The word journal comes from the French ( jour ) which means day. An accounting journal is a systematic recording of financial transactions belonging to an organization or business. In accounting, journals are divided into 2 types namely special journals and general journals. The similarity between the two journals will produce the same output , but between general journals and special journals the designation is different.
Due to the large number of company transactions, making general journals alone is considered ineffective in being able to check every transaction quickly. This is the reason for the need for special journals in recording financial transactions. The following discussion about the differences between general journals and special journals.
What is a General Journal and Special Journal?
A general journal is a journal used to record all types of financial transactions in a business for a certain period. Meanwhile, special journals are journals grouped specifically according to the type of transaction. The specific transaction referred to is a transaction that often occurs in each month and is always repeated. There are 4 types of special journal groupings, namely purchasing journals, sales journals, revenue journals, and cash disbursement journals.
Also read: Examples of General Journals and Their Manufacturing Steps
Basic Functions of the Journal
General journal
General journals have 5 important functions for a company, while the five functions are:
- Historical Function: Recording of each transaction is based on the time the transaction occurred, so that the general journal can describe the company’s daily activities in one month.
- Recording Function: General journals are used to carry out various financial recording activities that occur within a company over a certain period of time.
- Analysis function: Analyze all transactions to find out which accounts must be debited or credited.
- Instruction function: Is an order to record the ledgers both in debit and credit according to the results of the analysis.
- Informative Function: Public journals have a function as information through recording transactions carried out.
Special Journal
Whereas special journals are grouped into 4 types based on their functions, the following types of special journal functions:
- Journal of Purchasing , serves to record all purchases of business goods on credit.
- Sales Journal , to record all transactions related to selling business items on credit.
- Cash Receipts Journal , to record all money receiving transactions from various income sources.
- Cash Expenditures Journal , to record all money disbursement transactions from various sources of expenditure.
Journal Recording Methods
For the method of recording between general journals and special journals does not differ greatly, the steps to note are the steps before entering into the journal, the following steps:
- Identify every transaction that goes into the general journal or special journal. Do not get it wrong in entering transactions.
- Identify the balance, whether it will reduce or even increase the initial balance. Pay attention to the initial balance and type of transaction for identification.
- Research in writing the nominal of each transaction, do not get it wrong in writing.
- Do an analysis to find out what is on the debit and on credit must be the same.
Difference between General Journal and Special Journal
To find out the differences between general and special journals, you can see the characteristics of each journal:
General journal
- Consists of 2 columns, namely debit and credit.
- To record all transactions made by the company.
- The form of this journal consists of Date, Account, Information, Reference (Ref), and Amount columns consisting of Credit and Debit.
- All transactions are only recorded in one journal only.
- Done every time a transaction occurs.
- For this journal, posting from the journal to the general ledger is carried out immediately after every transaction.
- Recording can be done by one person.
- Used only in service companies and trading companies that are still relatively small, where there are not so many transactions.
- Only has one type.
- The function of this journal is based on the usefulness of the journal.
Special Journal
- Consists of many columns.
- Only used to record transactions of the same type and often occur.
- The form of the journal is adjusted to the columns needed to record similar transactions.
- Transactions that occur must be recorded according to the type in several different types of journals. For example, if the transaction is related to expenses, then it must be recorded in the Cash Spending Journal.
- Done periodically, usually at the end of every month.
- Posting from journals to ledgers is carried out periodically and collectively.
- Recording is done by many people.
- Used by large companies and have similar transactions and occur repeatedly so that requires special recording techniques.
- Has 4 types, namely purchase journal, cash expenditure journal, sales journal, and cash receipt journal.
- Based on the type of journal that has been grouped.
Example Journal Recording
Example of a General Journal
| Date | Information | Ref | Debit | Credit |
| March 1, ’18 | Services revenue | Rp20,000,000 | – | |
| March 2, ’18 | Employee salary | – | 10,000,000 | |
| March 3, ’18 | Monthly shophouse rental | – | 3,000,000 | |
| March 4, ’18 | Pay electricity | – | Rp1,000,000 | |
| March 5, ’18 | Pay for the internet | – | Rp1,000,000 | |
| TOTAL | Rp20,000,000 | IDR 15,000,000 | ||
Examples of Special Journals
Special Journal of Purchase
| Date | Information | Ref | (Purchase)
Debit |
(Accounts payable)
Credit |
| 1 | PT. Peace and prosperous | 20,000,000 | 20,000,000 | |
| 5 | PT. Beautiful Sentosa | 15,000,000 | 15,000,000 | |
| 27 | PT. Prosperous Success | 37.0000,000 | 37.0000,000 | |
| Total | 72,000,000 | 72,000,000 | ||
Also read: Getting to know the various types of journals in accounting
Thus the discussion about the differences between special journals and general journals. When seen again, making special journals and general journals are sometimes found to be difficult. No wonder so many errors were calculated on the results of the report.
Therefore, companies can use technology assistance in the preparation process, namely by using online accounting software . This online accounting software can save time, effort, and costs incurred in the job. Not surprisingly, many companies are now beginning to turn to the use of online accounting software .
One reliable accounting software is Journal. Journal is an online accounting software that can help make every job easier. This convenience can be done in making special journals and general journals. By using journals, you do not need to compile general journals and special journals manually.
You only need to enter all financial transactions, and the Journal will provide the financial statements you need instantly, easily, quickly, safely, and comfortably. Not only general and special journals, journals are also equipped with various financial reports, such as cash flow, profit and loss, balance sheets, changes in capital, stock of goods, company assets, and so on.
