diff --git a/cypress/e2e/transactions.cy.ts b/cypress/e2e/transactions.cy.ts
index 3036665e..127a5f91 100644
--- a/cypress/e2e/transactions.cy.ts
+++ b/cypress/e2e/transactions.cy.ts
@@ -112,9 +112,12 @@ describe('Transactions', () => {
 
     cy.getInputFor('Available From').should(
       'have.value',
-      setToFirstOfNextMonth(date.toISOString().split('T')[0])
+      setToFirstOfNextMonth(dateFromIsoString(date.toISOString()))
     )
 
+    cy.getInputFor('Available From').type(currentMonth)
+    cy.getInputFor('Available From').should('have.value', currentMonth)
+
     cy.getAutocompleteFor('Envelope').type('Onl')
     cy.contains('Only one').click()
 
diff --git a/src/components/TransactionForm.tsx b/src/components/TransactionForm.tsx
index 2ae2b831..af1737e5 100644
--- a/src/components/TransactionForm.tsx
+++ b/src/components/TransactionForm.tsx
@@ -8,6 +8,7 @@ import {
   dateFromIsoString,
   dateToIsoString,
   monthYearFromDate,
+  setToFirstOfTheMonth,
   setToFirstOfNextMonth,
 } from '../lib/dates'
 import { safeName } from '../lib/name-helper'
@@ -117,6 +118,18 @@ const TransactionForm = ({ budget, setNotification }: Props) => {
     setTransaction({ ...transaction, [key]: value })
   }
 
+  const updateValues = (
+    values: { key: keyof UnpersistedTransaction; value: any }[]
+  ) => {
+    const newTransaction = { ...transaction }
+    values.forEach(
+      (value: { key: keyof UnpersistedTransaction; value: any }) => {
+        newTransaction[value.key] = value.value
+      }
+    )
+    setTransaction(newTransaction)
+  }
+
   const createNewResources = async () => {
     const promises = []
     let { sourceAccountId, destinationAccountId } = transaction
@@ -394,7 +407,15 @@ const TransactionForm = ({ budget, setNotification }: Props) => {
               onChange={e => {
                 // value is empty string for invalid dates (e.g. when prefixing month with 0 while typing) – we want to ignore that and keep the previous input
                 if (e.target.value) {
-                  updateValue('date', dateToIsoString(e.target.value))
+                  updateValues([
+                    { key: 'date', value: dateToIsoString(e.target.value) },
+                    {
+                      key: 'availableFrom',
+                      value: dateToIsoString(
+                        setToFirstOfNextMonth(e.target.value)
+                      ),
+                    },
+                  ])
                 }
               }}
               options={{ disabled: transaction.reconciled || false }}
@@ -412,18 +433,19 @@ const TransactionForm = ({ budget, setNotification }: Props) => {
                 }`}
                 value={(isSupported.inputTypeMonth()
                   ? (date: string) => monthYearFromDate(new Date(date))
-                  : (date: string) =>
-                      setToFirstOfNextMonth(dateFromIsoString(date)))(
-                  transaction.availableFrom ||
-                    transaction.date ||
-                    new Date().toISOString()
+                  : (date: string) => date)(
+                  dateFromIsoString(transaction.availableFrom || '') ||
+                    setToFirstOfNextMonth(
+                      dateFromIsoString(transaction.date || '') ||
+                        new Date().toISOString()
+                    )
                 )}
                 onChange={e => {
                   // value is empty string for invalid dates (e.g. when prefixing month with 0 while typing) – we want to ignore that and keep the previous input
                   if (e.target.value) {
                     updateValue(
                       'availableFrom',
-                      dateToIsoString(e.target.value)
+                      dateToIsoString(setToFirstOfTheMonth(e.target.value))
                     )
                   }
                 }}
diff --git a/src/components/TransactionImport/Result.tsx b/src/components/TransactionImport/Result.tsx
index 8c0b81d6..50e46731 100644
--- a/src/components/TransactionImport/Result.tsx
+++ b/src/components/TransactionImport/Result.tsx
@@ -21,6 +21,7 @@ import {
   dateFromIsoString,
   dateToIsoString,
   monthYearFromDate,
+  setToFirstOfTheMonth,
   setToFirstOfNextMonth,
 } from '../../lib/dates'
 import { api } from '../../lib/api/base'
@@ -446,7 +447,7 @@ const Result = (props: Props) => {
                   if (e.target.value) {
                     updateValue(
                       'availableFrom',
-                      dateToIsoString(e.target.value)
+                      dateToIsoString(setToFirstOfTheMonth(e.target.value))
                     )
                   }
                 }}
diff --git a/src/lib/dates.ts b/src/lib/dates.ts
index 4e037e48..19c06a8d 100644
--- a/src/lib/dates.ts
+++ b/src/lib/dates.ts
@@ -23,13 +23,18 @@ const dateFromMonthYear = (date: string) => {
   return new Date(`${month}/15/${year}`)
 }
 
+const setToFirstOfTheMonth = (date: string) => {
+  const [year, month] = date.split('-')
+  return `${year}-${month}-01`
+}
+
 const setToFirstOfNextMonth = (date: string) => {
   const d = new Date(date)
   d.setDate(1)
   d.setMonth(d.getMonth() + 1)
 
-  // Return date part of ISO string
-  return d.toISOString().split('T')[0]
+  // Return date in YYYY-MM-DD format
+  return dateFromIsoString(d.toISOString())
 }
 
 export {
@@ -37,6 +42,7 @@ export {
   dateToIsoString,
   monthYearFromDate,
   dateFromMonthYear,
+  setToFirstOfTheMonth,
   setToFirstOfNextMonth,
   translatedMonthFormat,
   shortTranslatedMonthFormat,