TrulySmall Accounting is true double-entry accounting software that makes keeping track of your business finances easy and efficient by doing the heavy lifting for you. That said, there are times when you need to dig under the covers, and create or edit the underlying journal entries.
In TrulySmall Accounting you can create journal entries in two ways - by creating an Adjustment or a Transfer. We will walk through both here.
Adjustments
Adjustments provide you full flexibility when setting up a journal entry. You can specify two or more accounts, and indicate the debit and credit values for each. TrulySmall Accounting has simplified this flow by placing the task right in the Chart of Accounts.
Entering Adjustments
To create a new adjustment, click on Accounts in the menu, then click on the account you would like to apply an adjustment. This will display a list of transactions applied to that account, as well as the current balance of the account located at the top of the screen. Click on the + Add Adjustment button to begin.
Note: Bank accounts that have NOT had transactions imported from a feed will appear with a + Add button; from there, select the Adjustment option.
Pro tip: Don't feel like searching? Select any account, then change the selected account within the popup window.
Example - Debiting and crediting three accounts
Let's say that you needed to depreciate an asset. The example below decreases the company's assets by $150 (taking $150 from the Furniture & Equipment account) and increases the company's expenses (adding $50 to the Office Expense account and $100 to the Depreciation Expense account).
The date defaults to the date you create the adjustment. Click on the Date field to change it.
Pro tip: If you happen to put the value in the wrong column, for example a Debit should actually be a Credit, simply click into the correct field (in this example Credit) and the value will move to that column.
Click the + Add Account button to add more rows. You can debit and credit as many accounts as you like. Click on the Save button when you have finished.
The important part is that debits = credits. Your totals will appear below all of the item rows. If you attempt to save an imbalanced adjustment you will get an error message letting you know.
Adding Notes
Click on the Show Details link to add notes in the Transaction Details section.
Attaching Receipts
One or more receipts can be attached to an adjustment. This can be done in 2 different areas within the Adjustment window. You can click on the 3-dot menu in the upper-right corner or, in the Transaction Details section at the bottom, you can click on the Attach link. In both cases you will be able to attach receipts from either your device, or ones that you have previously imported into your Smart Inbox.
Related article: The Smart Inbox
Attached items will appear below the Transaction Details section.
Transfers
A transfer provides another way to create a journal entry and maintain a balanced ledger. Transfers are simply a movement of funds from one account to another, for example moving money from your Cash account to your Bank account.
Create a Transfer
To create a new transfer, click on Transactions in the menu. Then click on the + Add button and select the Transfer option.
Unlike Adjustments, the Add Transfer window only has 2 account options and only a single amount can be recorded. As with Adjustments, you can also add transaction detail notes and attach receipts.
The date defaults to the date you create the adjustment. Click on the Date field to change it.
Click on the Save button when you have finished.
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