Journal Entries
Journal Entries
CifraHQ creates journal entries automatically for every transaction you post — Invoices, payments, Inventory movements, and Bank Transfers all generate balanced double-entry entries without any manual work. Manual journal entries exist for the things that do not flow from a standard document: month-end accruals, depreciation, opening balance uploads, and correcting entries when something was posted to the wrong account.
Journal Entries list, manual journals posted directly to the GL.
How to create a Journal Entry
- Go to Accounting > General Ledger.
- Click New.
- Set the Posting Date.
- Add lines — each line needs:
- Account — the GL account to debit or credit
- Debit Amount or Credit Amount (enter one, leave the other zero)
- Optional Comments for this line
- The entry is valid when Total Debits = Total Credits (the entry balances).
- Post the entry.
Debits and credits — a quick reference
| Transaction type | Debit | Credit |
|---|---|---|
| Record an expense | Expense account | Bank / AP account |
| Record accrued liability | Expense account | Accrued Liabilities |
| Depreciate an asset | Depreciation Expense | Accumulated Depreciation |
| Correct a prior entry | Reverse the original debit/credit | Reverse the original credit/debit |
Document lifecycle
| State | Meaning |
|---|---|
| Draft | Editable; no GL impact yet |
| Posted | Debits and credits recorded to the GL; read-only |
Field reference
- Posting Date — controls which Accounting period this entry falls into and which date it appears on financial statements. Use the date the transaction actually occurred, not today's date.
- Reference — auto-populated with a link to the source document for system-generated entries (e.g.,
Invoice INV-0042). For manual entries, enter a memo, voucher number, or accountant's reference so the entry is traceable at audit time. - Reference Type — the document type that generated this entry (e.g.,
Invoice,BillPayment). Left blank for entries you create manually.
Tips
- You can view the journal entry behind any posted document. Open a posted invoice, payment, adjustment, or transfer and click the Journal Entry link to see the full double-entry detail.
- Never post correcting entries directly to AR or AP. Debiting or crediting accounts receivable or payable manually breaks the customer and vendor balance Reports. Instead, void or credit the original document — CifraHQ creates the correcting entry automatically and keeps the subsidiary ledgers in sync.
- CifraHQ enforces balance before posting. If your total debits do not equal your total credits, the entry will not post. This is the system protecting you from an unbalanced ledger.
Related: Bank Reconciliation · Audit Trail · Chart of Accounts · Posting Periods
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