How to add an opening balance
Please select the correct option:
Option 1: The year has been closed at least once since we started using the software
Option 2: We are brand new to the software and have not used it to close a year yet
When you have run at least one End of Year Process the best option for adding an opening balance to an account is to use a journal entry as a Beginning Balance Entry instead of using the actual beginning balance entry. Using the actual beginning balance entry will change the first year ParishSOFT Accounting was started, not the current year to which you are adding the account.
If this is a new Bank Account (most common) you will debit that Asset and Credit your Net Asset account (normally), however, there may be reasons to use a different account for the Credit. In those cases, consulting an accountant may be prudent.
If you have never run the End of Year Process in this software, please refer to the following article to learn how to add an opening balance.