By default, payments are registered through transitory accounts named outstanding accounts, before being recorded in your bank account.
- An outstanding payments account is where outgoing payments are posted until they are linked with a withdrawal from your bank statement.
- An outstanding receipts account is where incoming payments are posted until they are linked with a deposit from your bank statement.
These accounts should be of type Current Assets.
Default accounts configuration #
The outstanding accounts are defined by default. If necessary, you can update them by going to Outstanding Receipts Account and Outstanding Payments Account.and update your
Bank and cash journals configuration #
You can also set specific outstanding accounts for any journal with the type Bank or Cash.
From your Accounting Dashboard, click on the menu selection ⋮ of the journal you want to configure, and click on Configuration, then open the Incoming/Outgoing Payments tab. To display the outstanding accounts column, click on the toggle button and check the Outstanding Receipts/Payments accounts, then update the account.