Initializing balance values, often referred to as opening balance values, is a fundamental first step in Bkper's bookkeeping process to accurately reflect real account values (cash, bank, loan, credits, etc.) on a certain date.
For instance, if your bank statement indicates a balance of $44,500.00 on January 1st, your Bkper account balance should match this amount, also reflecting $44,500.00 on 01/01.
This alignment allows you to start reconciliation and maintain consistent balance values going forward.
To initialize an Account, you'll record a transaction that sets the balance value of a Permanent (real) account so it meets the real value on a certain date. The adjustment account that you use to record this transaction is a Non Permanent Account (outgoing or incoming type accounts) that can't be part of any hierarchy on the book, so it does not appear on future reports and once it has served its purpose it can simply be ignored and archived.
Initialize balance values
Sign in to Bkper.
Open your book.
Go to the Transactions page.
On the left side of the page, hover over the account you’d like to initialize.
Press the three 3 dots icon on the account.
Click 'Adjust Balance'.
Write the amount that the real value is on a specific date in the pop up window.
Click Ok.
Complete the input form.
You may have to create an Adjustment account (outgoing or incoming)
Post the Transaction.
The permanent account is now initialized for the date of the transaction.
After initializing all permanent accounts with their opening balance values according to their real state, you can safely ignore and archive the "Adjustment" account.
With these steps completed, your book is ready for regular transactions.
Other adjustments to account balance values, during the bookkeeping period in course, due to error, loss or unexpected gains should be recorded against their specific (adjustment) accounts according to local standards.