{"id":72582,"date":"2026-08-27T12:32:11","date_gmt":"2026-08-27T10:32:11","guid":{"rendered":"https:\/\/www.sage.com\/en-za\/blog\/?p=72582"},"modified":"2026-09-02T14:10:30","modified_gmt":"2026-09-02T12:10:30","slug":"what-are-debits-and-credits","status":"publish","type":"post","link":"https:\/\/www.sage.com\/en-za\/blog\/what-are-debits-and-credits\/","title":{"rendered":"What are debits and credits?"},"content":{"rendered":"<header class=\"entry-header has-dark-background-color entry-header--standard entry-header--has-illustration entry-header--has-illustration--standard\">\n\t<div class=\"container\">\n\t\t<div class=\"entry-header__row row align-center\">\n\t\t\t<div class=\"col col-lg-7 col-xlg-6 entry-header__content\">\n\t\t\t\t\t\t\t<div class=\"component component-single-header\">\n\t\t\t\t\t\t\t\t\t\t<div class=\"entry-header__misc text--subtitle text--uppercase text--small\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-za\/blog\/category\/strategy-legal-operations\/\" class=\"entry-header__link\">Strategy, Legal &amp; Operations<\/a>\t\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t<div class=\"entry-title-wrapper\">\n\t\t\t\t\t<h1 class=\"entry-title\">\n\t\t\t\t\t\tWhat are debits and credits?\t\t\t\t\t<\/h1>\n\t\t\t\t<\/div>\n\n\t\t\t\t\t\t\t\t\t<p class=\"entry-header__description\">\n\t\t\t\t\t\tLearn how debits and credits work in double-entry bookkeeping across the main account types, with worked examples in South African rand.\t\t\t\t\t<\/p>\n\t\t\t\t\n\t\t\t\t\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n\t\t<div class=\"single-post-details container\">\n\t\t<div class=\"col\">\n\t\t\t<span class=\"posted-on \">Published <time class=\"entry-date published\" datetime=\"2026-08-27T12:32:11+02:00\">August 27, 2026<\/time><\/span><span class=\"reading-time\"> min read<\/span>\n\t\t<button\n\t\t\ttype=\"button\"\n\t\t\tclass=\"social-share-button button button--icon button--secondary js-social-share-button\"\n\t\t\tdata-share-title=\"What are debits and credits?\"\n\t\t\tdata-share-url=\"https:\/\/www.sage.com\/en-za\/blog\/what-are-debits-and-credits\/\"\n\t\t\tdata-share-text=\"Please read this interesting article\"\n\t\t>\n\t\t\t<span class=\"social-share-button__share-label\">Share<\/span>\n\t\t\t<span class=\"social-share-button__copy-label\" hidden>Copy Link<\/span>\n\t\t\t<span class=\"social-share-button__copy-tooltip\" aria-hidden=\"true\" hidden>Copied<\/span>\n\t\t<\/button>\n\n\t\t\t\t<\/div>\n\t<\/div>\n\t<\/header>\n\n\n\n<div class=\"wp-block-post-author has-dark-background-color alignfull\">\n\t<div class=\"container\">\n\t\t<div class=\"col\">\n\t\t\t\t\t\t\t<div class=\"co-authors\">\n\t\t\t\t\t\n\t\t<div class=\"entry-author-wrapper\">\n\t\t\t<a class=\"entry-author\" href=\"https:\/\/www.sage.com\/en-za\/blog\/author\/asavinwattanajantra\/\">\n\t\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"40\" height=\"40\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2026\/03\/Asavin-350x350.jpg\" class=\"entry-author__image\" alt=\"Asavin\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2026\/03\/Asavin-350x350.jpg 350w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2026\/03\/Asavin-768x768.jpg 768w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2026\/03\/Asavin-810x810.jpg 810w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2026\/03\/Asavin.jpg 1000w\" sizes=\"auto, (max-width: 40px) 100vw, 40px\" \/>\t\t\t\t<span class=\"entry-author__name\">Asavin Wattanajantra<\/span>\n\t\t\t<\/a>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t<\/div>\n<\/div>\n\n\n\n<p class=\"wp-block-paragraph\">Debits and credits are the two sides of every transaction in <a href=\"https:\/\/www.sage.com\/en-za\/blog\/guide-to-bookkeeping-and-general-ledgers\" target=\"_blank\" rel=\"noreferrer noopener\">double-entry bookkeeping<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A debit records an entry on the left of an account, while a credit records an entry on the right.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The effect depends on the account type: debits increase assets and expenses, while credits increase liabilities, equity, and revenue.<\/p>\n\n\n\n<section class=\"wp-block-sage-container is-constrained\"><div class=\"sage-container__inner\">\n<h3 id=\"h-key-takeaways\" class=\"wp-block-heading\">Key takeaways<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Every transaction affects at least two accounts<\/strong>, and total debits must equal total credits.<\/li>\n\n\n\n<li><strong>Debits increase assets and expenses, <\/strong>but decrease liabilities, equity, and revenue.<\/li>\n\n\n\n<li><strong>Credits increase liabilities, equity, and revenue,<\/strong> but decrease assets and expenses.<\/li>\n\n\n\n<li><strong>The debit and credit rules keep the accounting equation balanced<\/strong>: assets = liabilities + equity.<\/li>\n\n\n\n<li><strong>South African companies generally report under International Financial Reporting Standards (IFRS) or IFRS for Small and Medium-sized Entities (SMEs).<\/strong> Check which framework applies to your business.<\/li>\n<\/ul>\n<\/div><\/section>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Here&#8217;s what we&#8217;ll cover:<\/strong><\/p>\n\n\n<?xml encoding=\"utf-8\" ?><div class=\"wp-block-yoast-seo-table-of-contents yoast-table-of-contents\"><ul><li><a href=\"#h-what-are-debits-and-credits\" data-level=\"2\">What are debits and credits?<\/a><\/li><li><a href=\"#h-what-do-debit-and-credit-mean\" data-level=\"2\">What do debit and credit mean?<\/a><\/li><li><a href=\"#h-how-does-double-entry-bookkeeping-work\" data-level=\"2\">How does double-entry bookkeeping work?<\/a><\/li><li><a href=\"#h-how-do-debits-and-credits-affect-each-account-type\" data-level=\"2\">How do debits and credits affect each account type?<\/a><\/li><li><a href=\"#h-what-are-examples-of-debits-and-credits\" data-level=\"2\">What are examples of debits and credits?<\/a><\/li><li><a href=\"#h-are-balance-sheet-accounts-debits-or-credits\" data-level=\"2\">Are balance sheet accounts debits or credits?<\/a><\/li><li><a href=\"#h-how-do-debits-and-credits-apply-to-income-statement-accounts\" data-level=\"2\">How do debits and credits apply to income statement accounts?<\/a><\/li><li><a href=\"#h-what-is-a-contra-account\" data-level=\"2\">What is a contra account?<\/a><\/li><li><a href=\"#h-how-can-accounting-software-help-manage-debits-and-credits\" data-level=\"2\">How can accounting software help manage debits and credits?<\/a><\/li><li><a href=\"#h-what-are-common-debit-and-credit-mistakes\" data-level=\"2\">What are common debit and credit mistakes?<\/a><\/li><li><a href=\"#h-build-a-stronger-foundation-in-debits-and-credits\" data-level=\"2\">Build a stronger foundation in debits and credits<\/a><\/li><li><a href=\"#h-frequently-asked-questions-about-debits-and-credits\" data-level=\"2\">Frequently asked questions about debits and credits<\/a><\/li><\/ul><\/div>\n\n\n\n<h2 id=\"h-what-are-debits-and-credits\" class=\"wp-block-heading\">What are debits and credits?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">In accounting, debits and credits record how a transaction changes your accounts. They do not automatically mean money coming in or going out, and they are not inherently positive or negative.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>A debit increases an asset or expense account and decreases a liability, equity, or revenue account.<\/li>\n\n\n\n<li>A credit increases a liability, equity, or revenue account and decreases an asset or expense account.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Understanding these movements helps you read your <a href=\"https:\/\/www.sage.com\/en-za\/blog\/balance-sheet-reconciliation\/\" target=\"_blank\" rel=\"noreferrer noopener\">financial statements<\/a>, maintain accurate records, and make informed decisions.<\/p>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner on-scroll-highlight__target\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Small business survival toolkit<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Get practical advice to help your business thrive.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-80195606-5387-4569-bfaf-b6a518449b24\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download your free guide<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg\" class=\"single-cta__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 id=\"h-what-do-debit-and-credit-mean\" class=\"wp-block-heading\">What do debit and credit mean?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">A debit (Dr) is an entry on the left side of an account ledger.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It increases assets, such as cash, and expenses, such as rent.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It decreases liabilities, equity, and revenue.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A credit (Cr) is an entry on the right side of an account ledger.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">It increases liabilities, equity, and revenue. It decreases assets and expenses.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For every transaction, total debits must equal total credits.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This keeps the accounting equation balanced:<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Assets = liabilities + equity<\/strong><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The equation shows that everything a business owns is funded either by borrowing or by the owners\u2019 interest in the business.<\/p>\n\n\n\n<h2 id=\"h-how-does-double-entry-bookkeeping-work\" class=\"wp-block-heading\">How does double-entry bookkeeping work?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.sage.com\/en-za\/blog\/guide-to-bookkeeping-and-general-ledgers\" target=\"_blank\" rel=\"noreferrer noopener\">Double-entry bookkeeping<\/a> records every transaction in at least two accounts.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">One or more accounts are debited, and one or more accounts are credited.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The total value on each side must match.<\/p>\n\n\n\n<h3 id=\"h-why-does-double-entry-bookkeeping-matter\" class=\"wp-block-heading\">Why does double-entry bookkeeping matter?<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>It helps identify recording errors because unequal debits and credits do not balance.<\/li>\n\n\n\n<li>It shows where value came from and where it went.<\/li>\n\n\n\n<li>It supports audits, financial statement preparation, and reporting under the accounting framework that applies to the business.<\/li>\n\n\n\n<li>It creates a detailed record that can support analysis of <a href=\"https:\/\/www.sage.com\/en-za\/blog\/cash-flow-statement-explained\" target=\"_blank\" rel=\"noreferrer noopener\">cash flow<\/a>, expenses, and financial position.<\/li>\n<\/ul>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner on-scroll-highlight__target\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Small business survival toolkit<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Get practical advice to help your business thrive.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-80195606-5387-4569-bfaf-b6a518449b24\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download your free guide<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg\" class=\"single-cta__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 id=\"h-how-do-debits-and-credits-affect-each-account-type\" class=\"wp-block-heading\">How do debits and credits affect each account type?<\/h2>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><tbody><tr><td><strong>Account type<\/strong><\/td><td><strong>A debit<\/strong><\/td><td><strong>A credit<\/strong><\/td><\/tr><tr><td>Assets<\/td><td>Increases the account<\/td><td>Decreases the account<\/td><\/tr><tr><td>Liabilities<\/td><td>Decreases the account<\/td><td>Increases the account<\/td><\/tr><tr><td>Equity<\/td><td>Decreases the account<\/td><td>Increases the account<\/td><\/tr><tr><td>Revenue<\/td><td>Decreases the account<\/td><td>Increases the account<\/td><\/tr><tr><td>Expenses<\/td><td>Increases the account<\/td><td>Decreases the account<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<h3 id=\"h-assets\" class=\"wp-block-heading\">Assets<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Assets are resources your business controls, such as cash or inventory.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A debit increases an asset, while a credit decreases it.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Example: <\/strong>When a business receives R5,000 in cash from a sale, it debits cash and credits sales revenue.<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-liabilities\" class=\"wp-block-heading\">Liabilities<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Liabilities are amounts your business owes, such as loans or <a href=\"https:\/\/www.sage.com\/en-za\/blog\/what-is-accounts-payable\" target=\"_blank\" rel=\"noreferrer noopener\">accounts payable<\/a>.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A credit increases a liability, while a debit decreases it.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Example: <\/strong>When a business buys R10,000 of inventory on credit, it debits inventory and credits accounts payable.<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-equity\" class=\"wp-block-heading\">Equity<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Equity is the owners\u2019 interest in the assets of a business after liabilities.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A credit increases equity, while a debit decreases it.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Example: <\/strong>When a business closes R50,000 in profit to retained earnings, it debits income summary and credits retained earnings.<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-revenue\" class=\"wp-block-heading\">Revenue<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Revenue is income earned from business activities, such as sales or services.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A credit increases revenue, while a debit decreases it.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Example: <\/strong>When a business makes a R2,000 cash sale, it debits cash and credits sales revenue.<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-expenses\" class=\"wp-block-heading\">Expenses<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">Expenses are costs incurred in earning revenue, such as rent or salaries.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">A debit increases an expense, while a credit decreases it.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Example: <\/strong>When a business pays R3,000 in rent, it debits rent expense and credits cash.<\/li>\n<\/ul>\n\n\n\n<h2 id=\"h-what-are-examples-of-debits-and-credits\" class=\"wp-block-heading\">What are examples of debits and credits?<\/h2>\n\n\n\n<h3 id=\"h-example-1-receiving-an-allowance-and-buying-a-toy\" class=\"wp-block-heading\">Example 1: Receiving an allowance and buying a toy<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">A child receives R10 as a non-repayable allowance.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This increases cash and the child\u2019s net worth.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Piggy bank, an asset, R10<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Allowance income, R10<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">The child then spends R5 on a toy.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Cash decreases, and the toy becomes a new asset.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Toy, an asset, R5<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Piggy bank, an asset, R5<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-example-2-making-a-cash-sale\" class=\"wp-block-heading\">Example 2: Making a cash sale<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">A business sells goods for R2,000 in cash.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Cash increases, and the sale increases revenue.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Cash, R2,000<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Sales revenue, R2,000<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-example-3-providing-services-on-credit\" class=\"wp-block-heading\">Example 3: Providing services on credit<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">A business provides R500 of consulting services and will be paid later.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Accounts receivable increases, and the service increases revenue.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Accounts receivable, R500<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Service revenue, R500<\/li>\n<\/ul>\n\n\n\n<h3 id=\"h-example-4-selling-an-annual-software-subscription\" class=\"wp-block-heading\">Example 4: Selling an annual software subscription<\/h3>\n\n\n\n<p class=\"wp-block-paragraph\">A software as a service business receives R1,200 upfront for a 12-month subscription.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Because the service is still owed, the amount is first recorded as unearned revenue, a liability.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Cash, R1,200<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Unearned revenue, R1,200<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">As the business delivers one month of service, it recognises R100 of revenue and reduces the liability.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">This follows <a href=\"https:\/\/www.sage.com\/en-za\/blog\/accrual-basis-accounting\" target=\"_blank\" rel=\"noreferrer noopener\">accrual basis accounting<\/a> principles.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Unearned revenue, R100<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Service revenue, R100<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">This continues each month until the full R1,200 has been recognised as revenue.<\/p>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner on-scroll-highlight__target\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Small business survival toolkit<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Get practical advice to help your business thrive.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-80195606-5387-4569-bfaf-b6a518449b24\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download your free guide<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg\" class=\"single-cta__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 id=\"h-are-balance-sheet-accounts-debits-or-credits\" class=\"wp-block-heading\">Are balance sheet accounts debits or credits?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Balance sheet accounts can contain both debit and credit entries.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Their normal balance depends on the account type.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Assets normally carry a debit balance, while liabilities and equity normally carry a credit balance.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Buying R10,000 of equipment for cash debits equipment and credits cash. Both are asset accounts, so the total value of assets does not change.<\/li>\n\n\n\n<li>Buying R5,000 of inventory on credit debits inventory and credits <a href=\"https:\/\/www.sage.com\/en-za\/blog\/accounts-payable-journal-entry\" target=\"_blank\" rel=\"noreferrer noopener\">accounts payable<\/a>. Assets and liabilities both increase by R5,000.<\/li>\n\n\n\n<li>Closing R20,000 of net profit to retained earnings debits income summary and credits retained earnings.&nbsp;<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.sage.com\/en-za\/blog\/balance-sheet-reconciliation\" target=\"_blank\" rel=\"noreferrer noopener\">Balance sheet reconciliation<\/a> helps ensure these accounts remain accurate over time.<\/p>\n\n\n\n<h2 id=\"h-how-do-debits-and-credits-apply-to-income-statement-accounts\" class=\"wp-block-heading\">How do debits and credits apply to income statement accounts?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Income statement accounts mainly record revenue and expenses.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Revenue increases with a credit, while expenses increase with a debit.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">For example, when a business pays R1,000 cash for warehouse rent, it debits rent expense and credits cash.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The cash asset decreases by R1,000, and the expense reduces equity through profit.<\/p>\n\n\n\n<h2 id=\"h-what-is-a-contra-account\" class=\"wp-block-heading\">What is a contra account?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">A contra account reduces the balance of a related account without directly changing the original account.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Accumulated depreciation is a contra asset account that reduces the book value of an asset over time.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Debit: <\/strong>Depreciation expense<\/li>\n\n\n\n<li><strong>Credit: <\/strong>Accumulated depreciation<\/li>\n<\/ul>\n\n\n\n<h2 id=\"h-how-can-accounting-software-help-manage-debits-and-credits\" class=\"wp-block-heading\">How can accounting software help manage debits and credits?<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Double-entry bookkeeping remains the basis of accurate accounting records.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.sage.com\/en-za\/sage-business-cloud\/accounting\" target=\"_blank\" rel=\"noreferrer noopener\">Accounting software<\/a> can automate parts of the recording process, reduce repetitive manual work, and help keep records current.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">You still need suitable controls and review processes to confirm that transactions are classified correctly.<\/p>\n\n\n\n<div class=\"single-cta gated-content\">\n\t<div class=\"single-cta__positioner on-scroll-highlight__target\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Small business survival toolkit<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Get practical advice to help your business thrive.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-80195606-5387-4569-bfaf-b6a518449b24\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Download your free guide<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg\" class=\"single-cta__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1305268048-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n\n<h2 id=\"h-what-are-common-debit-and-credit-mistakes\" class=\"wp-block-heading\">What are common debit and credit mistakes?<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Treating every debit as money leaving the business or every credit as money arriving.<\/li>\n\n\n\n<li>Recording only one side of a transaction.<\/li>\n\n\n\n<li>Using the right amount but the wrong account type.<\/li>\n\n\n\n<li>Entering the debit and credit on the wrong sides.<\/li>\n\n\n\n<li>Failing to review the <a href=\"https:\/\/www.sage.com\/en-za\/blog\/what-is-a-trial-balance\" target=\"_blank\" rel=\"noreferrer noopener\">trial balance<\/a> when totals do not match.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Avoiding these errors is essential, especially for new businesses. <\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Review common <a href=\"https:\/\/www.sage.com\/en-za\/blog\/10-accounting-mistakes-for-start-ups-to-avoid\" target=\"_blank\" rel=\"noreferrer noopener\">accounting mistakes for start-ups to avoid<\/a> to strengthen your financial processes.<\/p>\n\n\n\n<h2 id=\"h-build-a-stronger-foundation-in-debits-and-credits\" class=\"wp-block-heading\">Build a stronger foundation in debits and credits<\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Understanding debits and credits helps you keep accurate records, read financial statements, and identify errors.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Start by identifying the account types affected by each transaction, then check that total debits equal total credits.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">As transaction volumes grow, accounting software can help automate routine entries and reporting.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Explore <a href=\"https:\/\/www.sage.com\/en-za\/sage-business-cloud\/intacct\/\" target=\"_blank\" rel=\"noreferrer noopener\">Sage Intacct<\/a> to learn how finance teams can manage accounting processes at scale.<\/p>\n\n\n<section class=\"wp-block-sage-faq\">\n\t\n<h2 id=\"h-frequently-asked-questions-about-debits-and-credits\" class=\"wp-block-heading\">Frequently asked questions about debits and credits<\/h2>\n\t\t\t<div class=\"faq-items\">\n\t\t\t<div class=\"wp-block-sage-faq-item\" id=\"faq-item-8ed55390\">\n\t<div class=\"faq-item-question\">\n\t\t\n<h3 id=\"h-what-is-the-easiest-way-to-remember-debits-and-credits\" class=\"wp-block-heading\"><strong>What is the easiest way to remember debits and credits?<\/strong><\/h3>\n\t<\/div>\n\t\t\t<div class=\"faq-item-answer\">\n\t\t\t\n<p class=\"wp-block-paragraph\">Remember that debits increase assets and expenses, while credits increase liabilities, equity, and revenue.<\/p>\n\n<p class=\"wp-block-paragraph\">Credits do the opposite effect for assets and expenses, and debits do the opposite effect for liabilities, equity, and revenue.<\/p>\n\t\t<\/div>\n\t<\/div>\n<div class=\"wp-block-sage-faq-item\" id=\"faq-item-69c8f838\">\n\t<div class=\"faq-item-question\">\n\t\t\n<h3 id=\"h-do-debits-always-mean-money-is-leaving-my-business\" class=\"wp-block-heading\"><strong>Do debits always mean money is leaving my business?<\/strong><\/h3>\n\t<\/div>\n\t\t\t<div class=\"faq-item-answer\">\n\t\t\t\n<p class=\"wp-block-paragraph\">No.<\/p>\n\n<p class=\"wp-block-paragraph\">A debit describes how an account changes.<\/p>\n\n<p class=\"wp-block-paragraph\">For example, when a customer pays you, debiting cash increases your cash asset.<\/p>\n\t\t<\/div>\n\t<\/div>\n<div class=\"wp-block-sage-faq-item\" id=\"faq-item-4211f998\">\n\t<div class=\"faq-item-question\">\n\t\t\n<h3 id=\"h-what-accounting-standards-do-south-african-businesses-follow\" class=\"wp-block-heading\"><strong>What accounting standards do South African businesses follow?<\/strong><\/h3>\n\t<\/div>\n\t\t\t<div class=\"faq-item-answer\">\n\t\t\t\n<p class=\"wp-block-paragraph\">South African companies generally report under IFRS or IFRS for SMEs.<\/p>\n\n<p class=\"wp-block-paragraph\">Confirm with your accountant which framework applies to your business.<\/p>\n\t\t<\/div>\n\t<\/div>\n<div class=\"wp-block-sage-faq-item\" id=\"faq-item-0d06f5dd\">\n\t<div class=\"faq-item-question\">\n\t\t\n<h3 id=\"h-what-happens-if-debits-and-credits-do-not-balance\" class=\"wp-block-heading\"><strong>What happens if debits and credits do not balance?<\/strong><\/h3>\n\t<\/div>\n\t\t\t<div class=\"faq-item-answer\">\n\t\t\t\n<p class=\"wp-block-paragraph\">An imbalance signals a recording error.<\/p>\n\n<p class=\"wp-block-paragraph\">A transaction may be missing an entry, use the wrong amount, or appear on the wrong side.<\/p>\n\n<p class=\"wp-block-paragraph\">Review the trial balance and the underlying transactions.<\/p>\n\t\t<\/div>\n\t<\/div>\n<div class=\"wp-block-sage-faq-item\" id=\"faq-item-085ca377\">\n\t<div class=\"faq-item-question\">\n\t\t\n<h3 id=\"h-can-an-account-have-both-debit-and-credit-entries\" class=\"wp-block-heading\"><strong>Can an account have both debit and credit entries?<\/strong><\/h3>\n\t<\/div>\n\t\t\t<div class=\"faq-item-answer\">\n\t\t\t\n<p class=\"wp-block-paragraph\">Yes.<\/p>\n\n<p class=\"wp-block-paragraph\">Most accounts have entries on both sides over time.<\/p>\n\n<p class=\"wp-block-paragraph\">The difference between the two sides determines the ending balance.<\/p>\n\t\t<\/div>\n\t<\/div>\n<div class=\"wp-block-sage-faq-item\" id=\"faq-item-bda30249\">\n\t<div class=\"faq-item-question\">\n\t\t\n<h3 id=\"h-is-a-credit-always-good-news-for-a-business\" class=\"wp-block-heading\"><strong>Is a credit always good news for a business?<\/strong><\/h3>\n\t<\/div>\n\t\t\t<div class=\"faq-item-answer\">\n\t\t\t\n<p class=\"wp-block-paragraph\">No.<\/p>\n\n<p class=\"wp-block-paragraph\">A credit can increase revenue, but it can also increase a liability.<\/p>\n\n<p class=\"wp-block-paragraph\">A credit to a loan account means the business owes more.<\/p>\n\t\t<\/div>\n\t<\/div>\n\t\t<\/div>\n\t<\/section>\n\n\n\n<p class=\"wp-block-paragraph\"><em>Editor&#8217;s note: This article was originally published in November 2024 and has been updated for relevance.<\/em><\/p>\n\n\n\n<div class=\"single-cta\">\n\t<div class=\"single-cta__positioner on-scroll-highlight__target\">\n\t\t<div class=\"single-cta__wrapper has-dark-background-color\">\n\t\t\t<div class=\"single-cta__content\">\n\t\t\t\t\t\t\t\t<h2 class=\"single-cta__title h3\">Subscribe to the Sage Advice enewsletter<\/h2>\n\n\t\t\t\t\t\t\t\t\t<div class=\"single-cta__description\">\n\t\t\t\t\t\t<p>Get a roundup of our best business advice in your inbox every month.<\/p>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t<a\n\t\t\t\t\t\thref=\"#gate-84fe79b5-668d-41f8-a0cc-6229018c4ac9\"\n\t\t\t\t\t\tclass=\"single-cta__button button button--primary\"\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t>Subscribe<\/a>\n\t\t\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<\/div>\n\n\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1181404518-1440x810.jpg\" class=\"single-cta__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-1181404518-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 33vw, 100vw\" \/>\t\t\t<\/div>\n<\/div>\n\n\n<section class=\"more-topics alignfull has-grey-light-background-color wp-block-sage-post-topics\">\n\t<div class=\"container\">\n\t\t<div class=\"row\">\n\t\t\t<div class=\"col col-12 col-lg-4\">\n\t\t\t\t<h3 class=\"more-topics__title h2\">Browse more topics from this article<\/h3>\n\t\t\t<\/div>\n\t\t\t<div class=\"col col-12 col-lg-8\">\n\t\t\t\t<ul class=\"post-tags__list\">\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-za\/blog\/tag\/accountants\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tAccounting 101\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t\t\t<li class=\"post-tags__item\">\n\t\t\t\t\t\t\t<a href=\"https:\/\/www.sage.com\/en-za\/blog\/tag\/financial-insights\/\" class=\"post-tags__link button button--secondary\">\n\t\t\t\t\t\t\t\tfinancial insights\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t\t<\/li>\n\t\t\t\t\t\t\t\t\t<\/ul>\n\t\t\t<\/div>\n\t\t<\/div>\n\t<\/div>\n<\/section>\n\n\n<div class=\"alignfull wp-block-sage-related-posts\">\n\t<section class=\"related-posts card-grid has-dark-background-color\">\n\t<div class=\"container\">\n\t\t\t\t\t<div class=\"row\">\n\t\t\t\t<div class=\"col\">\n\t\t\t\t\t<h2 class=\"related-posts__heading related-posts__heading--featured h1\">Explore more wisdom<\/h2>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\n\t\t\t<div class=\"row related-posts__featured\">\n\t\t\t\t<div class=\"col card-grid__item\">\n\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-0 post-72952 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-strategy-legal-operations tag-business-intelligence tag-electronic-payments tag-financial-insights tag-international-payments tag-making-financial-decisions tag-payment-processing tag-profit-loss tag-revenue business_type-small-business card-post--is-clickable\"\n>\n\t<div class=\"card-post__media-wrapper\">\n\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"1440\" height=\"810\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-962338720-1440x810.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-962338720-684x384.jpg 684w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-962338720-768x432.jpg 768w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2022\/04\/GettyImages-962338720-1440x810.jpg 1440w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\t<\/div>\n\n\t<div class=\"card-post__content\">\n\t\t\t\t\t<div class=\"card-post__label\">Recommended<\/div>\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-09-03T12:19:47+02:00\">September 3, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">1 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h3\">\n\t\t\t\t\t\t\t<a\n\t\t\t\t\tclass=\"card-post__title-link\"\n\t\t\t\t\thref=\"https:\/\/www.sage.com\/en-za\/blog\/how-to-write-an-invoice\/\"\n\t\t\t\t>\n\t\t\t\n\t\t\tHow to write an invoice and what to include\n\t\t\t\t\t\t\t<\/a>\n\t\t\t\t\t<\/p>\n\n\t\t\n\t\t\t\t\t<p class=\"card-post__description\">\n\t\t\t\tLearn how to create invoices to get paid on time with our invoice cheat sheet. Discover what to include, invoice types, common payment terms, and tips to avoid overdue invoices.\t\t\t<\/p>\n\t\t\n\t\t\t<\/div>\n\n\t<\/article>\n\t\t\t\t<\/div>\n\t\t\t<\/div>\n\t\t\n\t\t\t\t\t<div class=\"row related-posts__non-featured\">\n\t\t\t\t<div class=\"col col-12\">\n\t\t\t\t\t<h2 class=\"related-posts__heading related-posts__heading--more h4\">More on this Topic<\/h2>\n\t\t\t\t<\/div>\n\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-1 post-72451 post type-post status-publish format-standard has-post-thumbnail hentry category-strategy-legal-operations category-trends-insights tag-business-intelligence tag-business-management tag-financial-insights tag-making-financial-decisions tag-profit-loss tag-staying-competitive tag-trending-topics business_type-small-business business_type-medium-business\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-za\/blog\/what-is-depreciation\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2023\/09\/GettyImages-1177851223-684x384.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2023\/09\/GettyImages-1177851223-684x384.jpg 684w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2023\/09\/GettyImages-1177851223-768x512.jpg 768w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2023\/09\/GettyImages-1177851223-1215x810.jpg 1215w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-09-02T13:44:45+02:00\">September 2, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">9 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tA guide to understanding depreciation\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-2 post-74360 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-strategy-legal-operations tag-accountants tag-business-intelligence tag-profit-loss tag-staying-competitive tag-trending-topics business_type-small-business business_type-medium-business business_type-accountants\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-za\/blog\/what-is-markup-percentage\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/08\/Mar2025_Construction-Commerical_0777-684x384.jpeg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/08\/Mar2025_Construction-Commerical_0777-684x384.jpeg 684w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/08\/Mar2025_Construction-Commerical_0777-768x512.jpeg 768w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2025\/08\/Mar2025_Construction-Commerical_0777-1214x810.jpeg 1214w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-06-25T12:53:32+02:00\">June 25, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">12 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tMarkup calculator: how to calculate markup\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-3 post-76358 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-strategy-legal-operations tag-accountants tag-audit tag-bookkeeping tag-business-intelligence tag-profit-loss business_type-small-business business_type-medium-business business_type-accountants\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-za\/blog\/accounts-payable-reports-guide\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/07\/resize-1675x1275-38-684x384.jpg\" class=\"card-post__image\" alt=\"Two businesswomen looking at report on tablet\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/07\/resize-1675x1275-38-684x384.jpg 684w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/07\/resize-1675x1275-38-768x585.jpg 768w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/07\/resize-1675x1275-38-1064x810.jpg 1064w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-06-04T12:39:10+02:00\">June 4, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">10 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tThe ultimate guide to accounts payable reports and reporting\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\n\t\t\t\t\t<div class=\"col col-6 col-lg-3 card-grid__item\">\n\t\t\t\t\t\t<article\n\t\tclass=\"card-post related-post related-post-4 post-76331 post type-post status-publish format-standard has-post-thumbnail hentry category-money-matters category-trends-insights tag-accountants tag-audit tag-bookkeeping tag-business-intelligence tag-business-management tag-profit-loss tag-staying-competitive tag-tax business_type-small-business business_type-medium-business business_type-accountants\"\n>\n\t\t\t<a\n\t\t\tclass=\"card-post__link\"\n\t\t\thref=\"https:\/\/www.sage.com\/en-za\/blog\/accounts-payable-process\/\"\n\t\t\t\t\t>\n\t\t\t<figure class=\"card-post__media\">\n\t\t\t\t\t\t\t<img decoding=\"async\" width=\"684\" height=\"384\" src=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/04\/GettyImages-175138802_super-684x384.jpg\" class=\"card-post__image\" alt=\"\" loading=\"lazy\" srcset=\"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/04\/GettyImages-175138802_super-684x384.jpg 684w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/04\/GettyImages-175138802_super-768x585.jpg 768w, https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2019\/04\/GettyImages-175138802_super-1064x810.jpg 1064w\" sizes=\"auto, (min-width: 48em) 250px, (min-width: 30em) 100vw, 100vw\" \/>\t\t\t\n\t\t\t\n\t\t\t\t\t<\/figure>\n\n\t\t\n\t\t\t\t\t<div class=\"card-post__meta\">\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"posted-on \"><time class=\"entry-date published\" datetime=\"2026-06-04T11:51:14+02:00\">June 4, 2026<\/time><\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<span class=\"card-post__meta-text\"><span class=\"reading-time\">8 min read<\/span><\/span>\n\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t\t<\/div>\n\t\t\n\t\t<p class=\"card-post__title h5\">\n\t\t\tWhat is the accounts payable process? Steps, workflow and how to improve it\t\t<\/p>\n\n\t\t\t<\/a>\n\t\n\t\n\t\t\n\t\n\t<\/article>\n\t\t\t\t\t<\/div>\n\t\t\t\t\t\t\t<\/div>\n\t\t\t<\/div>\n<\/section>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Learn how debits and credits work in double-entry bookkeeping across the main account types, with worked examples in South African rand.<\/p>\n","protected":false},"author":356,"featured_media":71204,"menu_order":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_yoast_wpseo_is_cornerstone":"","_yoast_wpseo_meta-robots-noindex":"","_yoast_wpseo_meta-robots-nofollow":"","_yoast_wpseo_opengraph-title":"","_yoast_wpseo_opengraph-description":"","_yoast_wpseo_opengraph-image":"","_yoast_wpseo_opengraph-image-id":"","_yoast_wpseo_twitter-title":"","_yoast_wpseo_twitter-description":"","_yoast_wpseo_twitter-image":"","_yoast_wpseo_twitter-image-id":"","_yoast_wpseo_schema_page_type":"","_yoast_wpseo_schema_article_type":"","_sage_video":false,"_yoast_wpseo_focuskeywords":"[]","_yoast_wpseo_keywordsynonyms":"[\"\"]","_yoast_wpseo_primary_category":"27","post_featured_image_hide":false,"sage_hide_published_date":false,"sage_hide_read_time":false,"sage_hide_share_buttons":false,"_pwl_sage_podcast_buzzsprout_src":"","footnotes":""},"categories":[27],"tags":[294,189],"business_type":[],"lilypad":[],"context":[],"industry":[],"persona":[6,15,16],"imagine_tag":[52,374],"coauthors":[402],"class_list":["post-72582","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-strategy-legal-operations","tag-accountants","tag-financial-insights"],"sage_meta":{"region":"en-za","author_name":"Asavin Wattanajantra","featured_image":"https:\/\/www.sage.com\/en-za\/blog\/wp-content\/uploads\/sites\/9\/2023\/09\/GettyImages-1473163791.jpg","imagine_tags":{"52":"Accounting software","374":"Reporting"}},"distributor_meta":false,"distributor_terms":false,"distributor_media":false,"distributor_original_site_name":"Sage Advice South Africa","distributor_original_site_url":"https:\/\/www.sage.com\/en-za\/blog","push-errors":false,"_links":{"self":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts\/72582","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/users\/356"}],"replies":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/comments?post=72582"}],"version-history":[{"count":5,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts\/72582\/revisions"}],"predecessor-version":[{"id":76615,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/posts\/72582\/revisions\/76615"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/media\/71204"}],"wp:attachment":[{"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/media?parent=72582"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/categories?post=72582"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/tags?post=72582"},{"taxonomy":"business_type","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/business_type?post=72582"},{"taxonomy":"lilypad","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/lilypad?post=72582"},{"taxonomy":"context","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/context?post=72582"},{"taxonomy":"industry","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/industry?post=72582"},{"taxonomy":"persona","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/persona?post=72582"},{"taxonomy":"imagine_tag","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/imagine_tag?post=72582"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.sage.com\/en-za\/blog\/api\/wp\/v2\/coauthors?post=72582"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}