My tenant paid his rent in advance carrying over to 2024. How do i record this income in quickbooks so it doesnt reflect that i made all the income in 2023?

I can help you with recording the advanced payment, @manaventuresinte.

All you have to do is create a liability account to track the amount of the retainers you receive from your tenant. You'll just have to record an invoice and receive payment to turn that liability into income. Follow the steps in the order below.

To create a liability account:

1. Go to Settings (⚙) and select Chart of Accounts.
2. Click on New.
3. From the Account Type dropdown menu, select Other Current Liabilities.
4. From the Detail Type dropdown menu, Trust Accounts - Liabilities.
5. Create a Name for the account. 
6. Set an option from the When do you want to start tracking your finances from the account in QuickBooks? dropdown list.
7. Select Save and Close.

To create a retainer item: 

1. Go back to Settings (⚙) and select Products and Services.
2. Click on New.
3. From the Product/Service information panel, choose Service.
4. Enter a name for the new product or service item.
5. From the Income account dropdown menu, select the liability account you created above. 
6. Select Save and Close.

The retainer item can now be selected when creating an invoice or sales receipt for a deposit or retainer payment.

From here, you can now create an invoice for the advance payment:

1. Go to the + New button and select Invoice.
2. Select the Customer name from the dropdown list.
3. In the Product/Service column, select the Retainer or Deposit item you set up.
4. Enter the amount received for the retainer or deposit in the Rate or Amount column.
5. Click on Save and close.

Refer to the following article for detailed guidance about recording retainers or deposits from customers or tenants in advance: Record a retainer or deposit. 

From here, you can run the Balance Sheet report to check how much you are holding for each customer. Refer to the following article for more information about running and customizing the report: Run reports in QuickBooks Online.

Let me know if you need more help with recording an advanced payment. Keep safe, and have a wonderful day!

@manaventuresinte 

Advance rent is considered income when received regardless of what accounting method you use.  If you receive it in 2023, it is income in 2023. This is what the IRS says:

• Advance rent – Generally, you include any advance rent paid in income in the year you receive it regardless of the period covered or the method of accounting you use.

Here is the link:

https://www.irs.gov/taxtopics/tc414#:~:text=Advance%20rent%20%E2%80%93%20Generally%2C%20you%20includ... 

Thank you so much!

Thank you for this!