Definition of Ledger, Types and How to Make – In this article, we will discuss the meaning of ledgers, types, and how to make them. This ledger is one of the bookkeeping accounting processes that is very important to do.

The general ledger is also the final entry book in accounting. So, you have to understand correctly about the meaning of the ledger and how to arrange it.

General ledger accounts also often do not represent certain data such as accounts payable, inventory, receivables, and so on. So, what is the definition of a ledger and what is the procedure for making it? Please see full details below:

Definition of Ledger

Definition of Ledger

Explanation about Ledger is a book that provides an approximate summary of the effect of financial transactions due to changes in assets, liabilities and capital in a company.

In another sense, a ledger is also a tool used to record different changes in accounts due to financial transactions.

The size of the estimated general ledger needed by business people is of course different. This is due to the many variables which include the type of activity, company finances and assets, the information needed by the company, and the number of transactions.

Ledger recording activities are also called posting. Explanation of the Ledger is the transfer from the general journal. Thus, posting is done after making a general journal,

In the general ledger, these accounts are divided into real accounts or real accounts and also nominal accounts or nominal accounts. Real accounts are accounts on the balance sheet such as debt, assets, capital and liabilities. Meanwhile, nominal accounts are accounts on the income statement such as expense and income accounts.

From previous research, the function of the ledger can be concluded as follows:

  • Being material and information in preparing financial reports.
  • For the basis of classification of transactions that have been recorded in the journal.
  • As a tool to categorize financial data and be able to find out the amount and condition of accounts or accounts.
  • As a tool to summarize transaction data that has been recorded in a general journal.

Miscellaneous Big Books

Ledgers can also be divided into two types. Please pay attention to the explanation on the following points:

General Ledger

The general ledger is all estimates that stand alone and exist at a certain time such as receivables, cash, accounts payable, and also capital. This book provides an overview of the effect of transactions on changes in assets, company capital, and company liabilities.

Miscellaneous Big Books

Subsidiary Ledger

Sub ledgers are often referred to as supplementary ledgers. This includes accounts that specifically record details of accounts receivable and payable.

There are two types of subsidiary ledgers which include:

Accounts Receivable Subsidiary Book

This book is often referred to as a unique receivables book that records credit subscriptions, where they are located, how many transactions, and to whom the company makes sales transactions on credit.

Accounts Payable Help Ledger

This book is also known as debt book. Which in it specifically details about each provider in detail. This includes keeping track of who the provider is providing the credit loan to and the amount to be paid at once.

Ledger of Creditors or Ledger of Creditors

This type of ledger only collects information from one journal, namely purchases. The purpose of a creditor ledger is to provide information about which suppliers the company owes money and the amounts.

Debtor Ledger or Debtor Ledger

Quite different from the general ledger, the debtor ledger can only collect information from the sales journal. The goal is to be able to offer information about what clients owe the company and how much.

Ledger Type

There are many forms of ledgers that may be generated. Some of them are:

1. T-Shaped Ledger

This form of ledger is the simplest and most commonly used. This type of ledger is used for transaction analysis reasons as well as to describe the process of using accounts.

2. Ledger in the form of a Control

The next form is skronto where the ledger is in the form of two columns. The skronto book is more in the shape of the letter T.

3. Ledger shaped staffel

This ledger has the form of pages and contains a balance sheet. There are two types of staff ledgers, which include the 3-column ledger that has one balance sheet and the 4-column ledger that includes multiple accounts.

Definition of Ledger

How to Post from Journal to Ledger

The steps for transferring data from the general journal to the general ledger are as follows:

  • You must first change the date of the event in the general journal to the date in the general ledger.
  • Second, additional transfers of debit and credit amounts in the debit and credit columns of the general ledger.
  • Next, enter the journal page number in the reference column in the ledger.
  • Finally, transfer brief explanations and descriptions in the general journal to the general ledger.

How to Make a Ledger

To make it easier to create accounting ledgers, you can use Microsoft Excel. Of course, the same as the widely used excel formula. Well, how how to make a ledger? Here are the full steps:

1. Preparation Stage

The process of making a ledger is carried out after completing documenting all transactions in the journal, both purchases, sales, expenses, and other cash receipts.

After that, you can start designing the ledger form. Meanwhile, to calculate and transfer balances from journals, you can use the features and formulas in MS. Superior. The general ledger form consists of dates, posts, debits, credits, balances (debits and credits) (debits and credits).

2. Manufacturing Stage in MS. Excel

The following stage consists of several steps consisting of:

  • At the top appears the name of the account or accounts. You can select it directly in the existing list. To make it possible to use the menu: "Data - Data Validation - Data Validation - Settings" After that on the menu Validation Criteria - Allow - Select list. Then Source – get data from list of accounts. The list of accounts can be made on one sheet with the general ledger or create a separate page by calling COA – Chart of accounts.

Meanwhile, to make a list, it can be based on the account name or account or account code. Please select as you wish.

  • Total account transactions on the debit and credit side and calculate the account balance. In this work, you can use the SUMIF formula. The balance will be determined by calculating the difference between the debit and credit amounts. You just need to adapt to the account type.


Below we have summarized some frequently asked questions about ledgers, as follows:

What Are The Benefits Of Ledgers?

The general ledger includes all financial transactions while the business is running, having a ledger will make it easier for businesses to know their financial conditions in a nutshell without the need to see and assess other financial reports.


In the accounting process, making ledgers is very important. This is because the general ledger or ledger contains different accounts to summarize transactions. The amount of general ledger estimates required by businesses varies due to many variables.

General ledger can also be divided into two types – real account and nominal account. The general ledger is all estimates that stand alone and exist at a certain time such as receivables, cash, accounts payable, and also capital.

There are many different ledger shapes that can be produced including T-shaped, Staffel-shaped and Control-Shaped. The process of making a ledger is carried out after completing documenting all transactions in the journal, both purchases, sales, expenses, and other cash receipts.

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