This tutorial will walk you through the necessary steps for creating a New Journal Entry.
Note: If you are entering a large journal entry, like a Payroll Journal Entry from your payroll provider, you may want to use the ‘Journal Entry Import Function’. This functionality will you allow to import a pre-defined template specific to your providers journal entry details. Click on this link to access the Importing Journal Entries tutorial. You can also use the ‘Memorized Transaction’ function, that allows the user to create a Journal Entry Template that can be used over and over again. Click on this link to access the Creating A Memorized Journal Entry tutorial.
STEP 1: Click on the ‘Account Actions’ tab in the top ribbon, then select ‘Journal Entry.’
A new window will open titled ‘Journal Entry – [Journal Entry #].’
- Number: this field will auto fill with the next transaction number. Normally, there is no need to change it.
- Date: the date field corresponds with the day you are creating the journal entry.
- Location: this field specifies which location is being used to create and record the journal entry. *Note that you can still use this form to record journal entry details for multiple locations. Restaurant365 will automatically create the necessary ‘Due to’ and ‘Due from’ transactions between legal entities behind the scenes.
- Comment: comments will appear in the ‘Journal Entry List View’ for reference.
STEP 2: Fill in the required date and location fields and add an optional comment in the comment field.
After you select the desired date for the journal entry, hit the ‘Tab’ key on your keyboard to move the cursor from the ‘Date’ field to the ‘Location’ field; the system will auto populate the location field with one of your locations. If necessary, change your location by either typing directly into the field or by using the associated location look up window to pick from a list of your locations. Continue using the ‘Tab’ key to move to the ‘Comment’ field to enter any additional comments.
STEP 3: Select desired GL account
Begin typing the name (or even part of the name) of the GL Account you wish to enter. Once you’ve selected the GL Account, hit the ‘Tab’ key on your keyboard to move the cursor to the ‘Debit’ and ‘Credit’ fields.
STEP 4: Assign debits and/or credits to GL account, enter optional comment and confirm location.
Enter debit and/or credit amount to the selected account, and then hit the ‘Tab’ key on your keyboard to move the cursor to the ‘Comment’ field to add an optional comment. From here, tab into the ‘Location’ field. *Note that by changing the location to another location outside of the previously selected location’s legal entity in the main ‘Location’ field, the system must create necessary intercompany transfers behind the scene that can be seen on the ‘distribution’ tab.
STEP 5: Assign ‘Unassigned Amount’ by creating the necessary second line of debit and/or credit detail.
After adding your first line of detail, the system detects that there is an unassigned amount associated with the debit and/or credit you entered. Notice that until your transaction is in balance, the system will calculate the transaction difference and displays it in the ‘Unassigned Amount’ field in the header. As you insert more rows into the journal entry grid, the system will constantly calculate the difference between the debits and credits until they equal.
When the transaction balances, the ‘Unassigned Amount’ field will disappear – letting you know that the transaction can now be saved and/or approved. *Note that the detail input section will default to the remaining debit and/or credit needed to balance the journal entry. The system will continue to do this as you add lines until the journal entry is in balance.
Enter the necessary debit and/or credit information for the next line, then click on the ‘Add’ button.
STEP 6: Review, save and approve transaction.
STEP 7: Create optional reversing entry from existing journal entry.
After saving and approving your journal entry, click on the ‘Reverse’ button in the ribbon to create a reverse duplicate journal entry. Reversing entries allow you to create second duplicate transactions (debits and credits from original journal entry are now reversed) that are helpful when making month end accrual transactions.
A message box will appear prompting you to select the date of your reversing entry. Once you select the date, click on ‘Create & Open’ or ‘Create’.
The system will then create a new unapproved reverse transaction. *Note that on the reversing journal entry the transaction ‘Name’ that is assigned to the reversing entry and signified by the letter ‘R.’ This notation makes it easy to find these types of transaction in lists and searches.