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firm:sop:trust-accounting [2025/10/30 14:51] – adminfirm:sop:trust-accounting [2025/11/03 13:58] (current) – [Withdrawals] admin
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 Trust record keeping displaces all other work. If trust record keeping becomes difficult or is in any way interrupted by other work, that other work takes a lesser priority. Trust record keeping displaces all other work. If trust record keeping becomes difficult or is in any way interrupted by other work, that other work takes a lesser priority.
  
-Trust record keeping __must be completed immediately after__ a trust transaction is completed.+Trust record keeping __must be completed immediately before or after__ a trust transaction is completed.
  
 All trust accounting documents must be uploaded to [[https://paper.apstrom.ca|Paperless]]. We do not keep paper records; records are maintained in Paperless. All trust accounting documents must be uploaded to [[https://paper.apstrom.ca|Paperless]]. We do not keep paper records; records are maintained in Paperless.
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 ID verifications must be uploaded to Paperless and assigned the following attributes: ID verifications must be uploaded to Paperless and assigned the following attributes:
   * Document type: __ID verification__   * Document type: __ID verification__
-  * Tags: __ID__ +  * Tags: __ID__, __FIRM-ADMIN__ 
-  * Correspondents: __A.P.Strom & Associates__+  * Correspondents: __Treefort__ 
 + 
 +--> Any trust or ID document that relates to a client or a matter must be __tagged__ with the client number or matter number, as the case may be. 
 + 
 +===== Daily transactions ===== 
 + 
 +All transactions that add or remove funds from a trust account must be recorded, with all records being duplicated into and saved in Paperless. 
 + 
 +==== Transaction entry ==== 
 + 
 +All trust transactions must be entered in Cosmolex and accompanied by the required documentation, even errors that must be reversed with further transactions. 
 + 
 +==== Deposits ==== 
 + 
 +Three types of deposit to trust are available to clients. The first and most prevalent is an electronic funds transfer, either by e-transfer or wire. The second is a credit card payment to trust. The third is certified funds in the form of a bank draft or certified check. 
 + 
 +All methods of payment require a deposit slip, which must be created in Cosmolex, downloaded from Cosmolex, and saved into Paperless.  
 + 
 +Deposits must be routed to the correct account. The deposit slip must be cross-checked with the account to ensure that funds are being properly deposited. 
 + 
 +Once a deposit slip is entered in Cosmolex, it must be downloaded, initialled or signed by the person who created the slip, and uploaded to Paperless. 
 + 
 +If a deposit is made by credit card payment or certified funds, the following must appear on or be appended to the deposit slip before it is uploaded to Paperless: 
 + 
 +  * a credit card transaction reference number generated by LawPay; 
 +  * a scanned image of the bank draft or certified check; or 
 +  * a scanned image of the bank deposit slip signed by the teller and initialled by the person responsible for making the deposit. 
 + 
 +==== Withdrawals ==== 
 + 
 +Any withdrawal of funds from Cosmolex must be documented with a requisition to draw on trust funds, a copy of any relevant instrument used to draw on trust funds (i.e. a check or certified funds), and any other supporting documentation that defines the amount to be drawn or the authority under which it is drawn. 
 + 
 +=== Requisition to draw on trust funds === 
 + 
 +A requisition to draw on trust funds is obtained by using the following procedure: 
 + 
 +  - confirm the value to be drawn with the lawyer responsible for the transaction; 
 +  - create a Cosmolex entry for the draw with the correct value from the correct client matter; 
 +  - confirm that the Cosmolex entry is accurate in all respects;  
 +  - download a requisition to draw on trust funds for the transaction from Cosmolex; 
 +  - verify that the requisition is correct in all respects; 
 +  - convert the requisition to PDF; 
 +  - sign the PDF as the person who prepared the transaction; 
 +  - obtain the lawyer's signature on the requisition;  
 +  - prepare the instrument required for the transaction (bank transfer, wire transfer, check, etc.);  
 +  - scan any paper instruments to PDF; 
 +  - complete the transaction; 
 +  - note the electronic transfer or check details on the requisition and append PDF images or wire confirmation as necessary; 
 +  - combine the signed requisition with the PDF images or wire confirmation or, if applicable, with a copy of the invoice being paid from trust; and 
 +  - file the combined requisition in Paperless.
  
 +These steps ensure that all withdrawals of trust funds can be tracked and accounted for as necessary.
  
 +If a situation arises in which a document other than a scanned check image or wire transfer confirmation is relevant to the transaction, err on the side of caution: append the document to the requisition and file in Paperless.
  
 ===== Monthly reconciliations ===== ===== Monthly reconciliations =====
  
  

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