---
title: "Journal Entries"
space: "ERPNext"
url: "https://www.prilk.com/docs/erpnext/journal-entries"
updated: "2026-05-15"
---

## Journal Entries

A Journal Entry is a manual booking — debit some accounts, credit others, for the same amount. Use it when no standard document (invoice, payment, stock entry) applies.

### When to use a Journal Entry

| Situation | Example |
|---|---|
| **Adjusting entry** | Accrue salaries for end of month before the actual payroll runs |
| **Reclassification** | Move an amount from one expense to another |
| **Correction** | Fix a posting that went to the wrong account |
| **Opening balances** | Initial setup of receivable/payable/bank balances from your previous system |
| **Bank fees, interest** | Recurring small items the bank deducts |
| **Depreciation** | Manual monthly depreciation entries |

For most day-to-day work (sales, purchases, payments, stock), **don't** use Journal Entries — the dedicated documents (Sales Invoice, Payment Entry, etc.) post correctly automatically.

### Create a Journal Entry

**Journal Entry → New**:

1. **Entry Type** — Journal Entry (default), Bank Entry, Cash Entry, Credit Card Entry, etc. The type pre-selects sensible defaults.
2. **Posting Date** — when the booking belongs to (often last day of period for adjustments)
3. **Accounts table** — add rows:
   - Account
   - Debit or Credit amount
   - Party (if Receivable / Payable account)
   - Cost Center (optional)
   - Reference (optional)

The total debits must equal total credits — ERPNext won't let you submit otherwise.

### Example: accrue €5,000 wages at month end

| Account | Debit | Credit |
|---|---|---|
| Wages Expense | 5,000.00 | |
| Wages Payable | | 5,000.00 |

Submit. Reverse it on the 1st of next month (or use a reversing-entry pattern) when the actual payroll runs.

### Example: bank fee €15

| Account | Debit | Credit |
|---|---|---|
| Bank Charges | 15.00 | |
| Bank Account | | 15.00 |

### Multi-currency

If the Journal Entry involves a non-EUR account, set the **Exchange Rate**. ERPNext computes the EUR equivalents and posts in both.

### Templates

For recurring entries (monthly depreciation, monthly accruals), save a Journal Entry as a **Template** — duplicate next month, change the date, submit. Avoids re-keying.

### Status

Draft → Submitted → Cancelled. Submitted entries can't be edited — Cancel and Amend.

### Common situations

- **Wrong account picked** — Cancel, Amend, fix, resubmit
- **Need to attach supporting docs** — attach PDFs or photos to the Journal Entry (bank confirmation, invoice scan)
- **Period closed** — once a fiscal period is closed (Year-End Closing), you can't post new entries in it. Adjust in the open period and note in the entry.