Recurring & Reversing Entries

Templates for recurring entries and entries that automatically reverse.

Memorized (Recurring) Journal Entries

Templates that can be scheduled to create journal entries automatically.

Setup Options

Setting	Options	Description
Frequency	Daily, Weekly, Monthly, Quarterly, Yearly	How often to create
Reminder	Email notification	Alert before posting
Auto-create	Yes/No	Automatic or manual creation
End Date	Date or Never	When to stop recurring
Next Date	Specific date	When next entry will create

Creating a Memorized Transaction

Create a standard journal entry
Save the entry
Go to Actions > Memorize
Set schedule and options
Save memorized transaction

Common Recurring Entries

Entry	Frequency	Example
Depreciation	Monthly	Fixed asset depreciation
Rent accrual	Monthly	Accrue rent expense
Loan interest	Monthly	Accrue interest expense
Prepaid amortization	Monthly	Amortize prepaid insurance
Intercompany fees	Monthly	Management fee charges

GL Example: Memorized Depreciation

MEMORIZED DEPRECIATION ENTRY
═══════════════════════════════════════════════════════════════════════════════

Template Entry:
┌────────────────────────────────────┬────────────┬────────────┐
│ Account                            │   Debit    │   Credit   │
├────────────────────────────────────┼────────────┼────────────┤
│ Depreciation Expense - Equipment   │ $5,000.00  │            │
│ Depreciation Expense - Vehicles    │ $2,000.00  │            │
│ Depreciation Expense - Furniture   │   $500.00  │            │
│ Accumulated Depreciation - Equip   │            │ $5,000.00  │
│ Accumulated Depreciation - Veh     │            │ $2,000.00  │
│ Accumulated Depreciation - Furn    │            │   $500.00  │
├────────────────────────────────────┼────────────┼────────────┤
│ TOTAL                              │ $7,500.00  │ $7,500.00  │
└────────────────────────────────────┴────────────┴────────────┘

Memo: Monthly depreciation - [Month Year]

Schedule:
  Frequency: Monthly
  Next Date: 1st of each month
  End Date: Never (until assets fully depreciated)
  Auto-create: Yes

Reversing Journal Entries

Entries that automatically reverse in the next period.

When to Use

Scenario	Why Reverse?
Accruals	Reverse when actual bill received
Estimates	Reverse when actual known
Timing adjustments	Temporary period-end entries
Audit adjustments	Reverse after audit complete

How It Works

REVERSING JOURNAL ENTRY FLOW
═══════════════════════════════════════════════════════════════════════════════

                    DECEMBER 31
                         │
                         ▼
              ┌─────────────────────┐
              │  Original Accrual   │
              │  Entry Created      │
              │                     │
              │  ☑ Reversal Date:   │
              │    January 1        │
              └──────────┬──────────┘
                         │
          ┌──────────────┼──────────────┐
          │              │              │
          ▼              │              ▼
    DECEMBER 31          │         JANUARY 1
    P&L includes         │         Reversal entry
    accrued expense      │         auto-created
                         │              │
                         │              ▼
                         │         JANUARY 15
                         │         Actual bill
                         │         recorded
                         │              │
                         └──────────────┘
                                   │
                                   ▼
                         Net expense in
                         January = variance
                         from estimate

GL Example: Reversing Accrual

REVERSING JOURNAL ENTRY
═══════════════════════════════════════════════════════════════════════════════

December 31, 2024 - Original Accrual (marked for reversal):
┌────────────────────────────────────┬────────────┬────────────┐
│ Account                            │   Debit    │   Credit   │
├────────────────────────────────────┼────────────┼────────────┤
│ 6200 Utilities Expense             │ $3,000.00  │            │
│ 2150 Accrued Expenses              │            │ $3,000.00  │
└────────────────────────────────────┴────────────┴────────────┘
☑ Reversal Date: January 1, 2025


January 1, 2025 - Auto-Generated Reversal:
┌────────────────────────────────────┬────────────┬────────────┐
│ Account                            │   Debit    │   Credit   │
├────────────────────────────────────┼────────────┼────────────┤
│ 2150 Accrued Expenses              │ $3,000.00  │            │
│ 6200 Utilities Expense             │            │ $3,000.00  │
└────────────────────────────────────┴────────────┴────────────┘

January 15, 2025 - Actual Bill Received ($3,200):
┌────────────────────────────────────┬────────────┬────────────┐
│ Account                            │   Debit    │   Credit   │
├────────────────────────────────────┼────────────┼────────────┤
│ 6200 Utilities Expense             │ $3,200.00  │            │
│ 2000 Accounts Payable              │            │ $3,200.00  │
└────────────────────────────────────┴────────────┴────────────┘

Net January Expense: $3,200 - $3,000 = $200 (variance from estimate)

Setting Up Reversing Entries

Checkbox Method

Create journal entry
Check Reversal Date field
Enter date for reversal
Save

What Gets Reversed

All debit/credit lines are swapped
Same accounts, opposite direction
Same memo with "Reversal of" prefix
Linked to original entry

Journal Entry Approval Workflow

Optional approval process for journal entries.

Approval Configuration

JOURNAL ENTRY APPROVAL WORKFLOW
═══════════════════════════════════════════════════════════════════════════════

                    ┌─────────────────────┐
                    │  Journal Entry      │
                    │  Created            │
                    │  Status: Pending    │
                    └──────────┬──────────┘
                               │
                               ▼
                    ┌─────────────────────┐
                    │  Submit for         │
                    │  Approval           │
                    └──────────┬──────────┘
                               │
              ┌────────────────┼────────────────┐
              │                │                │
              ▼                ▼                ▼
      ┌─────────────┐  ┌─────────────┐  ┌─────────────┐
      │   < $1,000  │  │ $1K - $10K  │  │   > $10K    │
      │             │  │             │  │             │
      │ Supervisor  │  │ Controller  │  │ CFO         │
      │ Approval    │  │ Approval    │  │ Approval    │
      └──────┬──────┘  └──────┬──────┘  └──────┬──────┘
             │                │                │
             └────────────────┼────────────────┘
                              │
                    ┌─────────┴─────────┐
                    │                   │
                    ▼                   ▼
           ┌─────────────┐      ┌─────────────┐
           │  APPROVED   │      │  REJECTED   │
           │             │      │             │
           │ GL Posted   │      │ Returned    │
           │ Status: App │      │ for Edit    │
           └─────────────┘      └─────────────┘

Setting Up Approval

Go to Customization > Workflow
Create workflow for Journal Entry record
Add approval states and transitions
Define approvers by role or amount

Best Practices

For Memorized Entries

Practice	Benefit
Review amounts periodically	Catch changes
Set end dates when appropriate	Prevent stale entries
Use reminder emails	Manual review before posting
Group related entries	Easier management

For Reversing Entries

Practice	Benefit
Always use for accruals	Cleaner next period
Set reversal to 1st of next month	Consistent timing
Reference in memo	Easy to identify
Review reversed entries	Ensure actual recorded

General Journal Entry Practices

Practice	Benefit
Use descriptive memos	Easier audit trail
Reference source documents	Traceability
Review before posting	Prevent errors
Consistent naming	Searchability

Next Steps

Journal Entries Overview - All journal types
Standard Journal Entry - Regular GL adjustments
GL Flow Map - Complete GL reference

Memorized (Recurring) Journal Entries​

Setup Options​

Creating a Memorized Transaction​

Common Recurring Entries​

GL Example: Memorized Depreciation​

Reversing Journal Entries​

When to Use​

How It Works​

GL Example: Reversing Accrual​

Setting Up Reversing Entries​

Checkbox Method​

What Gets Reversed​

Journal Entry Approval Workflow​

Approval Configuration​

Setting Up Approval​

Best Practices​

For Memorized Entries​

For Reversing Entries​

General Journal Entry Practices​

Next Steps​