Retained Earnings

Hi there, HaaAccountant.

I'll make sure that you're entries will be posted to the correct accounts.

For those entries that you've manually added, we can simply edit and correct the account assigned to resolve the issue. I'll show you how:

1. Select the Lists from the top menu bar
2. Choose Chart of Accounts.
3. Find then double-click the Retained Earnings account.
4. Identify the entries made in error to the Retained Earnings account.
5. Double-click the entry to edit and correct the account assigned.

However, we're unable to manually edit the adjustments or closing entries that we're automatically created by the program. Additionally, these adjustments are tagged as Closing Entry and they're not real transactions in QuickBooks Desktop.

That being said, it could be that there's data damage on your QuickBooks Desktop company file that's why the closing entries are posted to a different account. We can run the Verify and Rebuild utilities to scan your company file for errors and resolve the data integrity issues. Here's how:

1. Choose Window then Close All.
2. Select File from the top menu bar.
3. Choose Utilities, then click Verify Data.

If the program prompts you that there are no problems detected on your data, then no further action is needed. If you've received an error or Your data has lost integrity message, we'll have to run the Rebuild tool to correct the problem. Please follow these simple steps:

1. Select File from the top menu bar.
2. Choose Utilities, then click Rebuild Data.
3. Select where you want to save your backup, then click OK.
4.  Once you get the Rebuild has completed message, select OK to complete the process.

To learn more about how closing entries work in QuickBooks Desktop, you can read this guide: Close your books in QuickBooks Desktop.

I've also included an article that will help you troubleshoot common account balance errors: Common QuickBooks Mistakes and How to Fix Them.

If I can be of any additional assistance, please don't hesitate to insert a comment below. Stay safe and have a great rest of the weekend.