Introduction - Set up general journal templates
Most financial transactions are posted to the general ledger through dedicated business documents, such as purchase invoices and sales orders. However, you can also process business activities such as purchasing, paying, or refunding employee expenses by posting journal lines in the various journals in Business Central. To work with journals, you must first set up journal templates and journal batches.
Each journal type is set up with its own journal template. Journal templates provide the basic journal structure where users can specify default information for all batches that are created by using the template.
Set up general journal templates
To set up a new general journal template in Business Central, follow these steps:
Select the Search for Page icon in the top-right corner of the page, enter general journal templates, and then select the related link.
Create a new line by entering information in the following fields:
Name and Description - Provides a unique identifier and short description for the template.
Type - Determines the structure and functions of the journal page. The available options in this field are:
General
Sales
Purchases
Cash Receipts
Payments
Assets
Intercompany
Jobs
Payroll accrual
Deposits
Sales tax
Bank deposits
Recurring - Determines if the journal is to be used to make recurring entries. Each journal type can be used for recurring purposes.
Journal lines are typically removed from the journal after they are posted. However, recurring journals keep the journal lines for reposting during the next period. Therefore, the No. Series field must be blank because it will always be replaced with the posting number series. (Entries can never be posted by using the same document number.)
The process of setting up and using a recurring journal will be discussed later in this learning path.
Bal. Account Type and Bal. Account No. - Identifies the default balancing account for all journal lines in all batches that are created under this template.
No. Series and Posting No. Series - Identifies the default number series (No. Series) that is used to assign document numbers to journal lines in journal batches that are created by using this template.
Identifies the document number (Posting No. Series) that you can use to assign to ledger entries that are posted from journal batches that are created by using this template.
The following table describes the possible setup combinations for No. Series and Posting No. Series.
| No. Series | Posting No. Series | Result |
|---|---|---|
| Blank | Blank | Document numbers must be manually entered in the journal lines and the same manual number will be assigned to all ledger entries after you have posted the journal batch. This is used, for example, with temporary journal postings that are not important to track. |
| Filled in | Blank | Document numbers are filled in automatically in the journal lines and the same number will be assigned to all ledger entries after you have posted the journal batch. |
| Blank | Filled in | Document numbers must be manually entered in the journal lines. When the journal batch is posted, document numbers from the indicated number series will be assigned to all ledger entries. |
| Filled in | Filled in | The fields are filled in with a different number series. Document numbers are filled in automatically in the journal lines. When the journal batch is posted, the document number will be replaced by the next number from the posting number series and assigned to all ledger entries. This is used, for example, with important journal postings that must be traceable. |
Some additional fields include:
Source Code - Identifies the point of origin for an entry and forms the basis for the audit trail. This field is filled in automatically when you select the Type of the General Journal template.
Reason Code - Describes why an entry was made and can be used for the audit trail. Reason codes also provide opportunities for problem patterns analysis.
Force Doc. Balance - Specifies whether entries that are posted in this general journal template must balance by document number and document type. If this field is empty, the program balances the journal by date only.
Copy VAT/TAX Setup to Jnl. Lines - When this option is selected, it directs the program to automatically fill in the general posting type and VAT posting groups on the journal lines of the selected journal template with the defaults from the accounts and balancing accounts.
When the option is selected or cleared, a message appears asking if the journal batches must be updated. Select Yes or No as applicable.
Increment Batch Name - Specifies if batch names that are using this template are automatically incremented. For example: after you've posted BATCH01, the following batch is automatically named BATCH02.
Allow VAT/TAX difference - When this option is selected, it determines if the manual adjustment of VAT amounts in journals is allowed.
When the option is selected or cleared, a message appears asking if the journal batches must be updated. Select Yes or No as applicable.
Copy to Posted Jnl. Lines - Specifies whether the journal lines to be copied to posted journal lines of the selected journal template. When you enable this field, when posting the journal lines from this template, the program copies the lines to the Posted General Journal page. From there, you can copy the lines back to the journal, which can be useful when you want to correct entries.