Solved: Re: How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

dtlgordon · ‎April 19, 2022

Rustler- you had the most accurate answer. I've been a Chief CFO for securities firms for 20+ years. But QB has me stumped. Booking the asset and M-t-M and keeping accumulated Unreal G(L)/OCI in equity is simple enough (as you indicate), but I also want a Statement of Other Comprehensive Income for the period printed below NI on the P&L. I want QB to be sophisticated enough to have Account Type for OCI, booking accumulated to equity and reflecting period change below NI on the P&L. If this isn't possible, I will have to calculate the period difference and use a PDF editor to add the OCI to the P&L myself. My objective is to create a CoA that will accurately reflect both for audit-ready financial statements without me having to do extra work. No what I mean?

JPaperman · ‎April 19, 2022

The original question was for a non-profit, where the OCI isn't an issue.

As far as I know there is no way to get QB to put anything below the Net Income line. To get a separate OCI added on you'd need to export to Excel, move those lines down, add a total line for Comprehensive income, then print to a pdf.

Might be some way to finesse it by doing a really elaborate structure of accounts and subaccounts then pull a transaction report subtotaled by account. It would mean building your own report outside of their P&L report so the formatting would probably need to be added in Excel anyways.

PattyLo · ‎January 12, 2023

Thank you! That is the best work-around I’ve read - most applicable for nonprofits.

Jen141 · ‎May 01, 2023

Question: what entries would have to be made when the investments are sold? Cash balance has increased, the Investment account balance has decreased, and there is either a realized gain or a realized loss.

SouthTexasBooks360 · ‎June 16, 2023

Best explanation yet! So simple. Thank you! I was so confused again reading all of the post! Until I found you.

Bookkeeper_Lynn_2024 · ‎August 02, 2024

You are correct. Even though unrealized gains and losses are not taxed, they are recorded on the P&L. The tax preparer will adjust accordingly.

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How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

How do I set up an equity account to track unrealized gains/losses on marketable securities? None of the equity account types appear correct for this purpose.

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