LaabamOne ERP Software: Streamline Your Business Operations

What is a Journal Entry?

Journal Entry is a manual accounting entry that records financial transactions directly in the general ledger. It's used for adjustments, corrections, depreciation, accruals, and other transactions not covered by automated entries.

Double Entry Accounting:

Every journal entry must have equal debits and credits. Total debits = Total credits.

Step 1: Navigate to Journal Entry

1 minute

Access the Journal Entry module from accounts.

Click Accounts in the menu
Select Journal Entry
Click New Journal Entry
Entry form opens

Step 2: Select Entry Type

1 minute

Choose the appropriate entry type for your transaction.

Journal Entry - General adjustments
Opening Entry - Beginning balances
Bank Entry - Bank-related adjustments
Cash Entry - Cash adjustments
Contra Entry - Cash/Bank transfers

Additional Steps

Step 3-7: Configure Entry Details

Set posting date (ensure accounting period is open)
Enter voucher/reference number
Add title or description of entry
Select accounts for debit side
Select accounts for credit side

Step 8-12: Enter Amounts & Balance

Enter debit amounts for applicable accounts
Enter credit amounts to balance the entry
System shows difference if unbalanced
Add narration/explanation for each line
Attach supporting documents if needed

Step 13-15: Finalize Entry

Review all accounts and amounts
Confirm total debits = total credits
Submit journal entry to post to ledger
Print or export entry for audit trail

✅ You've completed the Journal Entry guide!

You're now ready to handle advanced accounting transactions and adjustments.

Journal Entry Guide