Journal Entry - Nominal

There are many requirements when you may need to post a journal to the nominal ledger:

Posting payroll entries (if you do not already link the Datafile Software payroll to the nominal ledger)

Posting cash book entries (if you are not already using the Datafile Software cash book application)

Posting employee expense claim forms to the various expense headings

Posting the month’s petty cash analysis

Posting the period depreciation figures (if not using the Datafile Software fixed assets application)

Posting the period stock movement or stock take summaries

Posting prepayment and accrual transactions

Journal entry allows you to post up to 200 lines to the nominal ledger as a single journal, in groups of ten entries. The total of all the debit entries must be equal to the total of all the credit entries before you can complete the journal and update the files.

The transaction header is completed as described at the start of this section. For each journal entry you must then enter:

Account

Key in the account code for the entry line — or use the <F4-Select> key to find the nominal code you want. Provided it is a valid nominal account code, the account name displays in the NARRATIVE column and the cursor moves to the debit column.

Debit/Credit

If the value for this journal entry is a debit, then enter it here and key <Enter>. If the value to be entered is a credit, key <Enter> in the blank debit column and the cursor will move into the credit column for you to type in the credit value.

If you <Escape> in any position of the journal line you are returned to the account code column, and <Escape> in the account column takes you to the journal entry completion routines described below.

Time Saving Tip

Additional Line Items

Once you’ve entered the debit or credit value, you may be asked for up to four further values for this line:

Analysis

This can take a value in the range 0–9999. You might use it for (say) a cost centre or job code in situations where you only want to analyse transactions (cost centres would more normally be accommodated as part of the account code structure). Another use is to enter an employee code here, so that you can pull out employee expenses for Inland Revenue returns at the fiscal year end.

Reference

You can enter an alpha-numeric reference here — a docket reference perhaps, or the initials of the originator.

Second Reference

This option, Diamond and Premier only, allows input of a second reference. The title prompted is the field name of the data item referenced as ‘2^nd Reference’ in the Database Profiles.

Note — Datafile Diamond and Premier only

Description

Provided the system is set up to allow it, you can enter a description for each line of a multiple entry journal. The description displayed here is either that of the previous entry or, in the case of the first entry, that given in the transaction header. Either <Enter> to accept the current description, or type a new description for this line.

Date

Again, provided the system is set up to allow it, you can enter a date on each journal entry line.Today’s date prompts here, and you can change this for another date. The date you give here must still be within the period of this transaction as defined in the header, however.

Note — Datafile Diamond and Premier only

After completing any additional details you are then prompted for the account code of the next entry line. After every ten lines, you are given a fresh screen to continue further input.<Enter> on a blank account code takes you to the ‘completion’ stage.

Journal Entry Completion

Once the journal detail has been entered then you are given a series of options to amend and update the journal.

ADD This returns you to the account code prompt for the next vacant line so that you can continue to enter lines on the journal.

DELETE You can delete an entry line entire by selecting this option and giving the line number you wish to delete. You are given the chance to confirm that you want to delete the chosen line, and then all the journal lines are shuffled up to fill the space left by the deleted transaction.

EDIT This option puts you back at a specific line so that you can edit the details of that entry. One of the most common mistakes is to put the value in the wrong column, and the <F3-Clear> tip above is a quick way to rectify this error.

LIST This lists the entries in this journal, starting from whichever line number you give and listing ten at a time. If there are more entries to come, the option assumes you want to continue. Either <Escape> to the actions or continue to the end of the list when you will be automatically returned to the actions list.

TOTALS This option can help you to find the balancing value by choosing this option, which gives the total of all debits and the total of all credits.You are warned if the totals do not balance and then you are returned to the actions list.

UPDATE This option updates the transactions to the ledger. If you try to update when the debit and credit totals do not balance you are warned accordingly and returned to the actions list.

EXIT This option abandons the entered journal and returns you to the menu.

If update the journal to the nominal then, afterwards, you are prompted whether you wish to enter another journal – respond as required.