How to Add Opening Balance in Odoo 18 Accounting
By Braincuber Team
Published on January 17, 2026
When migrating to Odoo or starting a new fiscal year, there's one task that can't be skipped: setting up your opening balances. These are the account balances that carry forward from your previous accounting system—or from the prior year's closing—into your new Odoo environment. Get them wrong, and your entire financial reporting becomes unreliable.
Odoo 18 provides two approaches for this: the guided onboarding wizard during Chart of Accounts setup, and manual journal entries for more control. This tutorial walks through both methods, explains the accounting logic behind opening entries, and shows you how to verify everything balances correctly.
What is an Opening Balance? The financial position of each account at the start of a new fiscal period. For assets and expenses, it's typically a debit balance. For liabilities, equity, and revenue, it's typically a credit balance. The sum of all opening debits must equal all opening credits.
Why Opening Balances Matter
Accurate Reporting
Balance sheets, P&L statements, and cash flow reports all depend on correct starting figures. Wrong opening = wrong reports.
Year-End Continuity
Last year's closing balances become this year's opening. Proper setup ensures fiscal year transitions are seamless.
Audit Trail
Opening journal entries create a clear record of how balances were established—essential for audits and compliance.
Bank Reconciliation
Your bank account's opening balance must match your actual bank statement for reconciliation to work.
Prerequisites
- Odoo 18 with Accounting module installed
- Fiscal Localization configured (Settings → Accounting → Fiscal Localization)
- Chart of Accounts set up for your country
- Trial balance or closing balances from your previous system/year
Method 1: Onboarding Wizard (Recommended)
The fastest approach for new Odoo implementations. This wizard appears during initial setup or can be accessed later from Chart of Accounts.
Access Chart of Accounts Setup
- Go to Accounting → Configuration → Settings
- Scroll to Fiscal Localization section
- Click Review Manually on the Account Import card
- This opens the Chart of Accounts onboarding view
Enter Opening Balances
In the Chart of Accounts view, you'll see columns for Opening Debit and Opening Credit:
- Assets (Bank, Receivables, Inventory): Enter amount in Opening Debit
- Liabilities (Payables, Loans): Enter amount in Opening Credit
- Equity: Enter amount in Opening Credit
Real-World Example
Let's say your company starts with these balances:
ACCOUNT DEBIT CREDIT ───────────────────────────────────────────────────── Bank Account (Asset) 15,000.00 Accounts Receivable (Asset) 8,500.00 Office Equipment (Asset) 5,000.00 Accounts Payable (Liability) 3,200.00 Loan Payable (Liability) 10,000.00 Owner's Equity 15,300.00 ───────────────────────────────────────────────────── TOTAL 28,500.00 28,500.00
Critical: Total debits MUST equal total credits. If they don't balance, Odoo will post the difference to the "Undistributed Profits/Losses" (Current Year Earnings) account automatically.
Method 2: Manual Journal Entry
For more control—or to add balances after initial setup—create a manual journal entry.
Create New Journal Entry
- Go to Accounting → Accounting → Journal Entries
- Click New
- Set Reference: "Opening Balance 2025" (or your fiscal year)
- Set Accounting Date: First day of your fiscal year (e.g., 01/01/2025)
- Select Journal: Miscellaneous Operations
Add Journal Items
Click Add a Line and enter each account with its opening balance:
- Account: Select the account (e.g., 1100 - Bank)
- Debit: Enter amount if asset/expense
- Credit: Enter amount if liability/equity/revenue
- Repeat for all accounts with opening balances
Post the Entry
- Verify debits equal credits at the bottom of the form
- Click Post to finalize the journal entry
- The entry moves from Draft to Posted status
Verifying Your Opening Balances
After posting, confirm everything is correct:
Check the Trial Balance
- Go to Accounting → Reporting → Trial Balance
- Set the date range to include your opening date
- Verify each account shows the correct balance
Review the Balance Sheet
- Go to Accounting → Reporting → Balance Sheet
- Assets should equal Liabilities + Equity
- If not balanced, check your Opening Balance journal entry
Common Issues & Solutions
Unbalanced Entry
Solution: Odoo posts differences to "Undistributed Profits/Losses." Review and reallocate if needed via another journal entry.
Wrong Date
Solution: The accounting date must be the first day of your fiscal year. Wrong dates affect period reporting.
Bank Mismatch
Solution: Your bank account opening balance must match your bank statement opening for reconciliation to work properly.
Best Practices
Opening Balance Tips:
- Use a single journal entry: Keep all opening balances in one entry for easy reference and auditing.
- Document the source: Add notes or attachments showing where numbers came from (prior system, trial balance).
- Set the correct date: Always use the first day of your fiscal year as the accounting date.
- Verify before posting: Review the trial balance immediately after posting to catch errors early.
Conclusion
Opening balances are the foundation of accurate accounting in Odoo. Whether you use the guided onboarding wizard or create manual journal entries, the key is ensuring your debits equal your credits and the accounting date is set correctly. Once configured, your financial reports will accurately reflect your company's true financial position from day one of the new fiscal period.
Key Takeaway: Access via Chart of Accounts onboarding or create manual journal entry → Enter asset balances as Debits, liability/equity balances as Credits → Set accounting date to first day of fiscal year → Ensure total debits = total credits → Post and verify with Trial Balance.