cancel
Showing results for 
Search instead for 
Did you mean: 
Highlighted
Community Contributor **
Solved

Equity closing account

I know QB by default closes Net income to RE.  I want to designate a separate equity account to automatically close income to?  i realize i can do a journal entry, but would rather set an automatic process.  is there a way (option) to designate a specific account to automatically close Net Income to at the end of the year?

Best answer 01-18-2019 02:43 AM

Accepted Solutions
Established Community Backer ***

Re: Equity closing account


@gaterbate wrote:

QuickBooks has automatically closed income to an equity account, other than RE.  There is a RE equity account, but income was not closed to it.  So, does that mean the original RE account was renamed?  is there a way to check if this happened?


If you are a sole proprietor, then QB closes last years net income to the default equity account

 

For some reason, intuit used the account that should be called retained earnings as an equity account only in sole proprietor configurations.  You can verify this in the chart of accounts, click use register and it the equity account is really RE, it will only display a report and not a register like all other equity accounts

 

rename it to RE, and if necessary create the equity account you need

4 Comments
Established Community Backer **

Re: Equity closing account

You can create more Equity type accounts and manage those manually - but there is only one 'automatic closing' account and you cant change it.

Community Contributor **

Re: Equity closing account

QuickBooks has automatically closed income to an equity account, other than RE.  There is a RE equity account, but income was not closed to it.  So, does that mean the original RE account was renamed?  is there a way to check if this happened?

QuickBooks Team

Re: Equity closing account

Hi gaterbate,

 

The only way to see it is through the use of the qbwin.log file. It is where QuickBooks store error messages and other program information.

 

To open the qbwin.log file:

  1. In QuickBooks, press Ctrl+1. The Tech Help window will open, press Ctrl+2.

  2. Click the Open File tab.
  3. In the list of files, double-click qbwin.log.

Please go directly to the end of the file because the recent information is written at the end. You can also press CTRL+F to locate the equity account.

 

If you need further assistance about the file, you'll want to contact our Technical Support. 

  1. Go to https://help.quickbooks.intuit.com/en_US/contact#.
  2. Select your QuickBooks version.
  3. Click Search for something else, and then type question in the field.
  4. Click Search.
  5. Click Get Phone Number.

Let me know if you have additional questions.

Established Community Backer ***

Re: Equity closing account


@gaterbate wrote:

QuickBooks has automatically closed income to an equity account, other than RE.  There is a RE equity account, but income was not closed to it.  So, does that mean the original RE account was renamed?  is there a way to check if this happened?


If you are a sole proprietor, then QB closes last years net income to the default equity account

 

For some reason, intuit used the account that should be called retained earnings as an equity account only in sole proprietor configurations.  You can verify this in the chart of accounts, click use register and it the equity account is really RE, it will only display a report and not a register like all other equity accounts

 

rename it to RE, and if necessary create the equity account you need