Hi all,

Hoping you can help me adjust my practice for deferring revenue and recording it as earned. Can you tell how you would approach recording deferred and earned revenue in the case described below? I'm about to onboard a very big client (i.e. many more invoices/receipts than the approx. 400/mo I do now) so want to minimize manual entries/tracking as much as possible. Appreciate any advice you can offer, thanks!

- I provide software services on a month-to-month basis at a monthly rate.

- I invoice at the start of service date.

- Customer wants to pay annually.

- Typical scenario is I send customer an invoice and a month or two later I receive their payment. At that point, the first month or two of revenue is earned and the rest is not.