The Backwards C Memory Jogger
Debits ^ Credits ^
In a General Ledger Debits are usually shown on the left, and Credits on the right side of any transaction or report. You can use this to help you remember how and when to post debits or credits. Simply visualize the “backwards c” above, and think of it this way.
Debit Balance Accounts, the two on the left side of the backwards C (Assets and Expenses) require a (D)ebit to make them go up ^.
Credit Balance Accounts, the 3 on the right side of the backwards C (Liabilities, Equity, and Expense) require a ©redit to make them go up ^.
Remember this, and the fact that debits and credits must always equal each other, and you will always be able to figure out how to post to your General Ledger accounts.