Professional accounting easy to use
The income / expense accounting is very intuitive and easy to use because the movements are entered as income and expenses. It can be used by anyone, even without any accounting training.
It is ideal for managing the accounting of small firms, associations, sole proprietorships or for auxiliary accounting of projects or properties.
The results are professional-looking, because technically the program runs with the double-entry accounting system. There are therefore the same functions as double-entry accounting, such as balance sheet and income statement, account statements, VAT management, cost and profit centers, segments. It is not possible however, to keep accounts in multiple currencies.
To find out all the features of the Income and Expense accounting, visit the Characteristics page.
Similarities and differences compared to double-entry accounting
To make it easier and more intuitive to use, the accounts have been structured into two tables.
- Balance Sheet (Accounts table):
- Balance sheets are shown in the Accounts table.
- Assets are shown as a positive value and debts as negative.
- Shareholders' equity is calculated as the difference between assets and liabilities.
- Expense and Revenue Accounts (Categories table)
- The categories table shows the expense items (negative) and revenue items (positive).
- Profit or loss is calculated as the difference between positive and negative values.
When entering the transactions, the income and expense amount, the income or expense account and the category must be indicated. The amount will be posted to the indicated account. In the category column you can enter a category or even an account:
- If a category is indicated in the Category column, the amount is entered in the category as income and expenses.
- If an account is indicated in the Category column, the amount is recorded in reverse (with the sign inverted). If it is an expense as a positive value instead. Thus transactions can be made between two balance sheet accounts.
- It is not possible, however, to debit and credit between two categories with one single registration.
You must use two transaction rows, without using the account column, with the first row as income and the second as expense.
Composed transactions (transactions on several rows) can also be entered, such as for example an expense out of one account with multiple categories. In this case, multiple rows are used. The first is that of the account and without category and the others with the category and without account.
In the Accounts and Categories tables, the balances of all accounts, income and expenses are instantly displayed.
After each single transaction, the balances are automatically updated and there is no need to call up reports to keep the situation under control, but simply position yourself in the Accounts or Categories tables.
Topics similar to Double-entry accounting
Income and expense accounting is based on double accounting. Please refer to it for various additional information: