How to Add Easy Accounting Entries: Easy vs. Manual Entries and Choosing the Right Type

Explanation of how to add an easy journal entry and choose the appropriate type of journal entry.

Answer:

1. What are easy journal entries?
   Easy journal entries save time in entering the entry and ensure the accuracy of your entered data. The system allows you to choose the type of entry and then enter the specific data available for each type of entry. Easy journal entries enable users who do not have an accounting background to enter entries easily, as one or more journal entries are created automatically in the system and appear in reports.

2. What is the difference between manual journal entries and easy journal entries?

   Entries are the method through which we record financial transactions in the program. The final result whether you use manual entries or easy entries is the same, but the method of recording differs based on the user’s experience:

   1. Manual journal entries

      • Dedicated to accountants or those with an accounting background.

      • The user enters the entry in the traditional accounting method, meaning they specify debit and credit for each account related to the transaction.

      • It provides great flexibility, especially if the transaction is complex or involves more than one account.

   2. Easy journal entries

      • Designed for those without accounting experience.

      • The input method relies on dropdown menus: you select the type of transaction, accounts, amount, and location, and the rest of the system records the journal entry automatically.

      • It saves time and effort, and you don’t need to know accounting terminology.

   In summary:

   • Manual entries are for accountants and more flexible.

   • Easy entries are for regular users and are quick and easy.

   • In the end, the result is the same; each method gives you the same journal entry within the system.

3. How to add a new easy journal entry?

   • From the accounting dropdown menu, you will find a (+) sign next to “Easy journal entries”. Click on it to select the specific entry.

4. Types of available easy journal entries:

   • Money transfers: to transfer funds between accounts.
   • Add capital: to enter capital for the project.
   • Fixed asset depreciation: to enter a depreciation entry for fixed assets.
   • Owner withdrawal: to withdraw funds from the company to the owner.
   • Profit distribution: to distribute profits among partners or shareholders.
   • Payroll accounting: to enter salary entries for employees.

5. How to enter data for each type of entry?

   • Money transfer entry:

     • Specify the account from which funds were decreased.
     • Specify the account to which funds were increased, and you can also transfer funds to other additional accounts by adding a new account in advance in the chart of accounts.
     • Enter the transaction amount.
     • Specify the date and description.
     • Attach files if any.

   • Add capital:

     • Specify the owner’s capital account, the capital account that increased.

1. • • Specify the form of capital (cash or fixed assets).
     • Enter the value of added capital.
     • Specify the date and description.
     • Attach files if any.

   • Enter fixed asset depreciation entry:

     • Specify the depreciated fixed asset account.

     • Specify the depreciation account to which the depreciated fixed asset is charged, which requires adding a depreciation account in advance in the chart of accounts.

     • Enter the depreciation amount.

     • Select the date.

     • Write the description.

     • Attach attachments if any.

1. • Enter owner withdrawal entry:

     • Specify the account from which the owner withdrew.

     • Specify the owner account to which funds were transferred. This requires adding the owner account in advance in the chart of accounts.

     • Enter the withdrawn amount.

     • Select the date.

     • Write the description.

     • Attach attachments if any.

   • Enter profit distribution entry:

     • Specify the account from which profits are distributed, for example retained earnings.

     • Specify the account to which profits will be distributed from the dropdown menu. You can also distribute profits to other additional accounts other than the capital account and owner’s equity account by adding a new account in advance in the chart of accounts.

     • Enter the amount of profits to be distributed.

     • Select the date.

     • Write the description.

     • Attach attachments if any.

   • Enter payroll entry:

     • • Through the payroll entry page, you can add two different entries depending on the purpose of each entry.

       • Option: Cost has been calculated before: This means that an accrual entry was created previously and another entry is created to record the salary payment transaction on the third day of the month, for example.

       • Option: Salaries will not be paid now: This means creating an entry for salaries when they become due at the end of the month.

       • If you do not select any of the previous options, you will be able to create both entries at once so that the accrual and payment are on the same date.

       Creating an accrual entry:

       1. Specify that salaries will not be paid now and specify the cost account, which is salaries.

       2. Specify the value of salaries paid, which may be for each employee individually or total employee salaries.

       3. Specify the accrual date in addition to the description of the entry, which is May salary payables, and any attachments related to the entry such as the payroll slip, for example.

       When it’s time to pay salaries:

       1. Create a new easy entry and select that the cost has been calculated before “which is the accrual entry that was created previously”. Then specify the type of account from which payment was made, whether it is cash or bank.

       2. Specify the payment date and description, for example, May salaries are paid and attachments may include a summary of salary transfers.

       Complete the remaining data for the salary entry:

       1. Enter the date.

       2. Write the description.

       3. Attach attachments if any.

Note:

After adding any easy entry, it will not appear on the manual journal entries page, but will be saved and displayed on the easy entries page dedicated to it.

How to access easy entries
Go to:
Accounting → Easy journal entries
A list of all easy entries added will appear.

Data shown for each entry
The system displays the following information for each easy entry:

• From account

• To account

• Description

• Date

• Total amount (credit / debit)

• Available options: View, Edit, Print, Delete

Available filter options
To ease searching and review, you can filter entries by:

• Date (from, to)

• Fiscal year

Here is the training course that explains easy journal entries briefly: Click here

Here is a detailed training course that explains easy journal entries and manual journal entries: Click here