A Fund Transfer Journal Entry specifically document transfers between accounts (e.g., moving funds between bank accounts) to keep a record without impacting cash flow inaccurately.
Here are the steps to create a fund transfer journal entry:
Step 1: From the left menu pane, go to Accounting and click on Journal Entry. At the top of the screen, select + New JE - FUND TRANSFER to initiate a journal entry for transferring funds between accounts. See the image below for visual reference.
Step 2: Select Source and Destination Accounts
Clearly identify both the origin and destination of funds for transparency and clarity of reporting.
- From: Choose the account to withdraw funds from.
- + New Account: This is a selection found under the drop down section when ‘From’ or ‘To’ is selected. This function will enable you to customize a selection.
- To: Select the account that will receive the funds.
- Journal Date: This can be customized according to your selected transaction date, with a default today date automatically filled in.
- Transfer Type: There are three transfer modes: Card, Bank Transfer, and Cheque. Please select the appropriate mode for the transaction.
- Reference Number: This section can be customized based on your business needs and preferred financial report.
- Amount: This section does not require a dollar sign and only accepts numeric values, including a decimal point. Enter the transaction amount here.
- Attachment: This section is optional, but if desired, you can click the option to upload a file by either dragging and dropping it or selecting it from a folder on your device. The image below will appear as soon as you select ‘Browse Files To Upload’ from the Attachment section.
- Memo (Optional): If you need to add notes or descriptions about the uploaded file, do so here.
Adding Attachments
To add an attachment, drag the file or click the + Select Files to Upload button to select and upload your files.
🔶Note: Single uploads should not exceed 10MB and can only upload a maximum of 10 attachments.
Only the following file types are allowed: DOC, DOCX, XLS, XLSX, JPG, JPEG, PNG, GIF, PDF, MP4, FLV, RMVB, AVI.
Step 5: Click Save to complete the record. This will log the fund transfer in financial accounts. Kindly see the image below for visual reference.
The journal entry has been successfully created.
As an optional measure, you may expand the entry by click on the arrow button located in the right section of the line entry.
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