When is a journal required?

• Correcting errors, eg where a payment has been costed to the incorrect account. The journal credits the account where the transaction was originally charged, and charges it to the correct account.
• Internal movement of funds, eg where funds from one project or cost centre need to be transferred to another project or cost centre.
• Generating accrual accounting entries such as depreciation. This function is restricted to the Accounting Team.
  The preferred journal form for general use is the electronic form. Instructions for completion are as follows (and repeated in the electronic Journal form – “Instructions” tab):

Access the Journal form.

1. Open 'Journal' Tab

2. Complete all blue shaded sections as follows:

Period: current financial year period (ie July = 1, Aug = 2, etc)

Completed by: name of person completing the journal

Ledger: PL for general/primary ledger, PJ for Roads Project ledger

Account No.: transaction account number - see below for account number formats

Amount: amount of the journal transaction (NOTE: credit are negative, debits positive)

Narr1: explanation of the transaction (mandatory) Maximum of 40 characters

Narr2: additional details of the tranaction (optional) Maximum of 40 characters

Narr3: additional details of the tranaction (optional) Maximum of 40 characters

ESI: = Enter 60

3. Complete one line for each transaction

4. Journal should comprise of a minimum two transaction lines (ie a debit and a credit)

5. No spaces between transaction lines

6. Total of journal transactions must = 0

7. email journal and any supporting documents to accounting@stategrowth.tas.gov.au

Account Number formats

General Ledger (PL) format:

14 digit account number in the format CCCCFFNNNNAAAA (all numeric)

CCCC = cost centre

FF = fund source

NNNN = natural account

AAAA = activity code (in most cases will be 0000)

Road Project ledger (PJ) format:

12 digit account number in the format RPPPPPFFNNNN

First digit is R, identifying the number as a Road Project number

PPPPP = project (numeric)

FF = fund source (numeric)

NNNN = natural account (numeric)

Please refer to Chart of Accounts, for more detail

Further points to note when completing a journal:

When correcting a transaction error, always use the GST exclusive transaction amount, ie the amount posted in the ledger;
Journals transactions can be between the Primary Ledger and the Roads Project Ledger;
Completed journals must be forwarded to accounting@stategrowth.tas.gov.au for approval and processing;
All Journals must be approved by Manager Accounting Operations or Senior Accountant before processing.

Any questions?

Please call 6166 3227 or email accounting@stategrowth.tas.gov.au