Income & Expenditure Accounts

Income & Expenditure Accounts in HirePOS are used to categorise financial transactions for accounting and reporting purposes. These accounts are similar to a Chart of Accounts in accounting software and help organise income, expenses, transfers, and other financial activity.

Navigate to Setup > Income & Expenditure Accounts.

The account list can be searched by account name and filtered using the following tabs:

• All Accounts

• Sales Income

• Other Income

• Operational

• Capital

• Personal/Drawings

• Account Transfer

• Opening Balance

• Inactive

HirePOS includes default Income & Expenditure Accounts to help you get started. We recommend reviewing these with your accountant and adjusting them where required to suit your business and accounting requirements.

Income & Expenditure Accounts can be assigned one of the following account types:

• Operational – General operating expenses incurred as part of running the business.

• Capital – Capital expenditure, such as purchases of business assets.

• Personal/Drawings – Personal withdrawals or drawings from the business.

• Other Income – Income that does not fall under your normal sales income.

• Account Transfer – Transfers between business accounts.

• Opening Balance – Used when entering opening account balances.

Account Transfer and Opening Balance are used for accounting purposes and do not represent normal business income or expenditure.

To create an account:

1. Navigate to Setup > Income & Expenditure Accounts.

2. Click New Account.

3. Enter an Expense Description. This is the name used to identify the account and is required.

4. If required, enter an Account Code.

5. Select the Tax Default to apply to transactions using this account. The tax code can still be changed when entering individual transactions.

6. Select the appropriate Account Type.

7. Optionally enter an Account Subtype. Subtypes allow reports to group and summarise accounts within an Account Type—for example, grouping Cost of Goods Sold (COGS) accounts separately.

8. Select a Budget Category of Fixed or Variable, where applicable.

9. Enable Non BAS if the account should be treated as a non-BAS account.

10. Enable Inactive if the account is no longer in active use.

11. Click Save New.

Existing accounts can be opened from the Income & Expenditure Accounts list and updated using Save Changes.

A default tax code can be assigned to each Income & Expenditure Account. This helps automatically apply the appropriate tax treatment when the account is selected for a transaction.

The default can be overridden when entering individual expenses or payments where a different tax treatment is required.

Account Subtype can be used to further group accounts within an Account Type for reporting purposes. For example, you may use a subtype to identify and summarise Cost of Goods Sold accounts separately from other Operational accounts.

The Budget Category setting can classify an account as either Fixed or Variable for budgeting purposes.

Accounts that are no longer required can be marked as Inactive. Inactive accounts are separated from active accounts and can be viewed using the Inactive tab on the Income & Expenditure Accounts list.

Sales Income is handled differently from the Income & Expenditure Account types created on this screen. Sales income accounts are derived from Setup > Item Types and Setup > Item Categories.

When integrating HirePOS with third-party accounting software, Chart of Accounts codes for sales income can be configured at the relevant Item Type or Item Category level.