Getting Started

Business Central Terminology Glossary for New Users

A practical reference glossary of common Business Central terms, from Posting Groups and Dimensions to Job Queues and Permission Sets.

9 min read

Business Central uses specific terminology that can be confusing when you are new to the system. Some terms overlap with general accounting concepts but carry a more specific meaning in Business Central. Others are unique to the platform.

This glossary covers the terms you are most likely to encounter across finance, administration, and setup tasks.


Core Finance Terms

G/L Account A General Ledger account. Every financial transaction in Business Central eventually posts to one or more G/L accounts. The full list of G/L accounts is called the Chart of Accounts.

Ledger Entry A record of a posted transaction. Once a journal or document is posted, Business Central creates ledger entries that cannot be edited. Customer Ledger Entries, Vendor Ledger Entries, G/L Entries, and Item Ledger Entries are the most common types.

Posting Date The date assigned to a transaction when it is posted. The posting date determines which accounting period the entry falls into. It is separate from the document date.

Fiscal Year The accounting year used by the company. In Business Central, the fiscal year is defined by accounting periods in the Accounting Periods page. It does not have to follow the calendar year.

Journal A grid for entering financial lines before posting. Common journals include the General Journal, Payment Journal, Item Journal, and Fixed Asset Journal. Entries in a journal are not permanent until you post them.

Document A transactional record with a header and lines, such as a sales order, purchase invoice, or transfer order. Documents go through a lifecycle (open, released, posted) and generate ledger entries when posted.

VAT Posting Setup A combination of a VAT Business Posting Group and a VAT Product Posting Group that determines the VAT calculation rules for a transaction. The setup defines the VAT percentage, the G/L accounts to post to, and the VAT calculation type.


Setup and Configuration Terms

Posting Group A code that maps a record type to the G/L accounts it should post to. For example, a Customer Posting Group tells Business Central which receivables account to use for that customer. There are several types: Customer, Vendor, Inventory, and General.

Number Series A defined sequence of numbers used to automatically assign codes to records and documents. Sales orders, customer numbers, invoice numbers, and item numbers each use a number series. Number series are configured in the No. Series page.

Dimension A label you can attach to transactions for analytical reporting. Common dimensions include Department, Project, and Cost Center. Dimensions do not affect the G/L account balance but allow you to filter and analyse entries by additional criteria.

Permission Set A named collection of permissions that controls what a user can read, insert, modify, or delete in Business Central. Permission sets are assigned to users or security groups. Multiple permission sets can be stacked on a single user.

Extension An add-on installed on top of Business Central to add or modify functionality. Extensions are built in AL and installed via the Extension Management page. They can be published by Microsoft, independent software vendors, or your own development team.

Job Queue A scheduler that runs processes automatically in the background at defined times or intervals. Common uses include sending reminder emails, running recurring journal entries, or syncing data with external systems. Job queues are configured in the Job Queue Entries page.


Role Center The home page in Business Central, configured per user role. It shows cues, charts, and shortcuts relevant to the tasks that role performs most often. The Role Center for a Business Manager looks different from one configured for a Warehouse Worker.

Cue A tile on the Role Center that shows a count of records requiring attention. A cue labelled Open Sales Orders shows the number of sales orders in open status. Clicking the cue opens the corresponding filtered list.

FactBox A panel on the right side of a page that shows related information for the currently selected record. The FactBox on a Customer Card might show the customer’s current balance, overdue amounts, and recent transactions. FactBoxes update automatically as you navigate between records.


Data and Transaction Terms

Apply Entries The process of linking open transactions to close them. For example, applying a customer payment to an invoice marks both as closed. Business Central uses application to track which invoices have been paid and which remain outstanding.

Posting The action of confirming and recording a transaction permanently. Once posted, the transaction creates ledger entries and cannot be changed. To correct a posted entry, you must create a reversal or corrective entry.

Recurring Journal A general journal with lines that are saved and reused each period. Used for transactions that repeat on a regular schedule, such as monthly rent, depreciation charges, or overhead allocations. The amounts can be fixed or calculated as a percentage.


Common Terms Table

TermShort Definition
G/L AccountA line in the Chart of Accounts that receives posted amounts
Posting GroupMaps records to G/L accounts for automatic posting
DimensionA tag on transactions used for analysis and reporting
Number SeriesDefines the automatic numbering sequence for records and documents
Ledger EntryA permanent record created when a document or journal is posted
Posting DateThe date that determines which accounting period a transaction falls into
Fiscal YearThe company’s accounting year, defined by its accounting periods
JournalA staging grid for entering transactions before posting
DocumentA transactional record with a header and lines, such as a sales order
VAT Posting SetupDefines VAT rates and G/L accounts for a combination of business and product groups
Role CenterThe user’s home page, tailored to their assigned role
CueA tile on the Role Center showing a count of records
FactBoxA side panel showing related information for the selected record
Permission SetA named set of access rights assigned to a user
ExtensionAn add-on that extends Business Central functionality
Job QueueA background scheduler for automated tasks
Apply EntriesLinks payments to invoices to close open transactions
Recurring JournalA journal with saved lines reused across accounting periods

If you are just getting started with the Business Central interface, How to Navigate Business Central: Pages, Lists, and FactBoxes Explained walks through the main page types and how to move around the system.