How to create a journal

Journals are a way of entering data into the system outside of the usual areas of Sales, Purchases and Bank.

All bookkeeping is based on Double Entry methodology, in which any transaction is represented in the accounting records by at least two numbers, one as a Debit and the other a Credit entry.

Whilst entering data into the records via Sales, Purchases or Banking may appear as single transactions, behind the scenes, Clear Books automatically takes care of the double entry. Journals are a way of bypassing the front end and entering numbers directly into the accounts.

Journals are commonly used:

- To put in place accounting entries such as accruals, depreciation and prepayments which are not associated with standard transactions such as invoicing a customer or receiving a payment.

- To make an unusual accounting entry which cannot be achieved elsewhere in the system.

- As a last resort to correct errors.

For people who are not that familiar with bookkeeping they should be used with caution, or after advice.

Step 1.

To create a Journal, navigate to Tools > Journals > All Journals and select Create Journal.

Step 2.

Enter the description, the accounting date and the number of items first. You will be able to make adjustments directly to the accounts with the journals for the number of items chosen. The journal form will change depending on toggle features enabled such as Projects and Reverse-on-date journals. Click on the Post journal button to save.