Set up inventory posting

Group your stock items and choose the inventory account for each location, so goods received, stock updates and stock sold post to the right stock account.

For finance and inventory administratorsUpdated 4 Nov 2026

Before you start

In this article
  1. Steps
  2. Where the account is used
  3. If something goes wrong

Two screens decide which inventory (stock) account a stock movement posts to:

  • Inventory Posting Groups sort your stock items, for example RESALE and RAW-MATERIALS. Each stock item has one.
  • Inventory Posting Setup gives each location × inventory posting group its inventory account.

These are used when your company takes its accounts from posting groups. Until you switch over, every stock movement uses the single Inventory account in default accounts. Not sure which your company uses? See how invoices get their accounts.

Steps

  1. Open Settings › Posting Settings › Inventory Posting Groups

    In the menu on the left, select Settings, then Posting Settings, then Inventory Posting Groups. A General group is usually there already.

    1. The Inventory Posting Groups tab. The other posting screens are on the same tab row.
    2. New Inventory Posting Group.
    3. An existing group. Its actions menu (···) lets you edit or deactivate it.
  2. Add a group

    Select New Inventory Posting Group.

    1. Posting Code: for example RESALE. Use capital letters, numbers, hyphens and underscores only, up to 20 characters.
    2. Description: up to 100 characters.
    3. Active: leave it ticked.
    4. Create Posting Group.
  3. Give each location and group an inventory account

    Open the Inventory Posting Setup tab and select New Posting Setup.

    1. Location. Choose All locations to cover any location that has no row of its own.
    2. Inventory Posting Group.
    3. Inventory Account: the stock account. Required.
    4. Inventory Interim Account and Adjustment Account: optional.
    5. Create Posting Setup.

    Add one row for each combination you use. If every location uses the same account, one All locations row per group is enough.

  4. Give the group to your items

    On each stock item, choose the Inventory Posting Group under Posting Groups. See add products and services. The Posting Groups Switch-over screen lists stock items that don't have one yet, and lets you set them there.

Where the account is used

MovementUses the inventory account for
Goods receivedThe debit that adds stock.
Stock updates, item journals and stock count differencesThe stock side of the adjustment.
Invoices for stock itemsThe credit that takes stock out (with cost of goods sold from the general posting setup).

If something goes wrong

MessageWhat to do
Code can only contain uppercase letters, numbers, hyphens, and underscoresType the code in capitals, for example RESALE.
Posting setup is incomplete: …The location and group of a line have no row in Inventory Posting Setup (and no All locations row). Add one.