Posting Depreciation Journals

Active Ledger is able to automatically apply the calculated depreciation against the relevant accounts in the entity's dataset.

Note: Before being able to automatically post depreciation journals you will need to ensure the following are set up:

  1. The relevant dataset has been linked to the depreciation year (see knowledge article: Assets - Overview)
  2. Appropriate sources and depreciation accounts have been chosen for each asset group (see knowledge article: Creating an Asset Register).

Navigate to the Datasets screen and click on the relevant dataset. Next, select the Journals tab. From here you are able to click on the Process Automatic Journals button.

You will get a pop-up notification that a depreciation journal has been posted. The journal will then show up in the list along with all other journals for the dataset. By default, the journal will have the status 'Pending Export'. For information on exporting journals back to the client's accounting file see the knowledge article: Datasets - Balances - Trial Balance.

To edit (or void) the journal click on it and make any changes before clicking on Save Journal.

Note: If any changes are made to the asset register (e.g. a new asset is added), make sure to update the depreciation journal by clicking on the Process Automatic Journals button again. There is no need to delete the old journal.

Note: Processing automatic journals does NOT post any balancing adjustment amounts (i.e. those created from disposing assets or writing off a pool balance). They will need to be entered manually through the Journal screen.

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