Contact Opening Balances

If you're migrating to Acusheet from another system, you may have contacts with existing balances — money they already owe you, or that you owe them. Opening balances let you record these starting figures so your books are accurate from day one.

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What Is an Opening Balance?

An opening balance is the amount a contact owes you (or you owe them) before you started using Acusheet. It represents the cumulative result of all historical transactions you're not entering individually into the system.

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When to Use Opening Balances

Use opening balances when:

• You're switching from another accounting system
• You're starting Acusheet mid-year and have existing receivables or payables
• A contact carried forward a balance from a previous period

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How to Set an Opening Balance

When Adding a New Contact

1. Go to Contacts → New Contact
2. Fill in the contact details
3. In the Opening Balance section:
   • Enter the Amount
   • Set the Opening Balance Date (usually your migration date or fiscal year start)
   • Set the Due Date (when this balance was/is due)
4. Click Save

For an Existing Contact

1. Open the contact
2. Click Edit
3. Scroll to the Opening Balance section
4. Enter the amount and date
5. Click Save

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Receivable vs Payable — How the Sign Works

Acusheet uses a single amount field with a sign to distinguish the direction:

Amount	Meaning	Account posted to
Positive (e.g. 500)	They owe you — a receivable	Accounts Receivable
Negative (e.g. -500)	You owe them — a payable	Accounts Payable

The field shows a hint: "Positive = they owe you · Negative = you owe them"

Example: A customer still owes you AED 1,200 from before you started using Acusheet → enter 1200. A vendor you owe AED 800 to → enter -800.

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How It Works in the Books

When you save an opening balance, Acusheet automatically creates a two-line accounting entry:

• Positive (receivable): Debits Accounts Receivable, credits Opening Balance Adjustment
• Negative (payable): Debits Opening Balance Adjustment, credits Accounts Payable

This keeps your trial balance correct without manually creating journal entries.

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Frequently Asked Questions

What account does the opening balance offset against?
It offsets against the Opening Balance Adjustment account in your Chart of Accounts. At the end of your setup, the total of all opening balance adjustments should net to zero (debits = credits).

Can I have both a receivable and payable opening balance for the same contact?
Not simultaneously. A contact either has a receivable or payable opening balance, not both.

What if I made a mistake in the opening balance?
Edit the contact, update the opening balance amount, and save. The accounting entry is updated automatically.

Should I enter opening balances for all contacts or just those with outstanding amounts?
Only enter opening balances for contacts that had an actual outstanding amount on your migration date. Contacts with a zero balance don't need one.