First transaction: starting balances

We'll use hledger's add command to append a new transaction to the journal file, auto-creating the file if it doesn't exist.

The first transaction in a journal is usually a special "starting balances" transaction, which sets up the starting balances in one or more asset and liability accounts. (Assets are things you own, like a bank checking account or the cash in your wallet. Liabilities are things you owe, like a credit card balance.)

Let's record just one starting balance: how much cash is in your wallet today. Run hledger add (and if you're on Windows, add --color=no for now):

PS C:\Users\Simon> hledger add --color=no
Adding transactions to journal file C:\Users\Simon\.hledger.journal
Any command line arguments will be used as defaults.
Use tab key to complete, readline keys to edit, enter to accept defaults.

(On Windows, the tab key won't work.)

An optional (CODE) may follow transaction dates.
An optional ; COMMENT may follow descriptions or amounts.
If you make a mistake, enter < at any prompt to go one step backward.
To end a transaction, enter . when prompted.
To quit, enter . at a date prompt or press control-d or control-c.
Date [2025-07-01]:

Press enter to accept today's date.

Description: starting balances

Enter the optional description, such as "starting balances", and press enter.

Account 1: assets:cash

Enter an account name. I am calling the wallet "assets:cash". You can use any account names that make sense to you. But, more about account names later.

Amount  1: $10

Instead of "$10", enter the amount currently in your wallet, and whatever currency symbol or currency code is appropriate. If you have multiple currencies, just record the main one for now.

Account 2: equity:start

Every transaction involves two or more accounts. Since $10 has appeared in assets:cash, we must say where it came from. Starting balances always come from a special equity account, which I have called "equity:start". (Equity represents "ownership" and other things; if you're doing personal accounting, this might be the only time you'll use it.)

Amount  2 [$-10]:

Every transaction moves an amount between accounts, with none left over. As the default value, hledger suggests the amount that will balance the transaction. Press enter to accept it.

Account 3 (or . or enter to finish this transaction):

Transactions can involve any number of accounts, though two is the most common. Press enter to complete this transaction.

2025-07-01 starting balances
    assets:cash              $10
    equity:start            $-10

Save this transaction to the journal ? [y]:

hledger shows a preview of the journal entry that will be appended to the journal file. Press enter to accept it.

Saved.
Starting the next transaction (. or ctrl-D/ctrl-C to quit)
Date [2025-07-01]: .
PS C:\Users\Simon>

hledger starts to read another transaction. Press . and enter to end the add session and return to the command line.

Now, if you reran hledger setup you would see:

And hledger files lists the file:

PS C:\Users\Simon> hledger files
C:\Users\Simon\.hledger.journal

(Part of hledger by example.)