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Accounting Menu Documentation#

Overview#

The Accounting module provides a comprehensive set of tools for managing your company's financial operations. The main menu is organized into logical sections that cover all aspects of accounting workflow, from journal entries to financial reporting.

Journals Section#

The Journals section handles all transaction recording and entry management:

Journal Entries#

  • Purpose: Create and manage individual accounting transactions
  • Use Case: Record day-to-day business transactions, adjustments, and corrections

Journal Items and Journal Entries#

Overview#

The accounting system provides functionality for managing journal entries and viewing individual journal items. This documentation covers the key components and workflow for journal management.

Journal Entries#

Accounting

Creating Journal Entries#

Journal entries can be created through the Accounting > Journals > Journal Entries menu:

  • Entry Reference: Auto-generated format MISC/YYYY/MM/NNNN (e.g., MISC/2025/08/0001)
  • Accounting Date: Date when the transaction is recorded
  • Journal Type: Categorization (e.g., Miscellaneous Operations)
  • Status: Draft or Posted

Entry Structure#

Each journal entry contains: - Reference: Unique identifier - Accounting Date: Transaction date - Journal: Journal category/type - Status: Current state (Draft/Posted)

Line Items#

Journal entries consist of multiple line items with the following fields: - Asset Category: Classification of the asset - Account: Chart of accounts reference - Partner: Associated business partner - Label: Description/reference - Analytic Distribution: Cost center or project allocation - Debit: Debit amount - Credit: Credit amount - Tax Grids: Tax-related classifications

Journal Items#

  • Purpose: View and edit individual line items within journal entries
  • Use Case: Detailed transaction analysis and line-by-line adjustments

Journal Items#

Accounting

Viewing Journal Items#

Journal items represent individual lines from posted journal entries and can be accessed via Accounting > Journals > Journal Items.

Key Fields#

Field Description Example
Date Transaction date 08/05/2025
Journal Entry Reference to parent entry RINV/2025/00007
Account Account code and name 400000 Product Sales
Partner Business partner Deco Addict
Label Transaction description [CONS_0001] Whiteboard
Debit Debit amount $1.20
Credit Credit amount $0.00

Common Account Types#

  • 400000 Product Sales: Revenue from product sales
  • 251000 Tax Received: Sales tax collected
  • 121000 Account Receivable: Customer payments due
  • 101403 Outstanding Receipts: Payment processing accounts

Filtering and Views#

The journal items interface provides: - Status Filter: Posted/Draft entries - Search: Text-based filtering - Date Range: Time-based filtering - Pagination: Navigate through large datasets - Multiple Views: List, form, and analytical views

Journals#

  • Purpose: Configure and manage different types of journals (sales, purchases, bank, etc.)
  • Subcategories:
  • Sales: Manage customer invoice journals
  • Purchases: Handle vendor bill journals
  • Bank and Cash: Manage bank account and cash journals
  • Miscellaneous: Handle other types of journals (adjustments, depreciation, etc.)

Best Practices#

  • Always ensure debits equal credits before posting
  • Use descriptive labels for easy identification
  • Assign proper analytic distributions for reporting
  • Review journal items regularly for accuracy
  • Maintain proper documentation for audit trails

Journal Types and Categories#

The accounting system organizes journal entries into four main categories:

1. Sales Journal#

Contains all sales-related transactions: - Customer Invoices (INV/YYYY/NNNNN format) - Product Sales entries (Account 400000) - Tax Received entries (Account 251000) - Accounts Receivable (Account 121000)

Accounting

Example entries: - Product sales to customers (Azure Interior, Deco Addict) - Furniture sales ([FURN_6741] Large Meeting Table, [FURN_8220] Four Person Desk) - Associated tax calculations (15% tax rate) - Customer payment tracking

2. Purchases Journal#

Tracks all purchase-related transactions: - Vendor Bills (BILL/YYYY/MM/NNNN format) - Expense Accounts (Account 600000) - Tax Paid entries (Account 131000) - Accounts Payable (Account 211000)

Accounting

Common transactions: - Vendor expense recording - Tax payments and calculations - Supplier payment processing

3. Bank and Cash Journal#

Manages all banking and cash transactions: - Bank Statements (BNK1/YYYY/NNNNN format) - Bank Account entries (Account 101401) - Bank Suspense Account (Account 101402) - Cash Management transactions Accounting

Typical entries: - Initial bank balances - Customer payment receipts - Bank fees and charges - Cash prepayments and transfers

4. Miscellaneous Journal#

Handles various operational transactions: - Manual Entries (MISC/YYYY/MM/NNNN format) - Point of Sale transactions (POSS/YYYY/MM/NNNN format) - Account Receivable adjustments - Product Sales corrections Accounting

Common scenarios: - Manual accounting adjustments - POS cash sales recording - Account reconciliation entries - Sales corrections and refunds

Journal Entry Patterns#

Each journal type follows specific patterns: - Sales: Revenue recognition with tax calculations - Purchases: Expense recording with vendor payables - Bank: Cash flow and bank reconciliation - Miscellaneous: Various operational adjustments and POS transactions

Best Practices#

  • Always ensure debits equal credits before posting
  • Use descriptive labels for easy identification
  • Assign proper analytic distributions for reporting
  • Review journal items regularly for accuracy
  • Maintain proper documentation for audit trails

Ledgers Section#

The Ledgers section provides account-level reporting and analysis:

The accounting system provides two primary ledger views for analyzing financial data: the General Ledger and Partner Ledger. These ledgers offer different perspectives on the same underlying journal entries, allowing for comprehensive financial analysis and account management.

General Ledger#

The General Ledger provides a comprehensive view of all accounts, summarizing transactions by account type and showing running balances. Accounting

Account Categories#

Assets (100000-199999)#

  • 10104 Devices (22): Equipment and device assets
  • 101300 Account Receivable (PoS) (19): Point of sale receivables - $21,731.90 balance
  • 101401 Bank (9): Main bank account - $12,444.87 balance
  • 101402 Bank Suspense Account (9): Temporary bank reconciliation - ($29,188.29) balance
  • 101403 Outstanding Receipts (13): Uncleared receipts - $35,683.10 balance
  • 101404 Outstanding Payments (11): Uncleared payments - ($109,888.83) balance
  • 101501 Cash (6): Cash on hand - $23,456.00 balance
  • 121000 Account Receivable (54): Customer receivables - ($144.88) balance
  • 131000 Tax Paid (10): Tax payments made - $1,075.13 balance
  • 151000 Fixed Asset (5): Long-term assets - ($182.14) balance

Liabilities (200000-299999)#

  • 211000 Account Payable (26): Vendor payables - ($1,380.00) balance
  • 251000 Tax Received (23): Tax collected from sales - ($946.14) balance

Revenue (400000-499999)#

  • 400000 Product Sales (47): Sales revenue - ($64,358.87) balance

Expenses (600000-699999)#

  • 600000 Expenses (23): General expenses - $110,193.70 balance
  • 611000 Purchase of Equipments (2): Equipment purchases - $83.34 balance

Key Features#

  • Balance Calculation: Shows cumulative debit minus credit for each account
  • Transaction Count: Number in parentheses indicates journal entries per account
  • Account Hierarchy: Organized by account code ranges
  • Running Totals: Real-time balance updates with each transaction

Partner Ledger#

The Partner Ledger focuses on business relationships, showing account balances organized by customer, vendor, and other business partners. Accounting

Partner Categories#

Customers#

  • Abeterine Sacco, Allan Kanagume (2): Balanced account - $0.00
  • Abigail Peterson (8): Outstanding balance - $30,341.35
  • Anita Oliver (2): Outstanding balance - $650.00
  • Audrey Peterson (2): Outstanding balance - $500.00
  • Azure Interior (16): Credit balance - ($10,578.63)
  • Deco Addict (14): Outstanding balance - $3,164.22
  • Gemini Furniture (3): Outstanding balance - $28.75
  • Sarah Johnson (2): Outstanding balance - $180.40

Vendors/Others#

  • YourCompany, Mitchell Admin (1): Large credit balance - ($50,000.00)

Unassigned Transactions#

  • None (12): Transactions without partner assignment - ($28,366.90)

Key Metrics#

  • Total Debits: $205,389.91
  • Total Credits: $259,470.72
  • Net Balance: ($54,080.81) - indicating more money owed than receivable

Partner Analysis Features#

  • Due Date Tracking: Monitors payment schedules
  • Balance Status: Positive = amount owed to you, Negative = amount you owe
  • Transaction Volume: Shows relationship activity level
  • Reconciliation Status: Tracks matched/unmatched transactions

Ledger Comparison#

Feature General Ledger Partner Ledger
Organization By account type By business partner
Primary Use Financial statement preparation Customer/vendor management
Balance View Account balances Partner relationships
Filtering Account-based Partner-based
Best For Financial analysis Credit management

Both ledgers support: - Status Filters: Posted, Draft, Unreconciled - Date Ranges: Custom period selection - Search Functions: Quick account/partner lookup - Export Options: Multiple format support - Drill-down: Access to underlying journal entries

Key Business Insights#

From General Ledger#

  • Cash Flow: Bank and cash positions
  • Receivables Management: Outstanding customer payments
  • Expense Tracking: Operating cost analysis
  • Tax Compliance: Tax paid vs. received

From Partner Ledger#

  • Credit Risk: Identify high-balance customers
  • Payment Patterns: Track customer payment behavior
  • Vendor Relationships: Monitor supplier balances
  • Collection Priorities: Focus on largest outstanding amounts

Best Practices#

  • Review both ledgers monthly for comprehensive financial health
  • Use Partner Ledger for collections and payment planning
  • Monitor General Ledger for account balance accuracy
  • Reconcile bank accounts regularly using outstanding items
  • Track unassigned transactions ("None" category) and assign partners promptly

Management Section#

The Management section includes advanced accounting tools and analytics:

Analytic Items#

  • Purpose: Track costs and revenues by project, department, or other dimensions
  • Use Case: Cost center analysis, project profitability, and departmental reporting

Creating Analytic Items#

  1. Navigate to Accounting > Analytics > Analytic Items
  2. Click "New"
  3. Fill required fields:
  4. Description: Activity description
  5. Projects: Select project
  6. Departments: Choose department
  7. Date: Transaction date
  8. Amount: Dollar value

Common Examples#

  • Time tracking: "Time Off 1/3" - $600.00
  • Training: "Staff training" - $80.00
  • Site visits: "Client meeting" - $40.00
  • Design work: "Design consultation" - $75.00

Budgets#

  • Purpose: Create and monitor financial budgets
  • Use Case: Budget planning, variance analysis, and financial control

Creating Budgets#

  1. Go to Accounting > Management > Budgets
  2. Click "Create"
  3. Enter budget header:
  4. Budget Name: "Budget 2026: Optimistic"
  5. Start/End Date: Budget period
  6. Responsible: Budget manager
  7. Add budget lines with:
  8. Budgetary Position: Budget category
  9. Analytic Account: Project/cost center
  10. Planned Amount: Budget target

Budget Status#

  • Draft: Initial creation, can edit freely
  • Confirmed: Approved, ready for tracking
  • Validated: Final authorization, full controls active
  • Done: Completed period

Monitoring Performance#

  • Planned Amount: Original budget
  • Practical Amount: Actual spending
  • Achievement: Percentage used
  • Is Above: Over budget indicator

Reports#

Key Reports#

  • Project profitability: Reporting > Analytics > Project Analysis
  • Department costs: Reporting > Analytics > Department Costs
  • Budget variance: Reporting > Budgets > Variance Analysis

Best Practices#

Analytic Items#

  • Use consistent naming
  • Enter items promptly
  • Assign proper projects/departments
  • Review monthly

Budgets#

  • Base on historical data
  • Create multiple scenarios
  • Review quarterly
  • Assign clear owners

Monthly Tasks#

  • Week 1: Enter previous month's items
  • Week 2: Review budget vs actual
  • Week 3: Generate reports
  • Week 4: Plan next month

Assets#

  • Purpose: Manage fixed assets and depreciation
  • Use Case: Asset tracking, depreciation calculation, and asset reporting

Creating Assets#

  1. Navigate to Accounting > Assets
  2. Click "New"
  3. Fill required fields:
  4. Asset Name: Description (e.g., "Laptop iBook")
  5. Asset Category: Select category
  6. Date: Asset date
  7. Gross Value: Purchase price
  8. Company: Select company

Asset Categories#

  • Computers (laptops, desktops)
  • Devices (phones, tablets)
  • Desks (furniture)

Asset Status#

  • Draft: Initial creation
  • Running: Active asset
  • Confirm: Approve asset
  • Compute Depreciation: Calculate depreciation

Key Fields#

  • Gross Value: Original purchase price
  • Residual Value: Expected end value
  • Vendor: Supplier information
  • Depreciation Dates: Manual or automatic

Analytic Items#

Creating Analytic Items#

  1. Navigate to Accounting > Analytics > Analytic Items
  2. Click "Create"
  3. Fill required fields:
  4. Description: Activity description
  5. Projects: Select project
  6. Departments: Choose department
  7. Date: Transaction date
  8. Amount: Dollar value

Common Examples#

  • Time tracking: "Time Off 1/3" - $600.00
  • Training: "Staff training" - $80.00
  • Site visits: "Client meeting" - $40.00
  • Design work: "Design consultation" - $75.00

Budgets#

Creating Budgets#

  1. Go to Accounting > Management > Budgets
  2. Click "Create"
  3. Enter budget header:
  4. Budget Name: "Budget 2026: Optimistic"
  5. Start/End Date: Budget period
  6. Responsible: Budget manager
  7. Add budget lines with:
  8. Budgetary Position: Budget category
  9. Analytic Account: Project/cost center
  10. Planned Amount: Budget target

Budget Status#

  • Draft: Initial creation, can edit freely
  • Confirmed: Approved, ready for tracking
  • Validated: Final authorization, full controls active
  • Done: Completed period

Monitoring Performance#

  • Planned Amount: Original budget
  • Practical Amount: Actual spending
  • Achievement: Percentage used
  • Is Above: Over budget indicator

Reports#

Key Reports#

  • Project profitability: Reporting > Analytics > Project Analysis
  • Department costs: Reporting > Analytics > Department Costs
  • Budget variance: Reporting > Budgets > Variance Analysis

Best Practices#

Analytic Items#

  • Use consistent naming
  • Enter items promptly
  • Assign proper projects/departments
  • Review monthly

Budgets#

  • Base on historical data
  • Create multiple scenarios
  • Review quarterly
  • Assign clear owners

Monthly Tasks#

  • Week 1: Enter previous month's items
  • Week 2: Review budget vs actual
  • Week 3: Generate reports
  • Week 4: Plan next month

Generate Entries Section#

This section provides automated entry generation tools:

What This Does#

Automatically generates depreciation journal entries for all assets in the selected month.

Steps#

1. Navigate to Generate Entries Section#

  • Go to Accounting → Generate Entries

2. Access Generate Function#

  • Click Generate Assets Entries

3. Set Account Date#

  • In the "Post Depreciation Lines" dialog, verify the Account Date
  • Change if needed (format: MM/DD/YYYY)
  • This determines which period entries are posted to

4. Execute#

  • Click Generate Entries to create the journal entries
  • Click Cancel to exit without changes

Important Notes#

  • Run at month-end before financial statements
  • Use the last day of the accounting period as Account Date
  • Ensure all asset transactions for the period are recorded first
  • Generated entries will debit depreciation expense and credit accumulated depreciation

Results#

  • New journal entries created in General Ledger
  • Asset book values updated
  • View results in General Ledger reports

Generate Entries#

  • Purpose: Create recurring or bulk journal entries
  • Use Case: Monthly accruals, depreciation entries, and bulk adjustments

Generate Assets Entries#

  • Purpose: Automatically generate asset-related entries
  • Use Case: Depreciation calculations, asset disposals, and revaluations

Actions Section#

The Actions section contains period-end and administrative functions:

Reconcile#

  • Purpose: Match transactions between different accounts or systems
  • Use Case: Bank reconciliation, intercompany reconciliation

Bank Reconciliation in Odoo Accounting#

Why Do Bank Reconciliations?#

Bank reconciliations ensure your accounting records match your actual bank statements, helping you catch errors, identify missing transactions, and maintain accurate financial records.

Step-by-Step Instructions#

1. Access the Reconciliation Feature#

  • Go to Accounting module from the main menu
  • Click Accounting in the left sidebar
  • Select Reconcile from the Actions menu

2. Select the Account to Reconcile#

  • Choose the bank account you want to reconcile from the list (e.g., "121000 Account Receivable")
  • The system will display unreconciled transactions

3. Review Transaction Details#

  • Check the columns: Date, Journal Entry, Due Date, Account, Partner, Label, and Residual Amount
  • Look for transactions that should match between your records and bank statement

4. Match Transactions#

  • Find transactions that correspond to your bank statement
  • Click on matching transactions to select them
  • If amounts match exactly, the system will automatically suggest the reconciliation

5. Complete the Reconciliation#

  • Once transactions are matched, click Reconcile
  • The matched transactions will be marked as reconciled and removed from the pending list

6. Handle Discrepancies#

  • For unmatched items, investigate the differences
  • Create adjusting entries if needed through Generate Entries > Generate Assets Entries

7. Import Bank Statements (if needed)#

  • Use Bank and Cash > Import Statement to upload bank data
  • This helps match transactions automatically

Repeat this process regularly (monthly recommended) to maintain accurate financial records.

Lock Dates#

  • Purpose: Prevent modifications to transactions before specified dates
  • Use Case: Period-end closing, audit control, and data integrity

Import Statement#

  • Purpose: Import bank statements and other external financial data
  • Use Case: Bank statement reconciliation, automated transaction creation

Bank and Cash Section#

Specialized tools for cash management:

Bank Statements#

  • Purpose: Import and reconcile bank statements
  • Use Case: Cash flow management, bank reconciliation

Cash Registers#

  • Purpose: Manage point-of-sale and cash drawer operations
  • Use Case: Retail operations, cash handling, and till reconciliation

Dashboard Integration#

The accounting module integrates with the main dashboard, providing quick access to:

Configuration Tiles#

  • Accounting Periods: Set up fiscal years and accounting periods
  • Bank Account: Configure bank account settings
  • Taxes: Set up tax rates and configurations
  • Chart of Accounts: Manage account structure and initial balances

Quick Action Widgets#

  • Customer Invoices: Direct access to invoice creation and management
  • Vendor Bills: Quick bill entry and approval workflow
  • Miscellaneous Operations: Access to various accounting utilities
  • Bank: Bank account management and reconciliation tools
  1. Menu Access: Click on any main section to expand and view subsections
  2. Search Functionality: Use the search bar in the top menu to quickly find specific functions
  3. Favorites: Pin frequently used menu items to the favorites section for quick access
  4. Breadcrumbs: Use the navigation trail to understand your current location within the module

Best Practices#

Daily Operations#

  • Start with Journal Entries for daily transaction recording
  • Use Bank and Cash section for daily cash management
  • Check Vendor Bills and Customer Invoices for pending items

Period-End Procedures#

  1. Review and post all journal entries
  2. Run reconciliation processes
  3. Generate required recurring entries
  4. Use Lock Dates to secure the period
  5. Generate reports from Ledgers section

Setup and Configuration#

  • Configure Chart of Accounts before starting operations
  • Set up proper Journals for each transaction type
  • Configure Analytic Items for departmental tracking
  • Establish Budgets for financial control

Security and Access Control#

The menu structure respects user permissions, showing only functions that the current user is authorized to access. Contact your system administrator if you need access to additional features.