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Administrator Guide
Last Updated: 2023-06-23
Create Accounting Journals

Create Accounting Journals

  • Setup financial accounting structure.
  • Control access to ledger accounts for group of workers.
  • Set up journal sources.
  • Security:
    Process: Journals (NEW)
     domain in the Financial Accounting functional area.
You can create journals so that you can post them to ledger accounts to record:
  • Month end adjustments.
  • Depreciation.
  • Translation adjustments.
  • Accrued liability for purchase items that you’ve received but not paid for.
  1. Access the
    Create Journal
     task.
  2. As you complete the journal header, consider:
    Option Description
    Ledger
    Select a company that includes one of these ledgers:
    • Actuals.
    • Commitment.
    • Obligation.
    You can also use the
    Ledgers by Company Hierarchy
     prompt category to navigate a company hierarchy and then select the company ledger.
    Currency
    The company currency used on financial transactions. Workday populates the field based on the
    Ledger
     that you select.
    Journal Source
    Displays journal sources you configured as an
    Accounting Source
     on the
    Maintain Journal Sources
     task.
    Display Account Set
    Displays account sets you configured on the
    Edit Company Accounting Details
     task.
    Balancing
    [worktag type]
    When you use worktag balancing, select the worktag you want to use for balancing the journal. Workday dynamically displays the balancing worktag type. Example: When
    Region
     is the balancing worktag type, Workday displays the name as
    Balancing Region
    .
    Optional Balancing Worktags
    (Optional) Select 1 or more optional balancing worktag types for balancing the journal.
    When you enable optional worktag balancing on the
    Maintain Worktag Balancing Configuration
     task, Workday fully balances journal lines by optional balancing worktags. Journal lines automatically:
    • Inherit optional balancing worktags based on the worktag types selected.
    • Generate due to and due from entries to balance transactions.
    Currency Rate Type
    You can specify a currency rate type when you select the
    Enable Multicurrency
     check box. If you don't specify a type, Workday uses the
    Currency Rate Type Override
     on the
    Edit Company Accounting Details
     task.
    Book Code
    Leave blank to post to the blank book code.
    Reset Currency Rate
    You can select this check box when you select
    Enable Multicurrency
    . Enables you to recalculate ledger amounts in accounting journals when you save or submit the journal. Workday recalculates the amount based on the journal accounting date and currency rate type.
    External Reference ID
    (Optional) Enter the reference ID from the original journal source that you imported the journal from. The reference ID enables you to track journals for auditing purposes that you import into Workday.
    You can also enter an
    External Reference ID
     on the journal line.
    Record Quantity
    (Optional) Select if you want to enable quantities and units of measure on the journal lines.
    Enable Multicurrency
    (Optional) Select to enable the
    Currency Rate Type
     if you want to use a currency rate type other than the default.
    Workday populates the
    Enable Multicurrency
     check box selection based on the last journal submitted.
    Include Tax Lines
    Select to post, view, and edit transaction or withholding tax details on journal lines with taxable transactions.
    Disable Optional Worktag Balancing
    Select to create adjusting journal entries for unbalanced transactions. Example: You enable optional worktag balancing. In process transactions are unbalanced by worktags. You suspend optional worktag balancing because you want to create adjusting journal entries for unbalanced transactions.
    Adjustment Journal
    Select to mark the journal as an adjustment. You can only post adjusting journals to the period in which they apply.
    Create Reversal
    Select to enable the
    Reversal Date
     so that you can enter the date you want to have journal entries reversed. The default is the next open period.
    You can't perform a settlement run if you create an intercompany accounting journal. Workday doesn't display the intercompany journal as a settlement run option because the journal and reversal cancel each other out.
    If the accounting period isn't open, Workday creates a journal in
    Created
     status. Use the
    Find Journal Lines
     report to view reversal journals in
    Created
     status.
    Total Ledger Debits
    Total Ledger Credits
    These fields must balance because Workday doesn't post unbalanced journals.
  3. Click
    Continue
    .
  4. As you complete the
    Journal Details
     section, consider:
    Option Description
    Document Link
    Add the
    Accounting Journal Document Link
     type and the valid uniform resource identifier (URI) patterns on the
    Maintain External Link Validation
     task. This configuration enables you to link external documents to accounting journals.
    If you store supporting documents or images in an external repository, then enter the URL to that location. Once you save the transaction, Workday displays the URL as a live hyperlink to the image. Approvers can reference this document before approving the transaction.
    Workday validates the link to ensure that it has a valid Uniform Resource Identifier (URI) pattern, as defined by your security administrator. This process provides additional security to help avoid malicious content in external links.
  5. As you complete the
    Journal Entry Lines
     tab, consider:
    Option Description
    Ledger Account
    Displays the ledger accounts for the
    Company
     based on the restricted-to companies you configured on the
    Create Account Set
     task. If you selected the company as a dimension in your account posting rules, Workday validates that you can use the ledger account with the company or company hierarchy.
    Worktags
    Use worktags as keywords to more easily classify and find transactions. Configure the allowed worktag types on the
    Maintain Worktag Usage
     task. When you select a worktag type that has related worktags, Workday automatically populates transactions with the related worktag values.
    When you add a new line, Workday populates the worktags from last edited line on the new line.
    Exclude from Spend Report
    Select to exclude spend accounting lines from budget checking and spend reports.
    Tax Details
    Displays the amount of withholding or transaction tax for a journal line if you selected
    Include Tax Lines
    . Click to add, edit, or view tax details.
    • Transaction Date
      Specify a transaction date for the journal line.
    • Tax Code
      Select a transaction or withholding tax code.
    • Tax Rate
      Select an available tax rate from the transaction or withholding tax code.
    • Tax Applicability
      Indicates whether the line is taxable and the specified default tax recoverability.
    • Tax Recoverability
      When you specify the tax recoverability, Workday applies the recoverable percentage and the allocation method to the tax amount for tax rates within a tax code.
    • Tax Recoverability Type
      Indicates whether the line is fully recoverable or nonrecoverable.
    • Tax Point Date Type
      Select the tax point date type for the specified transaction date on the journal line. Workday requires the tax point date type when you specify a
      Transaction Tax Code
       on a journal line. Workday populates the tax point date type with the
      Transaction Date
      .
    Enter business entity details for this journal when a selected supplier or customer doesn't already have business details in Workday.
If you’ve configured the
Accounting Journal Event
 business process to budget check, Workday checks that the entered amount is within the budget when you click
Submit
. If the amount is within the budget, Workday routes the journal for approval.