General Ledger Configuration sets the default Chart of Accounts accounts that the system uses to auto-post financial transactions — both on the purchasing side (receipts, tax, freight, vendor invoices) and on the receivables side (customer invoices, revenue, sales tax liability). Setting these up correctly lets the system post to the right accounts automatically, so users don't have to pick accounts on every transaction.
The page has two tabs:
- Procurement — eight account mappings used when receiving goods, processing purchase orders, and booking vendor invoices.
- Accounts Receivable — three fallback account mappings used when posting customer invoices to the general ledger.
Each tab has its own configured-count badge (e.g., "6/8 Configured" on Procurement, "0/3 Configured" on Accounts Receivable). Aim to fill every field on both tabs before you start processing transactions — missing defaults will cause posting errors.
Where to Find General Ledger Configuration
Navigate to Settings → General Ledger Configuration in the left-hand sidebar.
Navigation path: Dashboard → Settings → General Ledger Configuration
Procurement Tab
The Procurement tab configures the accounts the system posts to when goods are received against a purchase order, when tax and freight are applied, and when vendor invoices are booked into the general ledger.
The tab is organized into three cards — Receipt Posting Accounts, Tax & Shipping Accounts, and Payment Posting Accounts — covering eight default account mappings in total. A small "X/8 Configured" badge at the top shows how many you've set. Gray until all eight are mapped.
Click Save All Settings at the bottom of the page to save changes.
Account Mappings
All fields use a searchable dropdown linked to your Chart of Accounts. Type an account name or number to search.
Receipt Posting Accounts
These accounts are used when goods are received against a purchase order.
| Field | Description |
|---|---|
| AP Accrual | Accrues the accounts payable liability when a receipt is posted before the vendor invoice arrives. |
| Inventory Asset | Posts the value of received goods to your inventory asset account. |
| Project Material Cost | Posts material costs directly to project cost when goods are received for a project. |
| Purchase Price Variance | Captures the difference between the PO price and the actual invoice price. |
Tax & Shipping Accounts
These accounts are used when tax and freight charges are applied to purchases.
| Field | Description |
|---|---|
| Sales Tax Expense | Posts sales tax charged on purchases as an expense. |
| Shipping & Freight | Posts freight and delivery charges on purchase orders. |
| Sales & Use Tax Payable | Accrues tax amounts owed to tax authorities. |
Payment Posting Accounts
The account used when vendor invoices are booked into the general ledger.
| Field | Description |
|---|---|
| Accounts Payable | The primary accounts payable account for vendor invoices. |
Example Procurement Configuration
| Field | Account |
|---|---|
| AP Accrual | 20000 - Accounts Payable |
| Inventory Asset | 12000 - Materials Inventory |
| Project Material Cost | 51000 - Direct Materials |
| Purchase Price Variance | 59100 - Purchase Price Variance |
| Sales Tax Expense | 59000 - Sales Tax Expense |
| Shipping & Freight | 59500 - Freight & Delivery |
| Sales & Use Tax Payable | 21000 - Sales & Use Tax Payable |
| Accounts Payable | 20000 - Accounts Payable |
Tips for the Procurement Tab
- Map all eight fields before creating your first purchase order — missing defaults can cause posting errors.
- Watch the X/8 Configured badge to confirm you've set every account.
- Work with your accountant to confirm which accounts should receive each type of posting.
- Use the AP Accrual account if your business receives goods before receiving vendor invoices (three-way matching). If you receive the invoice at the same time as goods, the AP Accrual and Accounts Payable accounts can be the same.
- Sales & Use Tax Payable and Accounts Payable are both liability accounts — make sure you pick liability accounts in those fields, not expense accounts.
Accounts Receivable Tab
The Accounts Receivable tab sets the fallback accounts used when posting AR invoices to the general ledger. These are used when the project or sales order tied to an invoice does not have a specific COA assigned.
The tab has a single card — Invoice Posting Accounts — with three required mappings. An "X/3 Configured" badge at the top tracks completion. All three should be configured before posting AR invoices to GL.
Click Save All Settings at the bottom of the page to save changes.
Invoice Posting Accounts
Accounts used when posting AR invoices to the general ledger.
| Field | Description |
|---|---|
| Accounts Receivable | Debit account for invoice postings (e.g., 12000 - Accounts Receivable). |
| Revenue | Credit account for invoice revenue (e.g., 40000 - Revenue). |
| Sales Tax Payable | Credit account for sales tax liability (e.g., 22000 - Sales Tax Payable). |
Tips & Best Practices
- Configure both tabs before you start processing transactions. Procurement defaults drive PO posting; AR defaults drive customer invoice posting.
- Treat AR defaults as fallbacks. If a project or sales order already has specific COA accounts assigned, those take priority. The AR tab only kicks in when no project- or order-level override exists.
- The Sales Tax Payable account on the AR tab and the Sales & Use Tax Payable account on the Procurement tab often point to the same liability account (e.g.,
21000) — confirm this with your accountant. - Revisit this page whenever you add new accounts to your Chart of Accounts, in case any of the defaults should be updated.
Related Topics
- Chart of Accounts — Set up the accounts referenced here
- Tax Entities — Configure tax rates that interact with these accounts
- GL Categories — Group the accounts used here on financial reports