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green-gables1948
Level 1

My gross annual income report is showing that the amount charged on invoice is adding to the payment total

My gross income amount is consisting of both invoice charge plus the account payment

1 Comment 1
Erika_K
QuickBooks Team

My gross annual income report is showing that the amount charged on invoice is adding to the payment total

Let's check your accounting method, green.

 

The accounting method you choose, Accrual or Cash impacts how financial reports reflect unpaid invoices and associated payments.

 

With the accrual accounting method, you record income when you send out invoices, not when you get paid. This can make your income look higher if you have unpaid invoices. If you use the cash accounting method, you only record income when you receive payments, so unpaid invoices don't affect your reported income.

 

In this context, I recommend checking your accounting method. If you want to track only the received payments and exclude unpaid invoices, choose the Cash method.

 

I'll include an article you can reference for various tips and tricks on managing your reports:

 

 

Feel free to return to this thread for additional questions about report management.