Negative balance: causes and fixes

A negative balance means money came in without a record: no opening balance, a top-up or a bank withdrawal. Fix it by recording what is missing, not by editing.

Who can do this:

Owner, Store Admin, Manager, Supervisor-Approver, Accountant, Auditor (role defaults; the owner can change them)

A negative balance means the system has seen more money leave the account than come in. A real drawer can't go below zero, so there is almost always money coming in that hasn't been recorded. The system doesn't stop a payment when the balance is too low, but it warns you.

Where you see it

• The account card under Cash/accounts shows the figure in red.

• The Cash balance figure on the overview turns red.

• Store Intelligence shows a Negative balance finding with a Check cash and accounts button, and a notification goes out every morning.

By default these roles see this warning: Owner, Store Admin, Manager, Accountant.

Cause 1: no opening balance yet

The most common cause in a store that has just started. The first cash purchase sends the drawer below zero.

Fix: count the money you actually have and record it as an Opening balance. See Set the opening balance before you start.

Cause 2: the owner topped up without recording it

For example, on a busy buying day the owner puts personal money into the drawer.

Fix: record Capital in for the amount actually added. See Record money in and out outside buying and selling.

Cause 3: money moved between accounts without a record

For example, cash was withdrawn from the bank to pay a seller. The drawer paid out but never received the money.

Fix: record a Transfer between accounts from the bank to the drawer for the amount withdrawn. See Move money between store accounts.

Cause 4: the wrong payment method was chosen

For example, the seller was paid by bank transfer, but Cash was picked when recording, so the drawer went down although the money left the bank.

Fix: void that document and record it again with the right method. See Recorded something wrong or sold at the wrong price?.

How to find the cause

1. Open Cash/accounts and tap the card of the negative account.

2. Look for the largest payments out around the time the balance went negative.

3. Ask the person who recorded them where that money really came from, then use the matching fix above.