General information about Holvi’s bookkeeping

In this article we'll go through the income and expense categories in the bookkeeping tool and how the incoming money is being recorded. Furthermore we'll go through some of the automatically created income and expense categories.
Table of contents
Bookkeeping in general
1. Income and expense categories in general
2. How to create income and expense categories
3. Automatically created categories
Budgeting Periods
5. Budgeting periods in general
6. How do the budgeting periods work
7. How to reorder payments
8. VAT activation
9. VAT Payable and VAT Receivable categories
10. How does Holvi calculate VAT balances
11. The VAT report
12. Exceptions - assigning VAT into received bank transfers
13. Paying VAT from Holvi in general
14. How to pay VAT from Holvi
Income and expense categories in general
Available as a video tutorial here.
Your Holvi account is built on income and expense categories that you create. All transactions in your Holvi account are organised into either an income or expense category that you assign them to in. To get the most out of your categories you can create budgets for each category so that you can easily keep track of your money movements, both incomes and expenses. Creating a budget is one of the first steps when you are getting started with Holvi!
NOTE: Holvi accounts are cash based, which means that the income is accounted only when the money is received and expenses only when money is paid out.


How to create income and expense categories

1. Click on the bookkeeping-tab

2. Choose add category

3. Fill in the name of the category

4. Fill in the amount budgeted (optional)

5. Choose expense or income category

6. Save

You can create as many income and expense categories as you like and they are updated automatically when there is incoming and outgoing traffic in your Holvi account


Automatically created categories

In addition to the categories that you create, we have some ready made categories for you. 

Pending Income  

Whenever you send an invoice out from Holvi, the invoiced amount is pending income. This means that you haven't yet received the money, but you are waiting for it to arrive. This Pending Income category lists all your invoices that you have sent but have not yet been paid and also the underpaid amounts of paid invoices. When an invoice is paid, the amount paid will automatically move into the income category assigned to the invoice.

VAT Receivable

This category will be visible if you defined that you are VAT liable when you opened the account. All transactions that have VAT% and move out of your Holvi account build up your VAT receivables. This category shows how much you VAT receivables you currently have. NOTE: Holvi is cash based, so in your VAT categories you will only see transactions that are realised.


If you receive a payment that does not have a reference number, it will arrive as uncategorised. This can happen when someone pays to you using only your Holvi account number. If you know that you have a matching invoice for a payment that has arrived as uncategorised, you can manually match the payment with an invoice. All payments that arrive to Holvi with a reference number will be automatically matched to the corresponding invoice.

VAT Payable

This category will be visible if you defined that you are VAT liable when you opened the account. All transactions that have VAT% and move in to your Holvi account build up your VAT payables. This category shows how much VAT payable you currently have. NOTE: Holvi is cash based, so in your VAT categories you will only see transactions that are realised. For example the VAT amount of a sent invoice is not shown in the VAT Payable category, only the VAT for paid invoices is shown.

Service Fees

Here you can see the total expenses that you've been charged as Holvi's service fees. You can also get a receipt for these from the Reports-section.


Holvi support will gladly answer to all questions you might have considering Holvi's bookkeeping or reporting function. Please contact us by submitting a direct request.



Each payment recorded in your account supports comments that you can use to share information within your group. To add a comment simply select a transaction whether from your feed or by navigating through your account's sub menus and select Comments under the transaction. Add a comment and it appears under the payment for everyone to see.



Budgeting periods in general

Budgeting periods are your way to show only relevant and up-to-date information in your income and expense categories. You can use budgeting periods to

  • Hide the transactions from your previous fiscal year/period and start fresh with clean slate
  • View transactions from your previous budget periods in category archives 
  • Also the Profit calculation is updated to match your current budgeting period as it compares the realised parts of your income and expense categories



How do the budgeting periods work

To enter the Budgeting periods menu:

1. Click on your account details in the left corner

2. Choose budgeting periods

3. Define budgeting period. Here you can choose to define it manually, monthly, quarterly, every half year and yearly. If you choose monthly, quarterly, every half year or yearly the budgeting period will be defined automatically.

4. If you choose define budgeting period manually you need to choose an end date. 

5. If you choose define budgeting period manually you need to click close current and begin a new period.

Starting a budgeting period will show only the transactions that have their payment or issue date in the specific budgeting period. If you wish to see older transactions you can open the income or expense category you want to and browse its archived transactions. 

Please note that recategorising archived payments may lead to difference in your reports. So always, if you need to recategorise any archived payments, remove your budget periods and then switch them back on.

If this is the first budgeting period you create, the starting date will be the date when you created the account. If you already have an existing budgeting period, the starting date for your next financial period will be the day after your previous budgeting period ended. You can activate and remove budgeting periods as you wish, they do not cancel or delete any transactions in the account so you can experiment with this feature as much as you wish. You can also set the budgeting periods to reset following different cycles (monthly, quarterly, every half year, yearly of based on your custom settings).

Holvi's reports will not be affected as you can define the dates individually when you choose to view a report.






How to reorder payments

All transactions in Holvi are registered into the income and expense categories you have defined. At times you might need to rearrange already registered transactions within the account. In other words to move a payment from one category to another.

1. To move a transaction from one category to another go to the Bookkeeping tab in your Holvi account and start by clicking an income or expense category that has the transaction in it.

2. You will notice that the registered transactions now open as a list in the center of your account view. From here you can select the transaction you want to reorder by clicking it. 

3. Now you have the chance to EDIT the payment, click the edit button

4. Choose a new category from the list

5. Click save. Screen_Shot_2017-02-27_at_16.29.28.png







VAT activation

If you have not activated your VAT support in your account, please let us know and we can do the activation by hand.



VAT Payable and VAT Receivable categories

Holvi's VAT support includes calculating VAT % in all Holvi transactions.

Holvi calculates VAT in both sides of the Holvi account: Income and Expense, and creates automatically VAT income and expense categories, the VAT payable and VAT receivables category. From these categories you can easily see the state of your overall VAT receivables and payables.

You can find VAT payable and VAT receivables categories under the Bookkeeping tab in your Holvi account after receiving and sending payments with a VAT %.

You can set VAT support either when creating a new Holvi account or have it added to an existing account by contacting



How does Holvi calculate VAT balances

You sell a 1000€ product with VAT 24% and full price 1240€ -> VAT payable is updated to 240€ and VAT receivable stays at 0€.

After this you pay a 100 € invoice with VAT 24% and full price 124€ -> VAT payable decreases by 24€ and becomes 216€ and VAT receivable is still 0€ (because there are no receivables) 

You can check your VAT payable and receivable, from the 2nd and 3rd pages of your VAT reports. You can find a link to the VAT reports from the VAT categories. 


The VAT report

On the reports side Holvi compiles monthly VAT reports that you can use for bookkeeping and possible reports. You can find the VAT report by choosing the Bookkeeping tab in your Holvi, then click reports , choose bookkeeping reports and VAT report.



Exceptions - assigning VAT into bank transfers

If you receive an uncategorised bank transfer (such as iZettle or SumUp payment) to Holvi that does not have a VAT rate you may do the following:

1. Create a new invoice in your Holvi account - receiver should be your own business

2. Specify the invoice rows - we recommend to define each VAT rate into their owns. Here is an example

  • Row 1 - VAT 24% X€ -> pick up VAT 24% for this row from the dropdown selector
  • Row 2 - VAT 10% X€ -> pick up VAT 10% for this row from the dropdown selector
  • and so forth

3. Save the invoice

4. Do not send the invoice but mark it as sent

5. Now you may match the received bank transfer from your uncategorised payments into this invoice. To do this, click Mark as paid in the invoice.

Please note: with this workaround you will be "sending" more invoices than normally and also invoice yourself so please assess the need for this with your bookkeeper.


Paying VAT from Holvi in general

If your account is VAT liable and you have received payments that have a VAT rate assigned to them you will see a VAT payable expense category in the bookkeeping view. This category calculates the amount of VAT you need to pay based on your income. Making VAT payments out of Holvi decreases the amount registered into the VAT payable category.


How to pay VAT from Holvi

You have a couple of choices in paying VAT from Holvi. You can either 1. Pay the VAT directly to your tax account or 2. Pay the VAT to your separate bank account and move the money to the tax account from there.

Here's how you do it in practice:

1. Paying VAT directly from Holvi to tax account

  • Create a new payment out by choosing the  Payments tab in your Holvi account and then click New Payment
  • Fill in the subject field (only for you own monitoring) and choose the expense category to be VAT Payable
  • Put in your tax account IBAN number as the receiving bank account
  • Sum: Put here the amount of VAT you want to pay. You can look at your VAT Payable expense category to see how much VAT you currently have to pay. If you define the sum to be equal to the amount you have as VAT Payable the category sum will drop to 0,00€.
  • The sum can also be only a part of the VAT you have to pay but remember that the same sum is deducted from your VAT Payable category
  • Remember to include a reference number (if you have it) or alternatively a message with your VAT registry ID or your business ID and the dates from which you are paying VAT
  • You can find more information considering your account's VAT situation in your VAT report


2. Paying VAT from Holvi to an external bank account

  • Everything else works similarly as above but put in your own bank account number as the receiving bank account.

The important thing to remember when you are paying VAT is to always mark the payment into the expense category VAT Payable, otherwise the reporting might not be accurate. Also it's good to note that you shouldn't use this category with any other payments than VAT payments.



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