Navigate to **Financial Data** tab and select **Journal Entries**

Select the **Adjustment Type Dropdown**, and select the **Type** of **Journal Entry**

**Journal Types**

**Normal adjusting**: This is used for any normal **Journals** applicable to the client. You would use it for adjustments to **Accounts** that you want to push back to the clients processing **Trial Balance** after you finalise the **Financials**.

**Drafting**: This is used when you need to do **Journals** that are applicable to your **Drafting Trial Balance** only. These adjustments are not sent back to the client processing **Trial Balance**. An example of this might be splitting depreciation into separate expense accounts.

**Overs and unders**: This is used for adjustment amounts which cover **Non-material** transactions that are overstated or understated. These do not affect your **Working Trial Balance** and can be discussed with management as to whether they should be passed or not.

**Not recorded**: This is used for **Journals** that have not been finalised or approved yet. You can also switch between **Not recorded** and **Normal adjusting Journals** to see the effect that your **Journal** would have on the **Financials**.

**Standing journal**: This **Journal** will be carried forward into the clients next year. If you create a **Standing journal** in the 2019 year you can roll forward into 2020 and that **Journal**will be copied and effect both your 2019 and 2020 **Trial Balance**s. **Standing journals** are often used for **Consolidation Elimination Journals.**

**Interim:** If you are drafting **Interim** **Financials**, you can make adjustments to these values specifically.

**Budget:** You are able to make adjustments to your **Budget** figures.

After selecting the **Adjustment Type**, enter the **Description** and **Reference** in the respective fields in the **Green Ba**r under **Journal Entries.** Press **Enter** to create the **Journal.**

On the right side of the page you can now select **Account Dropdown**, and choose the **Trial Balance Entry** from the list provided, that requires adjusting under **New Journal**

Once the **Trial Balance Entries** have been selected, enter the **Amounts** in the **Amount Column**

Enter **Debit Amounts** as **Positive** and **Credit Amounts** as **Negative**

Once the respective **Trial Balance Entries** have been selected and the **Adjusting Amounts updated**, select **Save**

Once the **Journal** is saved, the **Journal Entry** will update from **New Entry** to a Journal Number

**Navigate** back to your **Working Trial Balance**, and you will see that the **Journal** has been updated to the **Adjustments** column on the **Working Trial Balance**

This guide provides a step-by-step process for creating journal entries in Draftworx Cloud, essential for accurate financial reporting.

Draftworx Cloud: Creating a Journal Entry