Why this has its own page
Recording capital, a loan or a withdrawal as income or an expense is one of the most damaging mistakes in a small company's books: it changes the profit, and the tax, for something that was never either. This page asks what happened and writes the right entry.
The page has two buttons for recording, a Recorded entries list of everything recorded here, and the company's Equity and Liabilities accounts with their balances.
Capital or a loan received
- Press Capital or liability received (also + Enter capital or loan on Receipts & Payments).
- Under Money received as, choose Owner / share capital (equity) or Loan / other financing received (liability).
- Enter the Date received, choose the account it was Received into, and the Amount.
- Type the owner's, shareholder's or lender's name.
- Choose the account to Credit to ledger account — or type a new name and Create account.
- Add a Reference and Memo, and save.
Posts: debit the bank, credit the capital or loan account.
Other equity and liability entries
Press Other equity / liability entry and choose What happened?
| What happened | Posts | Note |
|---|---|---|
| Repay a loan or other liability | Debit the liability, credit the bank | Interest is a real expense — enter it separately as a bill or payment |
| Owner withdrawal or approved distribution | Debit a drawings or distribution account, credit the bank | Never post to retained earnings or current-year earnings |
| Record an accrued or other liability | Debit an expense or asset, credit the liability | If you have a supplier invoice, use Bills instead — this does not work out VAT |
| Owner contributes an asset (no cash) | Debit the asset, credit capital | Register it on Fixed Assets too if it should be depreciated |
Correct or delete an entry
Every entry made on this page is listed under Recorded entries, newest first, with its journal number — including entries recorded before editing was available. Search by party, reference, memo, kind or amount, and sort by date or amount.
Correct an entry
- Find the entry under Recorded entries and press Edit.
- Change what was wrong: the date, amount, name, reference, memo, the accounts, or what happened.
- Enter a Reason for edit and press Save correction.
Posts: the entry's journal is reversed and the corrected entry is posted as a new journal. Nothing is changed in place — the original is kept under Show › Corrected or deleted, marked Corrected, with your reason.
Delete an entry
- Press Delete beside the entry.
- Enter a Reason and press Delete entry.
Posts: the entry's journal is reversed. The entry stays in history, marked Deleted.