diff --git a/app/Http/Controllers/BudgetController.php b/app/Http/Controllers/BudgetController.php
index 032af38a..c389a8b1 100644
--- a/app/Http/Controllers/BudgetController.php
+++ b/app/Http/Controllers/BudgetController.php
@@ -92,7 +92,7 @@ class BudgetController extends Controller
             ->where('user_id', $user->id)
             ->with('bank:id,name,logo')
             ->orderBy('name')
-            ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code']);
+            ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code', 'banking_connection_id']);
 
         $banks = Bank::query()
             ->availableForUser($user)
diff --git a/app/Http/Controllers/TransactionController.php b/app/Http/Controllers/TransactionController.php
index 29e2180d..ef82c69c 100644
--- a/app/Http/Controllers/TransactionController.php
+++ b/app/Http/Controllers/TransactionController.php
@@ -12,6 +12,7 @@ use App\Models\Bank;
 use App\Models\Category;
 use App\Models\Label;
 use App\Models\Transaction;
+use App\Services\ManualBalanceAdjuster;
 use Illuminate\Foundation\Auth\Access\AuthorizesRequests;
 use Illuminate\Http\JsonResponse;
 use Illuminate\Http\Request;
@@ -79,7 +80,7 @@ class TransactionController extends Controller
             ->where('user_id', $user->id)
             ->with('bank:id,name,logo')
             ->orderBy('name')
-            ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code']);
+            ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code', 'banking_connection_id']);
 
         $banks = Bank::query()
             ->availableForUser($user)
@@ -121,7 +122,7 @@ class TransactionController extends Controller
             ->where('user_id', $user->id)
             ->with('bank:id,name,logo')
             ->orderBy('name')
-            ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code']);
+            ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code', 'banking_connection_id']);
 
         $banks = Bank::query()
             ->availableForUser($user)
@@ -213,10 +214,14 @@ class TransactionController extends Controller
         ]);
     }
 
-    public function destroy(Request $request, Transaction $transaction): JsonResponse
+    public function destroy(Request $request, Transaction $transaction, ManualBalanceAdjuster $balanceAdjuster): JsonResponse
     {
         $this->authorize('delete', $transaction);
 
+        if ($request->boolean('update_balance')) {
+            $balanceAdjuster->reverseDeletedTransaction($transaction);
+        }
+
         $transaction->delete();
 
         return response()->json([
diff --git a/app/Http/Middleware/HandleInertiaRequests.php b/app/Http/Middleware/HandleInertiaRequests.php
index 33fecc9a..2f650e7b 100644
--- a/app/Http/Middleware/HandleInertiaRequests.php
+++ b/app/Http/Middleware/HandleInertiaRequests.php
@@ -124,7 +124,7 @@ class HandleInertiaRequests extends Middleware
             'accounts' => fn () => $user ? $user->accounts()
                 ->with(['bank:id,name,logo', 'realEstateDetail:account_id,linked_loan_account_id'])
                 ->orderBy('name')
-                ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code'])
+                ->get(['id', 'name', 'name_iv', 'encrypted', 'bank_id', 'type', 'currency_code', 'banking_connection_id'])
                 ->map(function ($account) {
                     $data = $account->only([
                         'id',
@@ -134,6 +134,7 @@ class HandleInertiaRequests extends Middleware
                         'bank_id',
                         'type',
                         'currency_code',
+                        'banking_connection_id',
                         'bank',
                     ]);
 
diff --git a/app/Services/ManualBalanceAdjuster.php b/app/Services/ManualBalanceAdjuster.php
new file mode 100644
index 00000000..3fada2bb
--- /dev/null
+++ b/app/Services/ManualBalanceAdjuster.php
@@ -0,0 +1,43 @@
+<?php
+
+namespace App\Services;
+
+use App\Models\AccountBalance;
+use App\Models\Transaction;
+use Illuminate\Support\Carbon;
+
+class ManualBalanceAdjuster
+{
+    /**
+     * Reverse a deleted transaction's effect on its manual account's current balance.
+     *
+     * Adjusts today's balance by the inverse of the transaction amount: an expense
+     * (negative amount) increases the balance, income (positive amount) decreases it.
+     * Connected accounts are skipped because their balances come from bank sync.
+     */
+    public function reverseDeletedTransaction(Transaction $transaction): void
+    {
+        $account = $transaction->account;
+
+        if ($account === null || $account->isConnected()) {
+            return;
+        }
+
+        $today = Carbon::now()->toDateString();
+
+        $currentBalance = $account->balances()
+            ->where('balance_date', '<=', $today)
+            ->orderByDesc('balance_date')
+            ->value('balance') ?? 0;
+
+        AccountBalance::updateOrCreate(
+            [
+                'account_id' => $account->id,
+                'balance_date' => $today,
+            ],
+            [
+                'balance' => $currentBalance - $transaction->amount,
+            ],
+        );
+    }
+}
diff --git a/lang/es.json b/lang/es.json
index cdbced96..7f0e3b4a 100644
--- a/lang/es.json
+++ b/lang/es.json
@@ -1560,6 +1560,8 @@
     "Update the balance record.": "Actualiza el registro de balance.",
     "Update the category and notes for this transaction.": "Actualiza la categoría y notas de esta transacción.",
     "Update the category information.": "Actualiza la información de la categoría.",
+    "Update the current balance of the affected manual accounts to reflect this change.": "Actualiza el saldo actual de las cuentas manuales afectadas para reflejar este cambio.",
+    "Update the current balance of the manual account to reflect this change.": "Actualiza el saldo actual de la cuenta manual para reflejar este cambio.",
     "Update the label information.": "Actualiza la información de la etiqueta.",
     "Update the owed amount record.": "Actualiza el registro de monto adeudado.",
     "Update the rule to automatically categorize transactions and add labels.": "Actualiza la regla para categorizar automáticamente transacciones y agregar etiquetas.",
diff --git a/resources/js/components/transactions/transaction-list.tsx b/resources/js/components/transactions/transaction-list.tsx
index b504e0d1..4924a5e0 100644
--- a/resources/js/components/transactions/transaction-list.tsx
+++ b/resources/js/components/transactions/transaction-list.tsx
@@ -50,6 +50,7 @@ import {
     AlertDialogTitle,
 } from '@/components/ui/alert-dialog';
 import { Button } from '@/components/ui/button';
+import { Checkbox } from '@/components/ui/checkbox';
 import {
     ContextMenu,
     ContextMenuContent,
@@ -240,6 +241,7 @@ export interface TransactionListProps {
     headerActions?: ReactNode;
     maxHeight?: number;
     hideColumns?: string[];
+    onBalanceUpdated?: () => void;
 }
 
 export function TransactionList({
@@ -256,6 +258,7 @@ export function TransactionList({
     headerActions,
     maxHeight,
     hideColumns = [],
+    onBalanceUpdated,
 }: TransactionListProps) {
     const { isKeySet } = useEncryptionKey();
     const locale = useLocale();
@@ -308,6 +311,7 @@ export function TransactionList({
     const [deleteTransaction, setDeleteTransaction] =
         useState<DecryptedTransaction | null>(null);
     const [isBulkDeleteMode, setIsBulkDeleteMode] = useState(false);
+    const [updateBalanceOnDelete, setUpdateBalanceOnDelete] = useState(true);
     const [isDeleting, setIsDeleting] = useState(false);
     const [isBulkDeleting, setIsBulkDeleting] = useState(false);
     const [isBulkUpdating, setIsBulkUpdating] = useState(false);
@@ -766,6 +770,16 @@ export function TransactionList({
         searchInIndexedDB();
     }, [filters.searchText, isKeySet, accountId]);
 
+    const manualAccountIds = useMemo(
+        () =>
+            new Set(
+                accounts
+                    .filter((account) => account.banking_connection_id === null)
+                    .map((account) => account.id),
+            ),
+        [accounts],
+    );
+
     const filteredTransactions = useMemo(() => {
         return transactions.filter((transaction) => {
             if (filters.searchText && isKeySet) {
@@ -1116,8 +1130,16 @@ export function TransactionList({
         }
 
         setIsDeleting(true);
+        const balanceWasUpdated =
+            updateBalanceOnDelete &&
+            manualAccountIds.has(deleteTransaction.account_id);
         try {
-            await transactionSyncService.delete(deleteTransaction.id);
+            await transactionSyncService.delete(deleteTransaction.id, {
+                updateBalance: balanceWasUpdated,
+            });
+            if (balanceWasUpdated) {
+                onBalanceUpdated?.();
+            }
             setTransactions((previous) =>
                 previous.filter(
                     (transaction) => transaction.id !== deleteTransaction.id,
@@ -1245,8 +1267,20 @@ export function TransactionList({
         }
 
         setIsBulkDeleting(true);
+        const balanceMayHaveUpdated =
+            updateBalanceOnDelete &&
+            transactions.some(
+                (transaction) =>
+                    selectedIds.includes(transaction.id) &&
+                    manualAccountIds.has(transaction.account_id),
+            );
         try {
-            await transactionSyncService.deleteMany(selectedIds);
+            await transactionSyncService.deleteMany(selectedIds, {
+                updateBalance: updateBalanceOnDelete,
+            });
+            if (balanceMayHaveUpdated) {
+                onBalanceUpdated?.();
+            }
             setTransactions((previous) =>
                 previous.filter(
                     (transaction) => !selectedIds.includes(transaction.id),
@@ -1461,6 +1495,7 @@ export function TransactionList({
                     if (!open) {
                         setDeleteTransaction(null);
                         setIsBulkDeleteMode(false);
+                        setUpdateBalanceOnDelete(true);
                     }
                 }}
             >
@@ -1477,6 +1512,33 @@ export function TransactionList({
                                 : 'Are you sure you want to delete this transaction? This action cannot be undone.'}
                         </AlertDialogDescription>
                     </AlertDialogHeader>
+                    {(isBulkDeleteMode
+                        ? transactions.some(
+                              (transaction) =>
+                                  Object.keys(rowSelection).includes(
+                                      transaction.id,
+                                  ) &&
+                                  manualAccountIds.has(transaction.account_id),
+                          )
+                        : deleteTransaction !== null &&
+                          manualAccountIds.has(
+                              deleteTransaction.account_id,
+                          )) && (
+                        <label className="flex cursor-pointer items-start gap-3 rounded-md border border-border bg-muted/40 p-3 text-sm">
+                            <Checkbox
+                                checked={updateBalanceOnDelete}
+                                onCheckedChange={(checked) =>
+                                    setUpdateBalanceOnDelete(checked === true)
+                                }
+                                className="mt-0.5"
+                            />
+                            <span className="text-muted-foreground">
+                                {__(
+                                    'Update the current balance of the manual account to reflect this change.',
+                                )}
+                            </span>
+                        </label>
+                    )}
                     <AlertDialogFooter>
                         <AlertDialogCancel
                             disabled={isDeleting || isBulkDeleting}
diff --git a/resources/js/pages/Accounts/Show.tsx b/resources/js/pages/Accounts/Show.tsx
index 4fad4472..92646f91 100644
--- a/resources/js/pages/Accounts/Show.tsx
+++ b/resources/js/pages/Accounts/Show.tsx
@@ -403,6 +403,9 @@ export default function AccountShow({
                         showActionsMenu={false}
                         maxHeight={600}
                         hideColumns={['bank', 'account']}
+                        onBalanceUpdated={() =>
+                            setChartRefreshKey((key) => key + 1)
+                        }
                     />
                 )}
             </div>
diff --git a/resources/js/pages/transactions/index.tsx b/resources/js/pages/transactions/index.tsx
index 018390ab..d4b758c9 100644
--- a/resources/js/pages/transactions/index.tsx
+++ b/resources/js/pages/transactions/index.tsx
@@ -51,6 +51,7 @@ import {
     AlertDialogTitle,
 } from '@/components/ui/alert-dialog';
 import { Button } from '@/components/ui/button';
+import { Checkbox } from '@/components/ui/checkbox';
 import {
     ContextMenu,
     ContextMenuContent,
@@ -457,6 +458,7 @@ export default function Transactions({
     const [deleteTransaction, setDeleteTransaction] =
         useState<DecryptedTransaction | null>(null);
     const [isBulkDeleteMode, setIsBulkDeleteMode] = useState(false);
+    const [updateBalanceOnDelete, setUpdateBalanceOnDelete] = useState(true);
     const [bulkDeleteConfirmation, setBulkDeleteConfirmation] = useState('');
     const [isDeleting, setIsDeleting] = useState(false);
     const [isBulkDeleting, setIsBulkDeleting] = useState(false);
@@ -874,7 +876,11 @@ export default function Transactions({
 
         setIsDeleting(true);
         try {
-            await transactionSyncService.delete(deleteTransaction.id);
+            await transactionSyncService.delete(deleteTransaction.id, {
+                updateBalance:
+                    updateBalanceOnDelete &&
+                    manualAccountIds.has(deleteTransaction.account_id),
+            });
             setAllTransactions((previous) =>
                 previous.filter(
                     (transaction) => transaction.id !== deleteTransaction.id,
@@ -963,6 +969,28 @@ export default function Transactions({
 
     const selectedCount = useMemo(() => selectedIds.length, [selectedIds]);
 
+    const manualAccountIds = useMemo(
+        () =>
+            new Set(
+                accounts
+                    .filter((account) => account.banking_connection_id === null)
+                    .map((account) => account.id),
+            ),
+        [accounts],
+    );
+
+    const bulkDeleteTouchesManualAccount = useMemo(
+        () =>
+            isSelectingAll
+                ? manualAccountIds.size > 0
+                : allTransactions.some(
+                      (transaction) =>
+                          selectedIds.includes(transaction.id) &&
+                          manualAccountIds.has(transaction.account_id),
+                  ),
+        [isSelectingAll, manualAccountIds, allTransactions, selectedIds],
+    );
+
     const bulkDeleteConfirmationText = useMemo(
         () => getBulkDeleteConfirmationText(selectedCount),
         [selectedCount],
@@ -990,7 +1018,9 @@ export default function Transactions({
 
         setIsBulkDeleting(true);
         try {
-            await transactionSyncService.deleteMany(selectedIds);
+            await transactionSyncService.deleteMany(selectedIds, {
+                updateBalance: updateBalanceOnDelete,
+            });
             setAllTransactions((previous) =>
                 previous.filter(
                     (transaction) => !selectedIds.includes(transaction.id),
@@ -1280,6 +1310,7 @@ export default function Transactions({
                 onOpenChange={(open) => {
                     if (!open) {
                         setDeleteTransaction(null);
+                        setUpdateBalanceOnDelete(true);
                     }
                 }}
             >
@@ -1294,6 +1325,25 @@ export default function Transactions({
                             )}
                         </AlertDialogDescription>
                     </AlertDialogHeader>
+                    {deleteTransaction !== null &&
+                        manualAccountIds.has(deleteTransaction.account_id) && (
+                            <label className="flex cursor-pointer items-start gap-3 rounded-md border border-border bg-muted/40 p-3 text-sm">
+                                <Checkbox
+                                    checked={updateBalanceOnDelete}
+                                    onCheckedChange={(checked) =>
+                                        setUpdateBalanceOnDelete(
+                                            checked === true,
+                                        )
+                                    }
+                                    className="mt-0.5"
+                                />
+                                <span className="text-muted-foreground">
+                                    {__(
+                                        'Update the current balance of the manual account to reflect this change.',
+                                    )}
+                                </span>
+                            </label>
+                        )}
                     <AlertDialogFooter>
                         <AlertDialogCancel disabled={isDeleting}>
                             {__('Cancel')}
@@ -1316,6 +1366,7 @@ export default function Transactions({
                         setDeleteTransaction(null);
                         setIsBulkDeleteMode(false);
                         setBulkDeleteConfirmation('');
+                        setUpdateBalanceOnDelete(true);
                     }
                 }}
             >
@@ -1340,6 +1391,22 @@ export default function Transactions({
                         disabled={isBulkDeleting}
                         autoFocus
                     />
+                    {bulkDeleteTouchesManualAccount && (
+                        <label className="flex cursor-pointer items-start gap-3 rounded-md border border-border bg-muted/40 p-3 text-sm">
+                            <Checkbox
+                                checked={updateBalanceOnDelete}
+                                onCheckedChange={(checked) =>
+                                    setUpdateBalanceOnDelete(checked === true)
+                                }
+                                className="mt-0.5"
+                            />
+                            <span className="text-muted-foreground">
+                                {__(
+                                    'Update the current balance of the affected manual accounts to reflect this change.',
+                                )}
+                            </span>
+                        </label>
+                    )}
                     <DialogFooter>
                         <Button
                             variant="outline"
diff --git a/resources/js/services/transaction-sync.ts b/resources/js/services/transaction-sync.ts
index e3e0b36b..2f11d29c 100644
--- a/resources/js/services/transaction-sync.ts
+++ b/resources/js/services/transaction-sync.ts
@@ -176,8 +176,13 @@ class TransactionSyncService {
         return response.data.count || 0;
     }
 
-    async delete(id: string): Promise<void> {
-        await axios.delete(`/transactions/${id}`);
+    async delete(
+        id: string,
+        options?: { updateBalance?: boolean },
+    ): Promise<void> {
+        await axios.delete(`/transactions/${id}`, {
+            data: options?.updateBalance ? { update_balance: true } : undefined,
+        });
         await db.transactions.delete(id);
     }
 
@@ -189,9 +194,12 @@ class TransactionSyncService {
         }
     }
 
-    async deleteMany(ids: string[]): Promise<void> {
+    async deleteMany(
+        ids: string[],
+        options?: { updateBalance?: boolean },
+    ): Promise<void> {
         for (const id of ids) {
-            await this.delete(id);
+            await this.delete(id, options);
         }
     }
 
diff --git a/tests/Feature/TransactionTest.php b/tests/Feature/TransactionTest.php
index c504a751..701793be 100644
--- a/tests/Feature/TransactionTest.php
+++ b/tests/Feature/TransactionTest.php
@@ -238,6 +238,136 @@ test('users cannot delete other users transactions', function () {
     ]);
 });
 
+test('deleting a manual account expense increases the current balance when requested', function () {
+    $user = User::factory()->onboarded()->create();
+    $account = Account::factory()->create(['user_id' => $user->id]);
+
+    $account->balances()->create([
+        'balance_date' => now()->toDateString(),
+        'balance' => 100000,
+    ]);
+
+    $transaction = Transaction::factory()->create([
+        'user_id' => $user->id,
+        'account_id' => $account->id,
+        'amount' => -2500,
+    ]);
+
+    actingAs($user)
+        ->deleteJson(route('transactions.destroy', $transaction), ['update_balance' => true])
+        ->assertSuccessful();
+
+    $this->assertDatabaseHas('account_balances', [
+        'account_id' => $account->id,
+        'balance_date' => now()->toDateString(),
+        'balance' => 102500,
+    ]);
+});
+
+test('deleting a manual account income decreases the current balance when requested', function () {
+    $user = User::factory()->onboarded()->create();
+    $account = Account::factory()->create(['user_id' => $user->id]);
+
+    $account->balances()->create([
+        'balance_date' => now()->toDateString(),
+        'balance' => 100000,
+    ]);
+
+    $transaction = Transaction::factory()->create([
+        'user_id' => $user->id,
+        'account_id' => $account->id,
+        'amount' => 3000,
+    ]);
+
+    actingAs($user)
+        ->deleteJson(route('transactions.destroy', $transaction), ['update_balance' => true])
+        ->assertSuccessful();
+
+    $this->assertDatabaseHas('account_balances', [
+        'account_id' => $account->id,
+        'balance_date' => now()->toDateString(),
+        'balance' => 97000,
+    ]);
+});
+
+test('deleting a transaction creates a current balance from the latest known balance', function () {
+    $user = User::factory()->onboarded()->create();
+    $account = Account::factory()->create(['user_id' => $user->id]);
+
+    $account->balances()->create([
+        'balance_date' => now()->subDays(5)->toDateString(),
+        'balance' => 50000,
+    ]);
+
+    $transaction = Transaction::factory()->create([
+        'user_id' => $user->id,
+        'account_id' => $account->id,
+        'amount' => -1500,
+    ]);
+
+    actingAs($user)
+        ->deleteJson(route('transactions.destroy', $transaction), ['update_balance' => true])
+        ->assertSuccessful();
+
+    $this->assertDatabaseHas('account_balances', [
+        'account_id' => $account->id,
+        'balance_date' => now()->toDateString(),
+        'balance' => 51500,
+    ]);
+});
+
+test('deleting a transaction does not change the balance when not requested', function () {
+    $user = User::factory()->onboarded()->create();
+    $account = Account::factory()->create(['user_id' => $user->id]);
+
+    $account->balances()->create([
+        'balance_date' => now()->toDateString(),
+        'balance' => 100000,
+    ]);
+
+    $transaction = Transaction::factory()->create([
+        'user_id' => $user->id,
+        'account_id' => $account->id,
+        'amount' => -2500,
+    ]);
+
+    actingAs($user)
+        ->deleteJson(route('transactions.destroy', $transaction))
+        ->assertSuccessful();
+
+    $this->assertDatabaseHas('account_balances', [
+        'account_id' => $account->id,
+        'balance_date' => now()->toDateString(),
+        'balance' => 100000,
+    ]);
+});
+
+test('deleting a connected account transaction never changes the balance', function () {
+    $user = User::factory()->onboarded()->create();
+    $account = Account::factory()->connected()->create(['user_id' => $user->id]);
+
+    $account->balances()->create([
+        'balance_date' => now()->toDateString(),
+        'balance' => 100000,
+    ]);
+
+    $transaction = Transaction::factory()->create([
+        'user_id' => $user->id,
+        'account_id' => $account->id,
+        'amount' => -2500,
+    ]);
+
+    actingAs($user)
+        ->deleteJson(route('transactions.destroy', $transaction), ['update_balance' => true])
+        ->assertSuccessful();
+
+    $this->assertDatabaseHas('account_balances', [
+        'account_id' => $account->id,
+        'balance_date' => now()->toDateString(),
+        'balance' => 100000,
+    ]);
+});
+
 test('transactions index page passes user categories', function () {
     $user = User::factory()->onboarded()->create();
     $otherUser = User::factory()->create();