success or failure, the change of the new accounting system is established from the subtleties through slow exploration and research.
The new accounting system unifies the accounting system, enabling institutions such as universities, public hospitals, scientific institutions, and academic institutions to carry out the same accounting, and the information between them is comparable, which is conducive to communication and exchanges between institutions. The new accounting system integrates the government’s financial resources.
The use of the accrual system can fully understand the financial income and expenditure situation in the government’s daily financial management, and can more accurately reflect the government’s budget implementation and assets and liabilities. It can better prevent the abuse of funds and can provide a more accurate, truthful, and comprehensive basis for subsequent decision-making, which is conducive to the effective allocation of government resources.
The new accounting system has improved the information platform, guaranteeing the security of information in various departments, closely connected the work of various departments and sectors, re-sorted out the workflow, and carried out a more detailed division of labor, greatly improving the efficiency of accounting work.
(3) Changes in the new accounting system.
Adopt a dual-core computing system.
Before the system change, the old system had always used a single accounting system, the collection, and payment realization system, for accounting and the preparation of statements. The new system changed this and adopted a dual accounting system. The accrual system is determined based on the actual occurrence of economic business, while the collection and payment realization system is based on the actual receipt or payment of cash. The two are two completely different accounting methods. In theory, the two should not exist at the same time. However, the new system breaks through this restriction.
At the same time, the two are used for accounting, and the two are distinguished in certain specific aspects of work, that is, the accrual system is used to account for the relevant work of financial accounting, while the collection and payment realization system is used to account for the relevant accounting of budget accounting. Although the two systems account for accounting operations separately, they are also closely related to each other. The government adopts a dual-calculation method, which makes it more convenient for the government to calculate accounting business, saves more time than before, and improves work efficiency.
Accounting subjects are more perfect.
One of the changes in the government’s new accounting system is the adjustment of accounting subjects. Compared with the old accounting system of public institutions, the new accounting system has both increased and decreased the adjustment of accounting items. The new accounting system further clearly divides a series of income and expenditure of the government, and therefore adds some clearer accounting items, such as centralized payment by the state treasury and management of state-owned assets.
The new accounting system has reduced expenditure subjects such as additional local education fees and cultural undertakings accordingly. The convergence of the government’s old and new accounting systems has been studied. This series of changes by the government has made the accounting subjects more standardized and more in line with the government’s related financial expenditures. The continuous improvement and refinement of accounting subjects have made the accounting of each subject more refined and extensive, thereby ensuring its integrity in the practical application process.
Accounting statements are more standardized.
To better meet the needs of financial and budget management, the new accounting system has streamlined the accounting statements, and the current surplus and budget balance difference tables in the old system have been deleted based on not affecting the preparation. Only the balance sheet and income and expense statements are retained. The format of these two tables and accounting statements tends to be more consistent.
Financial personnel may also be more proficient in the use of statements, and the various departments can better cooperate, thereby improving the work efficiency of each department. In addition, the format of the report has become more standardized, making the data related to the report more reliable, which can better reflect the government’s financial income and expenditure and can also achieve good supervision and management of the government’s work. The effect.
The convergence of the old and new government accounting systems
(1) The personnel’s business is not refined, and the training intensity is insufficient.
In financial work, financial personnel is a major force. Due to the content and wide range of changes in the new system, the requirements for financial personnel are also getting higher, but the financial personnel themselves and the training are not optimistic, which has slowed down the progress of the implementation of the new system.
- First, affected by factors such as professional ability and cognitive level, the degree of understanding of various financial personnel is different, resulting in the convergence of the old and new systems, many accounting personnel is unable to adapt to the new form of work, making the new system unable to give full play to its role and value.
- The second is that financial personnel lack a sense of responsibility, will not take the initiative to carry out corresponding learning, are unwilling to give up the knowledge they have mastered, to accept new theories that are completely unfamiliar, and do not want to increase their workload as a result, showing a state of slack, which is not conducive to the change of the accounting system.
- Third, the Ministry of Finance sent the draft opinions on the new system to various departments, and each department carried out corresponding training work based on the draft opinions, but it did not effectively integrate with the new system from its actual situation, which caused a certain deviation in the implementation of the new system, which in turn affected the efficiency and effectiveness of the implementation of the new system.
(2) Accounting subjects and accounting are inconsistent.
The new system has made a series of adjustments to the accounting subjects, not only deleting some important original subjects but also adding some new content. It takes a certain amount of time for people to accept new things. The changes and adjustments of the accounting system directly lead to changes in working methods. Therefore, the changes in accounting subjects are prominent in the process of convergence between the old and new systems, which in turn hinders the implementation of the new system.
For example, the biggest difference between the government funds collected in the new accounting system and the previous system is that there is no longer a separate corresponding expenditure account, but directly enters the corresponding income account of the general public budget. Because of this difference, when filling in, it is necessary to pay attention to which income account should be included in the original expenditure account to avoid errors and affect work efficiency.
The ”Parallel bookkeeping” method is a brand new method adopted by the new system. It is an accounting model that combines budget accounting and financial accounting and operates together. Before the implementation of the new system, most public institutions still used the traditional accounting method, namely the collection and payment realization system. Because of long-term use, the old model may have become a habit.
Therefore, the new model required by the new accounting system may require a long adaptation process in the early stage of operation. As a result, the corresponding business development of the government may be affected, the widespread application of the dual-core accounting model will also be hindered, and the speed of implementation of the corresponding new accounting system will be slowed down.
(3) Informationization is lagging.
In the information age, accounting information systems are an important information foundation to support government accounting reform. The use of computer and Internet technologies helps the government carry out financial accounting management. However, as far as the current situation is concerned, the construction of the accounting information system by some administrative institutions is not perfect, and there is a certain lag.
The establishment of a new accounting information system will bring difficulties in connecting old and new data, and it will be difficult for the original sectors to adapt to new changes, which will bring a series of problems. Administrative institutions have a low proportion of investment in system construction.
Without the support of an excellent information system, it is difficult to meet the corresponding changes in the new system. Therefore, the establishment of a new accounting information system will be a brand new and serious challenge, and it is urgent to build a more complete and standardized information system.
Measures to connect the old and new government accounting systems
(1) Prepare for the convergence of the old and the new.
The operation of the new system to replace the old system requires a long process, and it cannot be implemented immediately once it is implemented. Therefore, adequate preparations should be made before it is implemented to prevent it before it happens. There are many changes in the new system, so there must be certain differences between the old and new systems, and there will be a series of problems in the connection between the two.
We will make corresponding preparations before implementing the new system, so that when we are facing a problem, we will not panic, but will solve it with ease and in a clear manner, which also improves work efficiency to a certain extent. Actively carry out preparations for the convergence of the old and new systems. On the one hand, administrative institutions should operate the new system on the premise of doing a good job in the inventory of various assets, not only the internal assets of the unit but also the external investments.
Conduct a thorough inventory to ensure that the accounts are in line with the facts. On the other hand, due to changes in the accounting accounts and accounting statements of the new system, it should be planned and connected to better ensure the new system’s effective implementation.
For example, for fixed assets, it is necessary to further determine the depreciation period and method based on considering their nature and usage. For statements, according to the requirements of the new system, prepare balance sheets, budget accounting statements, etc., which is more conducive to promoting the implementation of the new system.
(2) Organize special training to improve the professional level.
Compared with the old system, the new system has undergone many changes, and many contents have been revised, deleted, and adjusted accordingly. For the new system to be implemented smoothly, the most important thing is to strengthen training and enhance the professional competence of financial personnel.
The strengthening of training will help accounting personnel understand the specific processes of the business, start faster and more efficiently, improve work efficiency, and avoid wasting time. The competent departments should actively carry out internal and external exchanges, pass on information to each other, understand each other, and help each other to better familiarize themselves with the new system and start work earlier.
In addition, the competent department should carry out special training, and hire corresponding experts to give special lectures on the difficult problem that everyone has uniformly identified, convey practical measures, and solve these problem quickly and efficiently. There are huge differences between the new system and the old system, which requires the business level of accounting personnel to be higher and higher.
Therefore, accounting personnel needs to change their thinking and innovate their ideas so that they can follow the pace of the development of the new system. Accounting personnel should continue to learn, improve their professional level, gain an in-depth understanding of the new system, master basic theoretical knowledge, and improve their theoretical framework. Financial accounting also needs to be familiar with the corresponding software and be able to operate proficiently to improve work efficiency.
(3) Optimize accounting subjects and unify accounting standards.
There are apparent differences in accounting subjects and accounting methods between the new system and the old system. This difference brings certain difficulties to the preparation of financial reports. Therefore, it is necessary to optimize the accounting subjects and unify the accounting methods. Optimizing accounting accounts is the top priority of the convergence of the old and new systems, and it is also the basis for the preparation of financial reports.
After optimizing the accounting subjects and clarifying the specific content of the accounting subjects, at the moment of the implementation of the new accounting system, the new accounting subjects are used for project accounting and the preparation of statements. This operation can effectively improve work efficiency, reduce time waste, and reduce time costs.
In addition, in the early stages of the implementation of the new system, because of the differences in the accounting accounts of the old and new systems, it is necessary to pay attention to the carry-over between the balances of the accounting accounts of the old and new systems to avoid the phenomenon of missed transfers and under-transfers, which will bring unnecessary trouble to future account checking. Unified accounting standards are also particularly important in the implementation of the new system.
The adoption of a single accounting standard in the old system will face certain accounting difficulties, not to mention the new system adopts dual-core accounting standards. Therefore, for the new system to be effectively implemented, administrative institutions should unify accounting standards, distinguish the scope of the dual-core accounting system, and clarify the boundaries between the two, so that work may be more efficient.
For example, compared with the old system of the new accounting system, the biggest change in the new accounting system is the accounting of fixed assets. To be able to carry out work effectively, administrative institutions need to have a comprehensive understanding of fixed assets, including inventory, actual usage, the actual recorded value of fixed assets, the depreciation method used by fixed assets, etc., to determine a more reasonable and effective accounting standard for the accounting of fixed assets.
(4) Build a more complete information management platform.
Building a perfect information management platform is not to catch up with the trend, but an important way to promote the development of the world economy and society. With the development of information technology in the times, the development of everything needs to build a more perfect information management platform. The government’s reform of the new system will also not avoid the construction of an information management platform.
- First of all, since administrative institutions adopt the “dual-core accounting” and “dual-reporting” model, there are certain differences from the previous old system, so adjustments need to be made to change the original single accounting system, and realize the dual-system financial information system and budget information system to process related accounting business in parallel. To a certain extent, the two do not interfere with each other, but they can complement each other and coordinate operations, thereby promoting the development of information technology.
- Secondly, administrative institutions should closely integrate the accounting model with the internal control system, budget system, and performance evaluation system, effectively connect, and use a unified information system to make all departments cooperate closely, communicate with each other, perform their duties, and improve work efficiency.
- Finally, administrative institutions should improve the security and authenticity of information platforms, ensure the security of important information such as information and data, and prevent leakage. At the same time, they must ensure that the information and data contained are true and reliable, and can be used by users with confidence.
Conclusion
In the context of continuous reform in my country, the relevant financial systems of the government also need to be changed by the development of the times, but the change of the new system carried out by administrative institutions in my country has a certain degree of difficulty, and it is largely affected by the problems left over from the old system. Therefore, the implementation of the new accounting system needs to deal with a series of problems arising from the convergence between the old and new systems.
This article also lists some of them. Relevant accounting personnel should take action to continuously improve themselves while doing their jobs and adapt to the development of the new system. The joint efforts of many parties will escort the smooth implementation of the new system. The problems arising from the convergence between the old and the new systems are also listed in this article. Part of it is also listed. Relevant accounting personnel should take action to continuously improve themselves while doing their jobs and adapting to the development of the new system. The joint efforts of many parties will escort the smooth implementation of the new system.
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