diff --git a/erpnext/patches.txt b/erpnext/patches.txt
index bdc1ed4..a7fb7a2 100644
--- a/erpnext/patches.txt
+++ b/erpnext/patches.txt
@@ -602,3 +602,4 @@
 erpnext.patches.v11_1.rename_depends_on_lwp
 execute:frappe.delete_doc("Report", "Inactive Items")
 erpnext.patches.v11_1.delete_scheduling_tool
+erpnext.patches.v12_0.generate_leave_ledger_entries
\ No newline at end of file
diff --git a/erpnext/patches/v12_0/generate_leave_ledger_entries.py b/erpnext/patches/v12_0/generate_leave_ledger_entries.py
new file mode 100644
index 0000000..9223bb2
--- /dev/null
+++ b/erpnext/patches/v12_0/generate_leave_ledger_entries.py
@@ -0,0 +1,95 @@
+# Copyright (c) 2018, Frappe and Contributors
+# License: GNU General Public License v3. See license.txt
+
+from __future__ import unicode_literals
+import frappe
+
+def execute():
+    """ Generates leave ledger entries for leave allocation/application/encashment
+        for last allocation """
+    if frappe.db.exists("DocType","Leave Ledger Entry"):
+        return
+
+    allocation_list = get_allocation_records()
+    generate_allocation_ledger_entries(allocation_list)
+    generate_application_leave_ledger_entries(allocation_list)
+    generate_encashment_leave_ledger_entries(allocation_list)
+
+def generate_allocation_ledger_entries(allocation_list):
+    ''' fix ledger entries for missing leave allocation transaction '''
+    from erpnext.hr.doctype.leave_allocation.leave_allocation import LeaveAllocation
+
+    for allocation in allocation_list:
+        LeaveAllocation.create_leave_ledger_entry(allocation)
+
+def generate_application_leave_ledger_entries(allocation_list):
+    ''' fix ledger entries for missing leave application transaction '''
+    from erpnext.hr.doctype.leave_application.leave_application import LeaveApplication
+
+    leave_applications = get_leaves_application_records(allocation_list)
+
+    for record in leave_applications:
+        LeaveApplication.create_leave_ledger_entry(record)
+
+def generate_encashment_leave_ledger_entries(allocation_list):
+    ''' fix ledger entries for missing leave encashment transaction '''
+    from erpnext.hr.doctype.leave_encashment.leave_encashment import LeaveEncashment
+
+    leave_encashments = get_leave_encashment_records(allocation_list)
+
+    for record in leave_encashments:
+        LeaveEncashment.create_leave_ledger_entry(record)
+
+def get_allocation_records():
+    return frappe.db.sql("""
+        SELECT
+            DISTINCT name,
+            employee,
+            leave_type,
+            new_leaves_allocated,
+            carry_forwarded_leaves,
+            from_date,
+            to_date,
+            carry_forward,
+            RANK() OVER(PARTITION BY employee, leave_type ORDER BY to_date DESC) as allocation
+        FROM `tabLeave Allocation`
+        WHERE
+            allocation=1
+    """, as_dict=1)
+
+def get_leaves_application_records(allocation_list):
+    leave_applications = []
+    for allocation in allocation_list:
+        leave_applications.append(frappe.db.sql("""
+            SELECT
+                name,
+                employee,
+                leave_type,
+                total_leave_days,
+                from_date,
+                to_date
+            FROM `tabLeave Application`
+            WHERE
+                from_date >= %s
+                leave_type = %s
+                employee = %s
+        """, (allocation.from_date, allocation.leave_type, allocation.employee)))
+    return leave_applications
+
+def get_leave_encashment_records(allocation_list):
+    leave_encashments = []
+    for allocation in allocation_list:
+        leave_encashments.append(frappe.db.sql("""
+            SELECT
+                DISTINCT name,
+                employee,
+                leave_type,
+                encashable_days,
+                from_date,
+                to_date
+            FROM `tabLeave Encashment`
+            WHERE
+                leave_type = %s
+                employee = %s
+        """, (allocation.leave_type, allocation.employee)))
+    return leave_encashments
\ No newline at end of file