Lesson 2 of 6 · 3 min

When your books start, and opening balances

Pick the day Ledger starts keeping your books, then say what you had and owed the day before.

From when are you keeping your books in Ledger?
30 JuneOpening balances
1 JulyYour books start in Ledger
From then onEvery invoice, bill and payment
When you create your business, pick the day Ledger starts keeping your books: usually the first of this month. Everything from that day on goes in as it happens. What you had and owed the day before goes in once, as opening balances. You can change the day in Settings → Books until anything is in the books; then it's fixed.
Accounts → Opening balances
app.ledger.vereon.tech
Your booksItemsReportsAccountsPayrollImportSettings
Opening balances
Enter them
Chart of accountsJournalsOpening balancesTax rates
Money and other balances · J-0001 · Rs 1,785,000.00
What each customer owed you · Al-Madina Store · Rs 145,000.00
What you owed each supplier · Punjab Rice Mills · Rs 410,000.00
Stock on hand · 6 items entered, worth Rs 1,423,000.00 at cost.
What's left on Opening balances · Move it to Owner's capital
Accounts, then Opening balances: everything there is dated the day before your books start. Under Money and other balances, press Enter them: what was in each bank account (from its statement) and the cash box, and anything else, like the loader or a loan. Then What each customer owed you and What you owed each supplier, one by one. Stock on hand goes in under Items → Adjustments, as opening stock at what each cost you.
An old balance, carried in
When
Al-Madina Store owed Rs 145,000.00
In the old khata
Then
An opening invoice
Dated 30 June
Result
Paid on 9 July
Put against it, like any invoice
Customers and suppliers go in one by one, as opening invoices and bills, so when Al-Madina Store pays off the old khata balance you can put the payment against it, and anything left unpaid shows up as overdue like any other invoice.
Journal entry
Opening balances, 30 June 2026
Account
Debit
Credit
Meezan current accountRs 1,250,000.00
Cash in handRs 85,000.00
Equipment & furnitureThe loaderRs 450,000.00
Opening balancesRs 1,785,000.00
TotalRs 1,785,000.00Rs 1,785,000.00
Debits equal credits
Each opening balance is dated the day before your books start, against an account called Opening balances, so none of it counts as this year's income or spending; Ledger puts the difference there for you. Add or correct them whenever you like. Last of all, what's left on Opening balances is what the business was worth to you that day: Move it to Owner's capital, and the balance sheet reads plainly.

Try it

Opens Ledger. You'll be asked to sign in first; new businesses get a free week, no card needed.

Enter your opening balances

Quick check

2 quick questions. Pick an answer and Leo will tell you how you did.

1. Your books start on 1 July. Which date do your opening balances carry?

1 July30 June, the day beforeThe day you type them in

2. Why do customers' old balances go in one customer at a time?

So their payments can be put against them, and late ones show as overdueBecause one total is too big for Ledger

Try it in Ledger, free for a week

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