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Manual Journal Entries

While most accounting records are created automatically, you may need to record manual entries for adjustments, corrections, or non-standard transactions (like depreciation).

When to Use Manual Entries

Use this guide when you need to:

  1. Correct Mistakes: Reclassify an expense to a different account.
  2. Record Depreciation: Log monthly asset value loss.
  3. Accruals & Prepayments: Adjust for income or expenses belonging to different periods.
  4. Opening Balances: Record your initial account balances.

Creating a Manual Entry

1. Navigate to the Module

Go to Accounting → Accounting → Journal Entries and click Create.

2. Enter Header Information

Fill in the basic details for the entry:

Field Description Example
Journal The specific "book" for this entry. Miscellaneous Operations
Reference A unique ID or description for the adjustment. ADJ-2024-001
Date The effective date of the transaction. 2024-01-31

3. Add Journal Items (The Double-Entry)

Add lines to the entry. Every entry must have at least two lines, and Total Debits must equal Total Credits.

  1. Select Account: Choose the GL account affected.
  2. Partner (Optional): Select a vendor or customer if the line relates to one.
  3. Label: Enter a clear description for this specific line.
  4. Debit / Credit: Enter the amount.

[!TIP] Use the Label field to explain why this line is being recorded. This is invaluable during audits.

4. Verification and Posting

  1. Check Balance: Ensure the "Difference" at the bottom of the table is 0.00.
  2. Save as Draft: Click Create to save your work. The entry is now in Draft status and has not yet affected your financials.
  3. Post: Once reviewed, click Post. The entry is now finalized and locked.

Reversing an Incorrect Entry

If you have already Posted an entry and discovered a mistake, you cannot edit it. You must reverse it:

  1. Open the Posted Journal Entry.
  2. Click the Reverse button in the header.
  3. Choose the reversal date (usually the same as the original or today).
  4. The system creates a new entry with swapped Debit/Credit values to nullify the original.