Learn how to change your accounting method from cash to accrual (or vice versa) in QuickBooks Online.
Need to change your company's accounting method? You can do it in QuickBooks in just a few steps.
Just remember that each method reports your income and expense differently. Once you change your accounting method, accounts and balances in your reports might show up differently.
Which accounting method should I use?
Each method has its own pros and cons. It's important to understand how each method works so you can choose the best bookkeeping practices for your business.
If you're unsure which method to use, talk to your accountant. Or if you need one.
Note: IRS requires you to use the same accounting method from year to year. You need to get IRS' approval first before you change your accounting method.
Change the accounting method for your company
- At the upper right, select the Gear icon.
- Under Your Company, select Account and Settings.
- Go to the Advanced tab.
- In the Accounting section, select the edit (pencil) icon.
- From the Accounting method drop-down, select the method you prefer.
- Select Save, then Done.