About cash entry processing

You can record cash entries or cash transactions of the cash entry type by creating a document in the Transactions (CA304000) window, or quickly record them by using the Cash account details (CA303000) window.

Before you start recording cash entries, you need to create entry types, which serve as the templates of the transactions, and associate them with cash accounts. For more information, see:About entry types

In this topic, you will read about how a cash entry is recorded and then processed by the system.

You create a cash entry by using the Transactions (CA304000) window.
You select a cash account and an entry type, and change the transaction date and financial period, if needed.

Then you add the transaction details. For each transaction detail, you can change the offset account if any default values are provided by the selected entry type, or select an offset account from the list of accounts if no default values are provided.
When you save the cash entry, the system assigns it a reference number in accordance with the numbering series assigned to transactions in the Transactions number series field in the Cash management preferences (CA101000) window.

The system creates cash entries with the Balanced status by default.
(That is, by default, the Hold transactions on entry check box in the Cash management preferences (CA101000) window is cleared, so new cash entries are not put on hold.)
Balanced transactions can be edited, saved, put on hold, or released.

You can quickly record a cash entry by selecting a cash account for the transaction, clicking the Create transaction button on the table toolbar of the Cash account details (CA303000) window and entering the transaction details in the Quick transaction dialog box.

Also, you can quickly add a cash entry during the process of bank statement reconciliation by clicking Create adjustment in the table toolbar of the Reconciliation statements (CA302000) window. This invokes the Quick transaction dialog box.

For more information about quickly recording cash transactions, see: Quickly record cash entry task

You can place a balanced cash entry on hold by selecting the Hold check box in the Transactions (CA304000) window, to prevent it from being released and being posted to the General ledger. With the check box selected, the status of the cash entry is On hold.
A cash entry with this status can be edited, saved, or released from hold.

You can select the Hold transactions on entry check box in the Cash management preferences (CA101000) window to create cash entries with the On hold status by default.

In the Transactions (CA304000) window, VAT is applied to the cash entry based on the VAT category of the items on the Transaction details tab and the VAT zone on the Financial details tab.
You can specify the default VAT zone for a particular entry type in the Cash accounts (CA202000) window, and the default VAT categories can be specified for non-stock items used for cash transactions.

These default settings can be overridden for a particular cash entry.

You can view and edit the applied VAT on the VAT details tab.
For more information, see:VAT categories (TX205500)

You can release a balanced cash entry by using the following windows:

When you release a cash entry, its status changes to Released, the system generates a batch, and the system posts it to the General ledger if the Automatically post to General ledger on release check box is selected in the Cash management preferences (CA101000) window.
If this option is not selected, you can post it manually by using the Post transactions (GL502000) window.

The system assigns reference numbers to the batches that implement the transactions in accordance with the numbering sequences used for cash management transactions and updates the involved accounts with the transactions shown in the following tables, based on whether the cash transaction is a receipt or a disbursement and whether taxes were applied to the transaction.

Receipt cash transaction without VAT
Account Debit Credit
Cash account Amount 0.00
Offset account 0.00 Amount
Disbursement cash transaction without VAT
Account Debit Credit
Cash account 0.00 Amount
Offset account Amount 0.00
Receipt cash transaction with VAT
Account Debit Credit
Cash account Amount + VAT amount 0.00
VAT account 0.00 VAT amount
Offset account 0.00 Amount
Disbursement cash transaction with VAT
Account Debit Credit
Cash account 0.00 Amount + VAT amount
VAT account VAT amount 0.00
Offset account Amount 0.00

Transactions recorded in the Transactions (CA304000) window do not affect the balances of customer or supplier accounts in the Customer ledger or Supplier ledger workspaces.

You can view cash entry details by using the following windows:

  • Transactions (CA304000):
    You can view cash entry details on this window, as described above, and you can view the associated General ledger batch (if the transaction has been released) by clicking the batch number on the Financial details tab.
  • Cash account details (CA303000):
    In this window, you can view all activity on any cash account during the date range you specify, including the applicable cash entries.
    You can also view the details of the associated General ledger batch by clicking the batch number in the Batch number column.

If you have added an incorrect cash entry and have released it, you can reverse the changes by generating a reversing cash entry from the incorrect one.
When you create the reversing cash entry, the system generates a transaction with negative amounts to offset the original cash transaction.
For more information, see:Correct a cash entry