System Accounts

Modified on Mon, 14 Nov 2022 at 01:10 AM

The system accounts are a pre-defined set of accounts that your accounting system requires in order to post transactions. These are mapped to a specified account in your accounts list. To see which accounts are system accounts navigate to Accounting > Accounts > Account List.


Your system accounts will have the word "System" under the restrictions heading.




The System Accounts list is Global – the mapping holds for all divisions.





WARNING: Please note we DO NOT recommend changing System Accounts to other accounts for accounting purposes. 


While the System Account is linked to an account, you will not be able to delete this account from your Accounts list.

Some system accounts have blocks against posting manually to them. These accounts have been identified as accounts that should only have postings due to another transaction.

These accounts include:

  • Accounts Receivable
  • Accounts Payable
  • Current Year Earnings
  • Sales tax – paid and collected
  • GST Payments | Refunds 

We have taken a screenshot of a standard System Accounts list which should be suitable for most businesses that are only using one currency and accrual accounting method. If you are using Cash Accounting Method, you will also need two other system accounts; "Cash Accounting AP Holding" and "Cash Accounting AR Holding".


To find your system account mappings (as demonstrated below) navigate to Admin > Accounting > System accounts



An example of system account usage is the System Account for Accounts Receivable.

This is mapped to your Accounts Receivable Account in your Accounts List. When a sale is posted, the System Account for Accounts Receivable is used (if there isn't one the transaction will fail) as accrual accounting requires the system account to post this transaction. 

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