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Accounts and Transactions

Day-to-day financial activities and documents that form the foundation of your accounting records.

Invoice​

A document sent to a customer requesting payment for goods or services provided. An invoice includes details like invoice number, date, itemized charges, payment terms, and total amount due.

Key Elements:

  • Invoice number (for tracking)
  • Customer information
  • Itemized products/services
  • Quantities and prices
  • Payment terms
  • Due date
  • Total amount

Receipt​

A document acknowledging that payment has been received. Receipts provide proof of purchase for customers and proof of income for your business. In Fiskl, receipts can also refer to expense receipts documenting purchases made.

Line Item​

An individual entry on an invoice, purchase order, or financial document representing a single product, service, or charge. Each line item typically includes a description, quantity, unit price, and total.

Example Line Item:

  • Description: Website Design Services
  • Quantity: 10 hours
  • Rate: $100/hour
  • Total: $1,000

Client​

A customer or business that purchases your goods or services. In Fiskl, clients are the entities to whom you send invoices and from whom you receive payments.

Vendor​

A supplier or business from whom you purchase goods or services. Vendors send you invoices, and you record payments to them as expenses.

Multi-Currency​

The ability to conduct business and record transactions in multiple currencies. Fiskl's multi-currency feature allows you to invoice clients, pay vendors, and maintain accounts in different currencies while tracking exchange rate fluctuations.

Benefits:

  • Invoice international clients in their currency
  • Track foreign bank accounts accurately
  • Automatically handle currency conversions
  • Monitor exchange rate gains/losses

Base Currency​

Your primary reporting currency—the currency in which your financial statements are prepared. All transactions in other currencies are converted to your base currency for reporting purposes.

Example: If your base currency is USD, a €1,000 invoice would be recorded in euros but converted to dollars for financial reports.

Income Tax (Business)​

Tax paid on business profits. The calculation and timing of income tax depends on your business structure, location, and accounting method. Proper tracking of income and expenses is essential for accurate tax reporting.

Data Validation​

The process of checking data for accuracy, completeness, and consistency before it enters your accounting system. Validation helps prevent errors and ensures reliable financial information.

Examples:

  • Ensuring invoice amounts match line item totals
  • Verifying bank transaction dates are within the accounting period
  • Checking that account codes exist in your chart of accounts