A journal entry is the double-entry record behind everything in your books. Most are created for you — by transactions arriving, invoices posting, and payroll syncing. You create one by hand when you need to record something that doesn't come from a bank feed: an accrual, a depreciation entry, a reclass, or an opening balance.
Where journal entries come from
Most of your journal entries are created automatically:
- Transactions. Every transaction in your books has a journal entry behind it. You edit it by editing the transaction — see our Categorizing and splitting transactions article
- Invoices and bills. Posting an invoice or bill on accrual books creates its journal entry. On cash books, the entry is created when you match the payment
- Payroll. Each completed Gusto payroll run posts as a balanced journal entry
Creating a journal entry
- Go to Journal Entries in the left-hand menu of Books
- Click Create Journal Entry
- Set the date and input a description
- Add a line item for each account the entry touches, with the ledger account, a memo, and the amount. You need a minimum of two line items to create a journal entry.
- Confirm that the sum of debits = sum of credits
- Post the entry by clicking Save
Tip: To bring in a longer entry, paste the rows straight from a spreadsheet into the journal entry screen rather than typing each line.
Exporting your journal entries
Manual journal entries can be exported to XLSX from the Journal Entries page by clicking the download icon.
Mercury is a fintech company, not an FDIC-insured bank. Banking services provided through Choice Financial Group and Column N.A., Members FDIC.
AI-generated responses and suggested actions may vary and are not guaranteed. Please review outputs before taking action.