Income and expenses

To help you keep track of the money coming in and going out of your business, you can use the Cashbook option. From here you can record your sales and purchases and you can also use this option to process refunds.

If you need to edit or delete an existing income or expense transaction, please see To edit or delete transactions.

To record an expense

  • 1. Cashbook > Transactions.
  • 2. Box 1 > Expense.
  • 3. Box 2 > complete the following information:
Payment Method Choose whether the payment is a bank, cash or credit card payment.
Type of Expense Choose the type of expense for the payment. This can affect the VAT rate applied to the transaction.
Tip: To create a new type of expense, choose Create new > complete the information > Save.
Payment Date Enter the date of your payment.
Invoice Date This only appears if you’re VAT registered. The payment date automatically appears; if necessary you can enter a different date.
  • 4. Box 3 > complete the following information:
Name If the expense is for an existing supplier, enter the name > click the contact.
Tip: To quickly create a new supplier, click the contact button, > complete the information > Save.
Reference If required, enter a reference for the transaction.
Bank A/C Choose the bank account that you’re paying the money from. The choice of bank accounts depends on the payment method.
  • 5. Box 4 > complete the following information:

The VAT options only appear if your company is registered for VAT.

Total Enter the amount of money that you’re paying.
VAT Rate Choose the VAT rate for the expense.
Tip: The VAT rate may automatically appear depending on the type of expense.
Tick if Total includes VAT If the total amount includes VAT, to automatically adjust the amount of VAT calculated, select this check box.
  • 6. Click Save.

You’ve successfully recorded the expense.

To record income

  • 1. Cashbook > Transactions.
  • 2. Box 1 > Income.
  • 3. Box 2 > complete the following information:
Payment Method Choose whether the receipt is a bank or cash receipt or a cheque in hand.
Type of Sale Choose the type of sale for the income. This can affect the VAT rate applied to the transaction.
To create a new type of sale, choose Create new > complete the information > Save.
Payment Date Enter the date of the receipt.
Invoice Date This only appears if you’re VAT registered. The date automatically appears; if necessary you can enter a different date.
  • 4. Box 3 > complete the following information:
Name If the money is from an existing customer, enter the name > click the contact. To quickly create a new customer, click > complete the information > Save.
Reference Enter a reference for the transaction.
Bank A/C Choose the bank account that you’re receiving the money into. The choice of bank accounts depends on the payment method.
  • 5. Box 4 > complete the following information:

The VAT options only appear if your company is registered for VAT.

Total Enter the amount of money that you’re receiving.
VAT Rate Choose the VAT rate for the income.
Tick if Total includes VAT If the total amount includes VAT, to automatically adjust the amount of VAT, select this check box.
  • 6. Click Save.

You’ve successfully recorded the income.

To record a refund

If you need to record a refund, simply follow the steps in the previous sections depending on whether the refund is for income or an expense and enter the total as a negative value. This adjusts your Profit and Loss report and if necessary, your VAT Return.

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