Use Journal Entries only if the entries needed are not those generated automatically by Inventory, Payroll, Billing and Payables, etc. Each Journal Entry requires that the sum of Debits (positive numbers) and Credits (negative numbers) be equal in order to save the entry.
- From Main Menu, select Ledger -> Journal Entries -> New Journal Entries.
- Your screen should look similar to this:
- Enter information in the following categories:
- Journal Voucher: A voucher is a transaction-processing record that documents approvals, payment amounts and physical shipment or receipt. (Hint: Use Check Number, Invoice Number, etc. as Voucher)
- Voucher Description: A full description to help you remember what the entry is for and to explain it to others.
- Transaction Date: You can either enter the date manually or click the Calendar button to bring up a calendar. (Hint: If the date is for current day, there is no need to change it.)
- To continue with the Entry, click the Next button. To abandon the entry, click the Back button.
- Your next screen should look similar to this:
- Enter information into the following areas:
- Account: Enter a General Ledger Account or description in the first box. If you start typing something here, the program will display matching accounts. Select the account from the drop-down. For example, typing checking into this box might display something similar to this:
- Amount: In the amount column, enter the amount. NOTE: Remember to enter all credit amounts as negative (with a leading "minus" sign) and all debit amounts as positive (do not enter the "plus" sign). Also, never enter the thousands separators.
- If you need more entry lines than you see, click on the Add More Input Lines button at the bottom of the screen.
- When your debits and credits balance, you will see a Complete Voucher button to allow you to complete the Voucher.
For help determining whether your entries should be negative or positive, it helps some people to view an account as increasing or decreasing. Here is a chart to help:
|Assets||Debit (+)||Credit (-)|
|Cost of Goods Sold||Debit (+)||Credit (-)|
|Expenses||Debit (+)||Credit (-)|
|Liabilities (ie: payables)||Credit (-)||Debit (+)|
|Capital/Equity||Credit (-)||Debit (+)|
|Retained Earnings||Credit (-)||Debit (+)|
|Sales & Adjustments||Credit (-)||Debit (+)|
|Other Income||Credit (-)||Debit (+)|