These instructions require the use of a Reserve Fund Contribution expense account. If you do not already have an expense account for this purpose you will need to create one using the instructions below
1) Go to Budgets > Edit Categories > Expense categories > Add Expense Category.
*Values are only an example, you should input your own data into this field
Before you use this new category in Transactions, make sure to refresh your browser to update the accounts list.
You are now ready to create the journal entry to increase your Reserve Fund by the amount of your reserve contribution.
1) You will go to Transactions > Actions > Add Journal Entry.
2) To increase your Reserve Fund Equity you will need to credit the equity by the amount of the transfer. To offset that credit, you will debit your Reserve Fund Contribution expense by the same amount.
*Values are only an example, you should input your own data into this field
Alternatively, if you only wish to adjust your Reserve Fund equity in your year-end closing, you could credit a Reserve Income account throughout the year, which could be closed to the Reserve Fund equity at year-end.
3) You can then update your General Ledger by going to Transactions > Actions > Update General Ledger. After the ledger has updated, you will see the updated Reserve Fund balance on your balance sheet, as well as the amount of the contribution as an expense on your Profit and Loss reports.
Please note, these steps do not record a transfer between your bank accounts. To record a transfer between your bank accounts, please follow the article below. Those steps may need to be taken in addition to the steps described in this article.