x Want to participate? Join the group to interact
Options
  • State Suggested Answer
  • Replies 1 reply
  • Answers 1 answer
  • Subscribers 47 subscribers
  • Views 59 views
  • Users 0 members are here
Browse Forums
Announcements
51
topics
34
replies
General Discussion
1k
topics
2k
replies
toddreg

Can I post an entry directly to Retained Earnings?

SUGGESTED
Posted By

I do not need to restate prior year financials, I just need to book a 2023 state tax payment made in April of 2024 so that it doesn't impact Net Income in 2024.  Since it is already paid I was going to enter a journal entry to credit the tax expense account the payment is in and debit Retained Earnings.  I do not know 1- if Businessworks will allow a direct entry to Retained Earnings and//or 2- this will cause some other unanticipated issue.

Input appreciated, thank you.

  • 0
    SUGGESTED

    TODDREG

    Sage BusinessWorks allows you to post a journal entry to the retained earnings account as well as a prior year.  Any posting with a 2024 date would effect your 2024 financials.  If you are trying to recreate a posting to a prior year, the system  updates the balances and rolls through the balance through the end of the year automatically.  If you post the entry like you normal would, and any postings to accounts that use an account type of Sales, Sales Adjustment, Cost of Goods Sold, Expense, Other Income & Expenses, and Income Tax Expenses are reset to zero with the previous balance moved to the retained earnings account automatically.

     

    For full information on how retained earnings is calculated in Sage BusinessWorks, please see article: How retained earnings are calculated

     

    Otherwise, you may want to reach out to support using Live Chat to discuss this further.  To get to Live Chat in the program, just go to Help, Live Chat or you can visit the Sage BusinessWorks Resource Center at Sage.com/Resources .

       

     

     

    Sincerely,

    Coleen

*Community Hub is the new name for Sage City