subposten

Subposten is a term used in accounting to describe a subdivision or breakdown of a main financial post (entry) within the accounting records. A subposten provides a detailed view of how the total amount of a single post is distributed among smaller components, without creating separate ledger postings. The sum of the subposten equals the amount of the main post.

The purpose of subposten is to improve transparency and control by enabling more granular reporting. They are commonly used for cost allocation, project accounting, department or cost-center tracking, and client or product line analysis. Subposten are typically linked to a main posting in the general ledger and mapped to the relevant accounts or analytic dimensions in the chart of accounts.

In practice, a balance line such as “Materials expense” can be expanded into subposten like “Steel,” “Aluminum,” and “Fasteners,” each with its own amount. This allows managers to see which components drive costs or revenues, supports budget comparisons, and facilitates variance analysis. Subposten are often implemented through analytic accounting features, such as cost centers, projects, or other dimensions, rather than as entirely separate ledger accounts.

Subposten are not independent entries; they supplement a single posting with a structured breakdown. Proper use requires consistent definitions and governance to prevent fragmentation or confusion. They are particularly useful in ERP systems that support analytical reporting and in organizations that need detailed cost or revenue visibility while maintaining a consolidated general ledger.

See also: post, chart of accounts, cost center, project accounting, analytic accounting.