How to Create Expense Accounting Entries in ERPNext?

You can create expense vouchers for day-to-day expenses and reimburse them using Journal Vouchers. The best practice is to first book the expense against an employee account and then reimburse it as cash or cheque. This will help to track total expenses against a particular employee.

For this you need to create 2 vouchers as below.

1. To book the expense against the employee:

Go to Account-->Journal Voucher-->New Journal Voucher

Select the appropriate "Voucher Type"

Add "Remarks" to capture the details of the voucher.

Enter the account heads in the GL entry table

Now Save the voucher. On saving a number will be generated and a "Submit" button will appear.

You can still  edit the voucher. Once you click on "Submit" the voucher freezes and the accounting ledger entries get posted.

2. To reimburse the employee fore the expenses

Select the appropriate voucher type (cash or bank) and follow the above steps to create the voucher. Here you will need to debit the employee account and credit the cash account if the reimbursement is through cash.

Similarly you can book and pay various day-to-day expenses using the journal voucher.

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