Payment Ledger

A Separate ledger to record transactions on receivable and payable accounts.

Design

'Debit' and 'Credit' fields are replaced by 'Account Type' and 'Amount'(which can take both +ve and -ve values). If Voucher,

• increases account balance - amount has +ve value
• decreases account balance - amount has -ve value

Key Fields

• Account Type - Receivable/Payable
• Account - Account Name
• Party - Party Name
• Voucher No - Voucher affecting account balance
• Against Voucher No - Linked voucher
• Amount - Voucher amount

Example:

A Sales Invoice of ₹1000 and a Payment Entry against that invoice will look like below.

Flowchart of Old and New Design

Old Design

New Design

Advantage

Consider a scenario, where a payment is reconciled against a sales invoice. In the old design, this would require the Payment Entry's GL entries to be cancelled and new GL entries with the link to sales invoice will be reposted.

With the new design, there is on need to touch GL Entry. Only Payment Ledger will be updated.